In fairness to Genetec, this is probably the most likely customer the VSaaS market gets in terms of size. Low camera count, simple functionality and easy to access interface. (Ease of interface is speculation on my part, as I have not seen a live system in action yet, but did see a short demo at ASIS.)
What could be said is even Genetec realizes you're not really going to get mid or large size clients with this offering due to the bandwidth limits VSaaS has to work with.
The costs are higher than the kit from Costco, but even if the end user self installed and maintained, that still costs the business owner money in his/her own time spent on it. (Time is money, too.)
So then the question is if the functionality and ease of maintance and free system updates (most every hosted system with a monthly subscritpion includes updates, though I don't know about Genetec), adds enough value over the COTS kit for enough customers to use it to make it worth Genetec's investment.