Usage Continuance in Software-as-a-Service

Abstract

With the rapid development of the Internet in the past years, software-as-a-service applications are experiencing a huge growth as they become an important alternative to traditional software. Following the initial adoption phase, software vendors are now concerned with the continued usage of their software. To build on previous research and provide a new perspective on the matter, a longitudinal study design was implemented collecting data from a SaaS vendor on 15 clients. By employing a linear mixed model, the study finds evidence that implementing a banner on the client's intranet home page, sending out a newsletter, and conducting a training has a positive effect on a software's usage penetration. In addition to these activation measures performed by the SaaS vendor, software as well as client characteristics were likewise examined but did not display significant estimates. The study appeals to researchers and practitioners alike by presenting insights into the scarcely researched field of influencing factors on SaaS usage continuance.

Keywords: Linear Mixed Models; SaaS; Software-as-a-Service; Usage Continuance