What is an application service provider?

An application service provider (ASP) provides people and businesses with software solutions over a network, typically the internet. This type of service doesn’t require customers to download or maintain software on their systems.

The apps are accessed via the web, and the provider is responsible for their maintenance and support. Most application service providers have subscription– and usage-based pricing models.

5 ASP options to consider for your business

  1. Functional: Functional or specialised ASPs offer niche software, typically a single app, to domestic and international companies. They can help you perform and digitise tasks like payrolling.
  2. Local: Local ASPs provide software services to businesses within a specific region, such as a state, city, or district. Their services can be tailored to meet the regulations of that region.
  3. Vertical: Vertical ASPs cater to specific market segments, such as realtors or healthcare professionals. They provide integrated solutions but only to a particular industry they specialise in.
  4. Enterprise: An enterprise ASP typically offers extensive, end-to-end solutions to large corporations, such as customer relationship management (CRM) or enterprise resource planning (ERP) software, to large corporations.
  5. Volume: Volume ASPs provide turnkey solutions for daily operations like email.

3 benefits of using ASPs for your marketing efforts

  1. Lower cost: Application service providers offer similar solutions to in-house IT teams at a fraction of the cost. You don’t have to hire, train, and keep IT professionals on payroll to maintain software.
  2. Expertise and support: ASPs offer professional support in developing, maintaining, and updating software, letting you focus on your core business.
  3. Data security: Application service providers have the knowledge and resources to keep your information as safe as possible from data breaches.

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