Why Hybrid Models Are the Future & the EBITDA Multiplier Effect
Today’s post is by Eric Steller, Chief Revenue Officer at SafeSourcing Inc.
The Software as a Service (SaaS) industry has undergone a profound transformation. What once promised efficiency and scalability through out-of-the-box (OOTB) solutions has, in many cases, become a paradox—overly complex yet insufficiently tailored to an organization’s unique needs. The reality is that most SaaS platforms, when left to operate as standalone solutions, fail to deliver their full potential. This is why leading organizations are shifting toward hybrid SaaS and services models—an approach that accelerates time to value, ensures seamless execution, and maximizes financial returns.
The Limitations of Traditional SaaS: A Market Reality
While SaaS solutions were originally designed to streamline operations, market research confirms that the complexity of modern business environments renders most OOTB implementations ineffective. A recent study from Allied Market Research projects the hybrid cloud market—an indicator of demand for mixed technology and services—will surge from $96.7 billion in 2023 to $480.2 billion by 2033, growing at a staggering 17.4% CAGR. This shift underscores an essential truth: organizations require more than software; they need expert guidance and executional support to drive measurable results.
Moreover, pricing models within the SaaS ecosystem have evolved to reflect this reality. Hybrid pricing strategies, which combine software subscriptions with usage-based service components, are now critical in optimizing customer value and revenue scalability. Companies that fail to integrate service-led models risk leaving significant financial gains on the table (Hyperline Research).
SafeSourcing: A Procurement Powerhouse That Redefines ROI
SafeSourcing embodies this hybrid SaaS-services paradigm to perfection. Founded over 15 years ago by procurement visionary Ron Southard, SafeSourcing initially launched as a Software-as-a-Service (SaaS) platform. However, it became evident that while the technology itself was powerful, most organizations lacked the internal expertise to unlock its full potential.
Clients, almost universally, sought SafeSourcing’s direct involvement—not only to deploy the solution but to lead their procurement events with surgical precision. Today, SafeSourcing operates as a fully managed Procurement-as-a-Service partner, leveraging:
- A proprietary tech stack for seamless execution of RFIs, RFPs, RFQs, also known reverse auctions or on-line bids.
- A database of nearly 600,000 vendors spanning every conceivable category
- A dedicated team of procurement specialists who run sourcing events daily, ensuring superior outcomes
The EBITDA Multiplier: Doubling Profits Without Adding Headcount
The results? Unmatched cost reductions. SafeSourcing clients consistently realize savings of 25% or more per category—a staggering figure that, in many cases, translates to a doubling of EBITDA. The impact is so profound that if an enterprise were to do nothing else—no process optimizations, no internal restructuring—SafeSourcing alone could double profitability through sheer procurement efficiency.
Can any other solution make such a claim?
A Strategic Imperative for Every CxO
Every executive, from the CFO to the COO to the CEO, faces a relentless directive: deliver better results, faster, and at a lower cost. Amidst growing economic pressures and increasing competition, the imperative to optimize procurement is no longer optional—it is existential.
SafeSourcing is not just a SaaS provider. It is a strategic partner that transforms procurement from a cost center into a profit engine. If your organization isn’t actively exploring SafeSourcing, the only question is: Why not?
For more information on how the SafeSourcing can help you improve your EBITDA NOW through our Procurement as a Service offerings, or regarding our Risk-Free trial program, please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.
