What is SaaS Security? Training Employees to Protect Business Applications

SaaS tools are now a core part of how businesses operate—but they come with serious security risks. As more companies move to cloud-based platforms, threats like phishing, data loss, and compliance issues are becoming more common. According to SC World Media, 96.7% of organizations used at least one SaaS app that had a security incident in the past year. That’s almost every business.

These risks are real and growing, often caused by weak controls, human error, or shadow IT.

In this blog, we’ll break down what saas security is, look at the most common threats, and share best practices to help you secure your SaaS environment.

What is SaaS Security?

SaaS security refers to the measures and practices used to protect data, users, and systems within cloud-based software applications. Unlike traditional software that runs on company-owned servers, SaaS applications are hosted by third-party providers and accessed over the internet. This setup introduces new risks, including unauthorized access, data leaks, and compliance issues.

Effective saas security solutions focus on securing user access, encrypting sensitive data, managing configurations, and continuously monitoring for threats. Since responsibility is shared between the provider and the customer, it’s important that businesses understand their role in securing the SaaS platforms they use every day.

The Importance of SaaS Security

As SaaS adoption grows, so does the attack surface. Businesses use these platforms to handle sensitive data—customer records, financials, proprietary content—and any weak point can be exploited. Without proper saas security, these systems can quickly become entry points for attackers.

The impact of a breach is more than just technical—it’s financial. According to IBM’s Cost of a Data Breach Report 2024, the average data breach now costs $4.88 million, a number that continues to rise year over year. For companies relying heavily on SaaS, even a single misconfigured app or compromised account can trigger significant financial and reputational damage.

Prioritizing saas cybersecurity not only helps avoid these risks but also supports compliance, ensures business continuity, and reinforces customer trust.

Why Phishing Attacks Are a Major Threat to SaaS Applications

Phishing remains one of the most dangerous threats to saas application security. These attacks deceive employees into clicking malicious links or giving up credentials—often giving attackers direct access to business-critical SaaS platforms.

The rise of AI has made phishing more effective and harder to detect. Cybercriminals now use AI to craft personalized, high-quality phishing emails and even create realistic deepfake audio or video messages to impersonate executives. These AI-powered phishing campaigns are especially dangerous in cloud-based environments where a single click can compromise multiple systems.

Voice phishing, or vishing, is becoming even more convincing through AI-generated voices. For a closer look at how these threats work, check out Keepnet’s detailed breakdown of Deepfake Phishing.

Given these advanced tactics, it’s critical to deploy tools like a Phishing Simulator and provide ongoing Security Awareness Training to help employees identify and stop phishing attempts before they escalate.

Common SaaS Security Issues

SaaS platforms offer flexibility and scalability, but they also come with a unique set of security risks. These issues often arise from misconfigurations, lack of visibility, or poor user practices. Understanding these common vulnerabilities is the first step toward building a stronger saas cyber security posture.

Account Takeover (ATO)

Account Takeover occurs when attackers gain unauthorized access to user accounts—often through stolen credentials obtained via phishing or brute-force attacks. In a SaaS environment, ATO can give attackers full access to sensitive data, internal tools, and business workflows.

Enforcing multi-factor authentication (MFA) and monitoring login behaviors are key to preventing ATO incidents.

Data Loss

Data loss in SaaS platforms can result from accidental deletions, misconfigurations, insider threats, or external attacks. Without a strong backup and recovery strategy, this can mean permanent loss of sensitive or regulated information. Secure saas data security strategies should include version control, encrypted backups, and defined access permissions.

To dive deeper into how to protect your organization from data loss, read Keepnet’s guide on Data Loss Prevention (DLP).

Phishing

Phishing is a major gateway for SaaS breaches, targeting users with fake emails or login pages to steal credentials. These attacks often bypass traditional defenses and exploit human error, making them especially dangerous in cloud environments. Running regular simulations with a Phishing Simulator helps identify vulnerabilities and improve employee response to real threats.

For a closer look at the latest attack techniques, check out Keepnet’s guide on 6 Shocking Advanced Phishing Attack Examples in 2025.

Malware Distribution

SaaS applications can unknowingly become delivery channels for malware, especially through third-party integrations or shared documents. Once inside the environment, malware can exfiltrate data or disrupt services. Threat Intelligence helps by providing up-to-date information on malware threats—such as harmful files, dangerous links, and unusual activity—so you can spot and stop attacks before they do damage. When combined with file scanning tools, this approach improves your ability to detect, block, and respond to malware across your SaaS environment.

Denial of Service (DoS)

Denial of Service (DoS) attacks can overwhelm SaaS applications, making them inaccessible to legitimate users. For cloud-reliant businesses, even a few hours of downtime can cause operational and financial damage. Implementing rate limiting, IP filtering, and scalable infrastructure helps protect against these disruptions.

To understand how DoS attacks work and how to defend against them, read Keepnet’s article on What Is a Denial-of-Service (DoS) Attack?

Regulatory Compliance

SaaS platforms often handle regulated data, making compliance with standards like GDPR, HIPAA, and CCPA a critical concern. Missteps in access control or data storage locations can result in costly fines and legal issues. Organizations must ensure their SaaS vendors meet recognized saas security standards and perform regular audits to stay compliant.

For a deeper understanding of compliance requirements and how to meet them, explore Keepnet’s guide on Security Awareness Compliance: Requirements, Frameworks, and Best Practices.

How SaaS Security Differs from Traditional Security Models

Traditional security models were built around on-premise infrastructure with clear network boundaries and centralized control. In contrast, SaaS security requires a more dynamic and distributed approach. Since SaaS applications are hosted in the cloud and accessed over the internet, organizations no longer control the entire tech stack—making visibility, user behavior, and third-party risk more complex to manage.

Here’s a quick comparison of key differences.

RTable 1: Key Differences Between Traditional Security and SaaS Security

Since responsibility is shared between the organization and the SaaS provider, companies must adapt their security strategies—focusing more on user access, third-party risks, and continuous monitoring.

SaaS Security Best Practices

Securing SaaS environments requires focusing on user access, data protection, and continuous monitoring—since the infrastructure is managed by third-party providers.

Key practices include:

• Use MFA and Role-Based Access to limit unauthorized entry.
• Encrypt Data both in transit and at rest.
• Monitor User and App Activity to catch suspicious behavior early.
• Train Employees Regularly with Security Awareness Training.
• Run Frequent Risk Assessments to stay ahead of evolving threats.
• Automate Policy Enforcement to reduce human error.

These steps help build a strong and consistent saas cloud security posture across all applications.

Data Encryption and Access Control for SaaS Platforms

Protecting sensitive data starts with strong encryption and strict access control. All data—whether stored or in transit—should be encrypted using industry-standard protocols to prevent unauthorized access.

At the same time, access to SaaS platforms should be limited based on user roles and business needs. Using Role-Based Access Control (RBAC), Single Sign-On (SSO), and Multi-Factor Authentication (MFA) ensures that only the right people can access the right data at the right time.

These controls reduce the risk of breaches and support compliance with key saas security standards.

The Role of Employee Awareness in SaaS Security

Employees are often the first target in attacks on saas application security. A single click on a phishing link or the use of a weak password can expose sensitive data or allow unauthorized access.

To reduce this risk, organizations must invest in continuous Security Awareness Training. It’s especially important to deliver role-based training, where content is tailored to the specific responsibilities and access levels of each team. This approach ensures that employees understand the risks relevant to their roles and apply best practices accordingly.

For more on customizing training programs by role, check out Keepnet’s article: What is Role-Based Security Awareness Training, and How Can It Be Customized and Adapted?

Benefits of SaaS Security

Strong saas security protects more than just data—it safeguards business continuity, customer trust, and compliance.

Here are the key benefits:

• Reduced Risk of Data Breaches: Secure access controls, encryption, and monitoring minimize exposure to cyber threats.
• Regulatory Compliance: Meeting saas security standards helps avoid fines and legal issues.
• Improved Business Continuity: Fewer disruptions mean more uptime and operational stability.
• Increased Customer Confidence: Clients are more likely to trust businesses that take security seriously.
• Lower Human Risk: With ongoing training and testing, employees are better equipped to spot and stop attacks.

By investing in saas cyber security, organizations create a safer, more resilient digital environment.

What Is SaaS Security Posture Management (SSPM)?

SaaS Security Posture Management (SSPM) is the process of continuously monitoring and managing security risks across all your SaaS applications. It helps identify misconfigurations, risky user behaviors, and compliance gaps—before they turn into serious issues.

SSPM tools give security teams full visibility into settings, permissions, and user activity across platforms. This allows organizations to enforce saas security standards, reduce human error, and maintain a strong security posture as their SaaS stack grows.

How SSPM Enhances Data Protection and Compliance

SSPM strengthens both saas data security and compliance by offering real-time visibility and control across all SaaS applications. It continuously checks for weak settings, excessive permissions, and unauthorized changes—helping to prevent data leaks before they happen.

By aligning configurations with industry standards and regulatory frameworks, SSPM makes it easier to meet compliance requirements like GDPR, HIPAA, or ISO 27001. It also simplifies audits by providing clear logs and reports of security actions.

The Future of SaaS Security: AI and Automation

The next evolution of saas security lies in smarter, faster, and more adaptive defenses—driven by AI and automation. As organizations scale their SaaS usage across departments and regions, real-time decision-making becomes critical.

AI doesn't just detect known threats; it learns from behavior patterns, spotting subtle anomalies that traditional tools miss—like unusual login times, irregular data access, or suspicious third-party connections. Meanwhile, automation ensures these insights lead to instant action—revoking permissions, isolating users, or alerting security teams without delay.

This shift transforms security from reactive to predictive, helping businesses stay ahead of zero-day threats, insider misuse, and misconfigurations across their SaaS stack.

To explore the broader impact of AI on cybersecurity, read Keepnet’s deep-dive: Will AI Take Over Cybersecurity?