What is a Multi-Tenant System? Examples

A multi-tenant system assumes multiple users or customers using one system or app. Today, the system is more associated with IT and AI advancements. Previously, businesses and customers relied on a single-tenant scheme designed to serve an individual tenant when a user had a separate network, storage, and computing. 

However, a cloud system made a stark difference. Multiple users need a dedicated Internet connection or Wi-Fi to access one centralized app. The concept of “one platform for many” doesn’t violate security and privacy, as each client’s data is invisible and isolated from others. 

Examples 

An obvious example of a multi-tenant system would be the Gmail application. Multiple people use a single app and, at the same time, are unaware of each other. It’s cloud-based and goes beyond conventional software, thus, serving more than one tenant. As one of the millions of Gmail app users, you can customize some parts of the application without bothering others. 

Multi-tenant systems are used across diverse industries. For instance, the popular apps within customer relationship management are Salesforce, Zoho CRM, PipeDrive, Oracle NetSuite, and others. In the moving industry, the most prominent are Netflix, Amazon Prime Video, and HBO Max. 

When it comes to entry security and internal communication, multi-tenancy intercom systems are widely used in residential buildings. These are Leedan, Aiphone, Akuvox, ButterflyMX and Siedl. The apps come with versatile features like an integrated online doorman or IP-based service with a doorbell, video, buzzer, door release, etc. 

How Multi-Tenant Systems Transformed Our Life

In terms of customer relationship management, people had to make customer records on paper or use customer index cards before CRM emerged. Yesterday’s customer management software was pretty primitive and limited to maintaining accounting records. 

As time passed, the computing revolution gave rise to automated processes in sales across various industries. Today, when we talk about multi-tenancy, it’s not only about selling but marketing. Cloud-based and mobile-friendly software is winning the battle because they directly communicate with customers. AI integrations help understand customer preferences in order to offer products that appeal to them the most. For managers, CRM systems are a one-stop solution to oversee customers and employees from a single app. 

Before the advent of Netflix, people relied on cable companies to watch their favorite shows or sports. But this streaming and production service built original programming, and dependence on a “cord” began reducing. Why? Because TV industry giants like Netflix and its kind let people enjoy content in the ways they prefer and at any time. We can call them multi-tenant systems since they represent a storehouse of content to a myriad of users that covers all genres of movies, documentaries, and television series. 

In a similar fashion, the latest and best intercom apps are user-friendly ones. They feature two main concepts – mobile compatibility and cloud computing. Cloud-based means that a multi-tenancy design allows for virtual and remote access. Akuvox IP solutions for residential buildings, for example, run on a local internet connection to generate a video call to tenants’ smartphones, enabling them to talk and see visitors even when they are away. 

When Should I Use A Single-Tenant System?

Despite many advantages of multi-tenant systems, like cost-efficiency, easy scalability, and no need for updates or separate hardware to store data, some businesses still use single-tenant systems. And this is for a reason. 

There’s a perception that due to a shared database, multi-tenancy is more prone to cyberattacks than single-tenancy, especially regarding security systems. Although, at Linked Security, we don’t really think of it that way. In our opinion, with the right security system in place, customer data stays protected. However, businesses where privacy and security are top concerns, like financial institutions or hospitals, should consider single-tenancy. 

When dealing with intercom apps, most are multi-tenant, providing cloud services to store residential and building data with a host of benefits for residents and property staff.

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