Software companies that start life in the cloud (pure plays) have advantages over those established in the on-prem world. One of the most important advantages is the ability to know – at any time – exactly how the service is being and has been used. And, arguably more importantly, how that has changed. On-prem ISVs don’t have the same advantage.
This knowledge can be used to drive a number of activities. All of which are available to on-prem – but are just harder to get and are always less real-time. “Harder to get” and “less real-time” translate to more expensive and less competitive.