A SaaS company delivers value to its customers through its platform. When a founder decides to start a startup he’s well aware of the fact that he’ll need to invest time in two big activities: talking to prospects and building consumer-focused products. That’s the path to reach the product-market-fit. For SaaS startups, the second task frequently is where they(and all his team) will need to invest more time and effort. On the other hand, software vendors who are already selling applications on-premises and wishing to move to a SaaS/recurring revenue model will need to invest a lot in platform development.
Heroku is a PaaS (Platform as a Service) and is one of the pioneers of the cloud service providers, before they came into the scene there was a huge challenge building and configuring servers from the scratch, not to talk of the drawback from shared hosting and the various complexities that comes with cloud hosting and deployment strategies. It brought a system that made app building, scaling and deployment so easy that it doesn’t take much time before they became a household name in the developer community.