Cloud-based SaaS (Software as a Service) is becoming increasingly popular in the Legaltech space, and is well-positioned to become the future of Legaltech. Cloud-based SaaS solutions are more cost-effective, more secure, and more agile than traditional on-premise solutions. In addition, SaaS solutions can be quickly deployed, allowing organisations to capitalise on the latest LegalTech innovations with minimal effort.
SaaS solutions also make it easier to integrate with other systems and services, allowing legal teams to create a unified platform for their legal operations. Finally, cloud-based SaaS solutions make it easier for organisations to access legal expertise from anywhere, anytime. As legal teams become more distributed and agile, SaaS solutions are the best way to ensure that legal teams remain connected and work collaboratively.
The legal industry has undergone significant changes in recent years, and technology has played a big role in driving this transformation. Legaltech has revolutionised the way legal services are delivered, making them faster, more efficient, and more accessible. Among the various technological innovations in the legal industry, cloud-based software-as-a-service (SaaS) has emerged as a key player. In this blog, we'll discuss why cloud-based SaaS is poised to be the future of Legaltech.
Advantages of Cloud-Based SaaS
1. Increased Accessibility:
Cloud-based SaaS makes legal services more accessible to clients, regardless of their location. This is because all the information and data is stored in the cloud, making it possible to access it from anywhere with an internet connection. This allows clients to receive legal services even if they are not located near a physical office.
Cloud-based SaaS eliminates the need for costly hardware and software installations. It also minimizes the maintenance and support costs associated with traditional software. This makes it an attractive option for law firms looking to cut costs and increase profitability.
3. Improved Collaboration:
Cloud-based SaaS makes it easier for team members to collaborate and share information. It also streamlines communication between lawyers and clients, improving the overall quality of legal services.
4. Enhanced Security:
Cloud-based SaaS provides robust security measures, including data encryption, to protect sensitive information. This helps to minimise the risk of data breaches and cyber attacks, ensuring the confidentiality and privacy of clients' information.
Cloud-based SaaS allows for easy scalability, making it possible for law firms to quickly and easily add new users and services as their needs change.
Statistics on Cloud-Based SaaS in Legaltech
- The global Legaltech market is expected to grow from USD 6.3 billion in 2018 to USD 20.0 billion by 2023, at a CAGR of 26.1% during the forecast period.
- A recent survey of US legal professionals found that 72% of respondents were using or planning to use cloud-based SaaS solutions.
- Another survey found that 69% of legal professionals believe that cloud-based SaaS has improved the overall efficiency of their law firm.
- In 2020, the use of cloud-based SaaS in the legal industry increased by 37%, as law firms adapted to remote work during the COVID-19 pandemic.
The figure below is taken from 2019 Global legal department benchmarking report, it clearly depicts the growth of technology adoption by key Legal Technology area:
Expected growth rate of Contract Management SaaS
The expected growth rate of contract management SaaS cloud is expected to be high in the near future, as more organisations are moving towards digital solutions for their contract management needs. Research shows that the contract management software market is expected to grow at a compound annual growth rate (CAGR) of over 12% from 2020 to 2026. This growth is attributed to factors such as increasing demand for automation and streamlining of contract processes, growing need for compliance and risk management, and the trend towards cloud computing.
Cloud-based SaaS has already had a significant impact on the legal industry, and its influence is only expected to grow in the coming years. With its numerous advantages, including increased accessibility, cost-effectiveness, improved collaboration, enhanced security, and scalability, it's clear that cloud-based SaaS is the future of Legaltech.