Application Services

Application service or ASP is a business type that renders computer based service over network to the customers. The software used in the ASP is called On demand software or Software as a service which is short is known as SaaS. Most commonly it is known as access provider to a certain application program using HTTP protocol.

The requirement for Application Services has increased the cost of specialized software having price ranging from small to medium sized business. With the increasing complexes of software it has led to a huge cost in allotting the software to end users. But the ASPs or the Application Services has decreased the complexes and the costs.

The demand for this service is increasing day by day and it has a huge demand in government organizations, business, membership organizations etc.

There are different types of Application Services business, such as:

* The functional or specialist ASP which delivers a single application like credit card payment or processing services.

* A solution package for a specific type of customer is delivered by a vertical market ASP like in case of dental practice.

* The enterprise ASP delivers broad spectrum solutions.

* The local ASP delivers short business services within a limited and particular area.

The volume ASP or Application Services is analyzed is a 5th type, which is basically specialist type that offers a low priced packaged solution through the own website. For example PayPal is such a type of ASP which lowers the cost of unit transactions in one way.

These type of ASPs are also used by some multinational companies like IBM as a model of particular business supporting specific customers.