{"id":3917,"date":"2016-04-07T16:27:46","date_gmt":"2016-04-07T14:27:46","guid":{"rendered":"https:\/\/chartmogul.com\/blog\/?p=3917"},"modified":"2023-08-09T21:02:38","modified_gmt":"2023-08-09T19:02:38","slug":"saas-qa-api-enterprise-growth","status":"publish","type":"post","link":"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/","title":{"rendered":"SaaS Q&#038;A: What are the pros &#038; cons of API-based SaaS?"},"content":{"rendered":"<p>API-based features or products can have a huge impact on the dynamics of a SaaS startup. In recent years we&#8217;ve noticed a trend towards dedicated API-first SaaS products, which are often broken out as &#8216;micro-services&#8217; from larger SaaS solutions. And other companies, like us here at ChartMogul, are rolling out an API offering as the business\u00a0develops. Given this trend, it&#8217;s useful to consider the implications on the rest of a SaaS company&#8217;s operations.<\/p>\n<p><em>Read more about this industry trend in our recent guide,\u00a0<a href=\"https:\/\/chartmogul.com\/blog\/api-based-saas\/\" target=\"_blank\">The Rise of the API-based SaaS<\/a>.<\/em><\/p>\n<h2>Here are some <strong>benefits<\/strong> of an API-based SaaS product:<\/h2>\n<ul>\n<li><strong>Little to no design, UX consideration required.<\/strong> There is no user interface, and therefore you aren\u2019t doing any visual design.<\/li>\n<li><strong>Speed and style of scale.<\/strong> You can scale more quickly to a large volume of customers, and also have more\u00a0control over how the service is scaled.<\/li>\n<li><strong>Value to customers.<\/strong> There&#8217;s inherently more focus on the true value you&#8217;re delivering to customers, because the value is usually in the raw data you&#8217;re providing.<\/li>\n<\/ul>\n<h2>And some <strong>drawbacks<\/strong>\u00a0to keep in mind:<\/h2>\n<ul>\n<li><strong>Sales cycles are generally much longer.<\/strong> Committing to purchasing an API-based solution can be seen as greater risk for the customer, due to the initial barrier to integration.<\/li>\n<li><strong>Onboarding.<\/strong> It can be more difficult to provide a great onboarding experience when engineering and development time are required to start using the product:<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3918 size-full\" src=\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2016\/04\/main-qimg-549d0fb6d52a5fba385e146347f7af65.png\" alt=\"CEO Contentful API\" width=\"485\" height=\"219\" srcset=\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2016\/04\/main-qimg-549d0fb6d52a5fba385e146347f7af65.png 485w, https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2016\/04\/main-qimg-549d0fb6d52a5fba385e146347f7af65-300x135.png 300w\" sizes=\"auto, (max-width: 485px) 100vw, 485px\" \/><\/p>\n<ul>\n<li><strong>Less flexibility in pricing.<\/strong> You&#8217;ll have less options for pricing your solution. Pricing for API-based solutions is usually volume-based (depending on the number of requests you make to the API).<\/li>\n<\/ul>\n\n<hr \/>\n\n<p>This answer was originally published on Quora. View\u00a0the original thread here:<\/p>\n<p><a href=\"https:\/\/www.quora.com\/How-does-an-API-play-into-the-growth-of-an-enterprise-SaaS-startup\" target=\"_blank\">How does an API play into the growth of an enterprise SaaS startup?<\/a><\/p>\n<h1>Share and follow!<\/h1>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p dir=\"ltr\" lang=\"en\">NEW on <a href=\"https:\/\/twitter.com\/ChartMogul\">@ChartMogul<\/a>: SaaS Q&amp;A: What are the pros &amp; cons of API-based <a href=\"https:\/\/twitter.com\/hashtag\/SaaS?src=hash\">#SaaS<\/a>? <a href=\"https:\/\/t.co\/9TGJnxGuB1\">https:\/\/t.co\/9TGJnxGuB1<\/a> <a href=\"https:\/\/twitter.com\/hashtag\/API?src=hash\">#API<\/a> <a href=\"https:\/\/t.co\/4aL1ngh5cj\">pic.twitter.com\/4aL1ngh5cj<\/a><\/p>\n<p>\u2014 ChartMogul (@ChartMogul) <a href=\"https:\/\/twitter.com\/ChartMogul\/status\/718111106632388608\">April 7, 2016<\/a><\/p><\/blockquote>\n<p><script src=\"\/\/platform.twitter.com\/widgets.js\" async=\"\" charset=\"utf-8\"><\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Offering API-based features or products touches on every aspect of your SaaS business, from how you sell to how you scale. Take a quick look at the potential benefits and drawbacks.<\/p>\n","protected":false},"author":9,"featured_media":3932,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12,1998],"tags":[119,124,21,158],"class_list":["post-3917","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gtm","category-retention","tag-api","tag-quora","tag-saas","tag-saas-qa"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>SaaS Q&amp;A: What are the pros &amp; cons of API-based SaaS? | ChartMogul<\/title>\n<meta name=\"description\" content=\"Offering API-based features or products touches on every aspect of your SaaS business, from how you sell to how you scale.\" \/>\n<meta name=\"robots\" content=\"index, follow\" \/>\n<link rel=\"canonical\" href=\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"SaaS Q&amp;A: What are the pros &amp; cons of API-based SaaS? | ChartMogul\" \/>\n<meta property=\"og:description\" content=\"Offering API-based features or products touches on every aspect of your SaaS business, from how you sell to how you scale.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\" \/>\n<meta property=\"og:site_name\" content=\"ChartMogul\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/chartmogul\" \/>\n<meta property=\"article:published_time\" content=\"2016-04-07T14:27:46+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-08-09T19:02:38+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2016\/04\/Screen-Shot-2016-04-07-at-18.20.54.png\" \/>\n\t<meta property=\"og:image:width\" content=\"2046\" \/>\n\t<meta property=\"og:image:height\" content=\"846\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Ed Shelley\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Mr_Ed\" \/>\n<meta name=\"twitter:site\" content=\"@chartmogul\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Ed Shelley\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\"},\"author\":{\"name\":\"Ed Shelley\",\"@id\":\"https:\/\/chartmogul.com\/blog\/#\/schema\/person\/55ca03cbfebabf05e94258e529620fcb\"},\"headline\":\"SaaS Q&#038;A: What are the pros &#038; cons of API-based SaaS?\",\"datePublished\":\"2016-04-07T14:27:46+00:00\",\"dateModified\":\"2023-08-09T19:02:38+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\"},\"wordCount\":340,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/chartmogul.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2016\/04\/Screen-Shot-2016-04-07-at-18.20.54.png\",\"keywords\":[\"api\",\"quora\",\"saas\",\"saas q&amp;a\"],\"articleSection\":[\"GTM\",\"Retention\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\",\"url\":\"https:\/\/chartmogul.com\/blog\/saas-qa-api-enterprise-growth\/\",\"name\":\"SaaS Q&A: What are the pros & cons of API-based SaaS? 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