B2B SaaS companies are experiencing fantastic customer success. After the pandemic, an outsized number of startups have changed their companies’ work model, and have switched to work from Home. Technology, of course, is a key a requirement for this switch. B2B SaaS companies are deeply invested in customer success by helping their clients achieve their business goals. In turn, customers are more likely to stay loyal to the SaaS business when they succeed.
There are 3 key points at the core of every SaaS business strategy- Customer retention, customer engagement, and customer satisfaction. A strong customer base is developed by harnessing these 3 areas. Today, the Customer Success department collects and analyzes customer feedback and also works to boosting advocacy. An early stage SaaS business needs their clients to spread the word to their friends and colleagues, fostering mutual growth.
In the initial phase of any SaaS business or Startup, there are usually very few or no customers. It's difficult to gain the trust of customers without any data and feedback to convert them to potential users. Acquiring early customers with similar characteristics is often more challenging compared to when there's traction. It can also be difficult to identify the ideal customer and which customers will convert to a long-term contract.
SaaS Startups usually conduct a trial in Beta with known contacts if its a B2C solution, for B2B early pilots are usually landed from the founders existing network. A Minimum Viable Product (aka MVP) is the entry point to begin trials and implement the learn-improve-release process. Customer feedback can significantly improve the SaaS product at this stage.
A startup is a blank canvas where the story of success is written by growth and customer acquisition. below we look at some ways to generate leads and acquire the first ideal customers for a SaaS startup.
People use social media widely to judge a SaaS Startup or company’s credibility. A social media presence is a must and should be created on all the major platforms like Facebook, Instagram, Linked In, Twitter, Quora, etc, to acquire a fanbase.
Social media can serve other purposes as well. These platforms can be used to do market research for Customers as well as other SaaS products and companies. Thorough research can be undertaken on the type of posts, the kind of content they share that engages the community. The key lies in a clear narrative positioning the product clearly to meet customer’s challenges.
A customer database can be created by using tools like SurveyMonkey, where important data can be gathered like a company’s name and email address from an easy to take survey. The survey can include questions such as what challenges do potential clients and how your SaaS product may be the solution. If you find the sweet spot, customers are more likely to be open and won’t hesitate in sharing their challenges.
The best way to scaleup and gain the audience’s trust and credibility is by working with other marketers. Many tech-related products and services are promoted by tech magazines or blogs. Through these channels large audiences can be reached, by incorporating affiliate marketing. For instant access to a new audience base, affiliate marketers are usually paid a percentage of the conversion amount.
Another effective inbound marketing strategy for startups and scaleups is content marketing. Make sure your blogs are relevant to your niche and reach out for guest posts from other websites. Traction generated by those websites can generate exposure and leads.
One of most important steps to follow after content marketing is Search Engine Optimization (SEO). If you're looking for organic growth, select the relevant keywords within your niche to increase organic traffic. Another way to scale growth is generating traffic through paid promotions. with ads on Google, Bing, etc. An effective landing page should be created with a CTA (call to action) to convert visitors immediately. It's one of the most proven ways to attract more visitors to the website.
From the outside some startups appear to be riding a wave of success, with thousands of paying clients, a sizable budget, and the most brilliant individuals lining up to join their team. But, 30% of SaaS firms said their customer churn rates had risen in the previous year. However, with each milestone you cross, you'll gain more knowledge, experience, and insight for the next.
Amit Khanna is the founder of 7startup.vc and has 19 years of experience with Startups and the Enterprise, holds an MBA, focusing on Growth and Investments. Amit supports entrepreneurs with every aspect of their business including concept and product development, investor presentations, fundraising, and scaling up.
Tags: Startup funding, venture capital, HR for startups, scaleups, fundraising, pitch deck review, OKRs, BSC, balance scorecards
What are KPIs and ROI and how can you use these terms to scale up your startups?
As a startup founder, you need to be prepared for what may go wrong. Here are some common reasons startups fail.