Maybe you are not familiar with it, but it’s highly likely that you are using a SaaS (subscription-based software as a service) product in one way or another. If you are using Microsoft Office, you are already a customer because you have licensed their annual subscription.
SaaS products are mostly limited to healthcare and security but in the near future, lots of strategic commonalities are going to run a subscription-based business. You never know Spectrum Internet plans might fall in the same category.
SaaS Marketing is Hard!
If you are a business owner, you can learn so much from the SaaS industry, especially from its marketing tactics. No, the value of these tactics is not just limited to subscription-based products. Any business can apply them. The key lies in understanding the theory behind each of these marketing tricks.
SaaS marketing is hard. It is different from other types of marketing. Luckily, successful SaaS companies have developed methods to reach out to customers and create leads. Since it is mostly used for selling software, there is no tangible item involved. Then comes the task of convincing a user that your product will actually help them in their daily life.
SaaS model relies on ongoing subscriptions. Most of the products fall under the B2B (Business 2 Business) categories. The first step of the sales cycle involves acquiring a new customer. The next step is to convert that user into a paying customer and the last step is to retain that customer. Traditional marketing approaches only involve acquiring a customer.
Let’s review some of these tricks and find out how they can help your business:
1: Offer Free Trials
You must have seen that almost all SaaS companies offer a free trial of their product. Once the trial is over, you have to purchase their subscription. These free trial offers appear on the homepage and they often have a CTA. Some providers only offer a freemium version for the product for an unlimited time.
The purpose of such offers is to let a customer test your product or service. You are letting your customers decide whether or not your product is actually useful for them. They don’t have to rely on any other information.
This trick isn’t new, it has been around for years. It’s only that SaaS has perfected it. You give your prospect the opportunity to test drive for free and make them compare your services from your competitors.
2: The Scarcity Effect
SaaS companies are really great at creating a sense of scarcity. They play with the emotions of their customers to create a sense of urgency. As a result, they end up purchasing the product.
So how do you add the scarcity effect? Phrases like “limited time offer”, “offer expires within 2 weeks” or “only 2 slots left” work just fine. The fear of missing out will force a customer to make a decision at the spot.
3: Ask For Testimonials
Have you ever noticed that SaaS companies create constant communication opportunities with their customers? It’s particularly for customers who use the product regularly. They keep on collecting information from these users through questionnaires and brief surveys. They value such customers by showing their logos with positive reviews posted by them.
Potential customers would trust the words of others who have genuinely used their products. Testimonials work big time. In fact, 82 percent of Americans seek recommendations from their friends and family before making a purchase. Therefore, a positive review from a trusted source can shape the view of a potential buyer about your brand. Don’t miss this chance.
For a business, it’s not that easy to access a customer and ask them to leave a positive review. Even your happiest customer might not be willing to give a review. You will have to come with a viable marketing strategy for this purpose. Maybe you would have to offer them something in return. Shoot your customers a quick email asking them to rate your services. To make sure they reply to your message, include an offer they cannot resist. You can give discounts or gifts in exchange for this favor. Don’t hesitate, all brands are doing this.
4: Offer Great Customer Support
It may sound pretty obvious but it’s something the SaaS companies take very seriously. This trick will come in handy if you have big competitors in your industry. Such businesses don’t waste their time stealing clients by simply offering great customer service.
What kind of customer support you offer depends on your business model. If you have a self-service business, it will be enough to just offer chat and email support. On the other hand, if you are an enterprise business, then you are going to need a live chat or some one-on-one solution.
5: Include App Integrations
A great way of spreading the word about your business is to integrate with popular apps. But that requires extensive research. Integrate with such apps only that offer value to your users. It’s great if you check what kind of integrations your competitors are offering. This will give you a head start for your strategy.
As the SaaS businesses majorly rely on subscriptions and renewals, they focus on drop-offs. This phenomenon is known as churn. No matter what type of business it is, acquiring a new customer is expensive as compared to keeping an existing one. SaaS companies hence spend a lot of time improving their retention results. They know the art of delighting their existing customers. They keep on searching for ways to measure customer rendition and become better at it.
All of us want our customers to subscribe to our services. And we could learn a lot from SaaS companies when it comes to connecting with customers and retaining them. It has a few things common with traditional marketing approaches but it is different. The tricks mentioned could even get a customer search for Spectrum Internet availability in their area if they are already planning to switch to a new provider.