A Process Model of Product Strategy Development: A Case of a B2B SaaS Product.

A growing number of software companies nowadays offer their solutions using the SaaS model. The model promises multiple business-related benefits for these companies; however, existing software companies are forced to re-develop products and reconsider product strategies to address all the aspects of the new SaaS model. The existing literature provides a limited understanding of how product strategies for newly productized SaaS solutions should be developed. In this paper, we report the results of a longitudinal case study of a Finnish B2B software company experiencing a transition towards the SaaS model and developing the initial strategy for its newly productized SaaS solution. We introduce a six-phase process model aligned with the ISPMA SPM framework. Being implemented, the model created an initial shared understanding and vision among stakeholders for their SaaS solution and provided guidance in developing the required product strategy.