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This set of comments by Scott Kupor on how SaaS fundamentally changes total addressable market (TAM) by eliminating distribution constraints are right on. Getting product distribution is vastly more important than many people realize. A great product alone isn't enough. 
Elad Gil: "At some point there is a shift from being a product focused company to a company that is about distribution.”
"Many entrepreneurs don’t have a good distribution strategy. We are a sucker for people who have sales and marketing figured out.” a16z.com/2014/07/21/a-d…
"Many entrepreneurs don’t have a good distribution strategy. We are a sucker for people who have sales and marketing figured out.” a16z.com/2014/07/21/a-d…
An important point to understand about software as a service (SaaS) is how it accelerates the velocity of innovation. A few people in an IT department of a customer are no longer a break on the rate at which "software is eating the world." Innovation and change goes on steroids.
Some people get confused because deploying this SaaS is often necessary just to stay even with competitors- it may not generate any pricing power, but without the SaaS the business is dead. Prices may not rise and may even fall because of the innovation. Consumers always benefit.
