The Software as a Service (SaaS) market is a difficult yet interesting concept to tackle. The concept is large and a number of components are difficult to isolate and resolve. So you might as well pat yourself on the back if at the end of the day you can deliver the B2B SaaS service as necessary. Yet, it still is quite a hard bone to crack.
Let us look at some of the major sales and marketing pain points of this market:
Every business’ primary objective is to boost sales which in turn will improve profits. All SaaS companies also operate with this same objective in mind. However, with sales you also face these pain points.
It’s not easy competing with other SaaS software which has been in the market for years. Most customers are not new to SaaS software, so they probably have a product they are loyal to already; hence, you’ll need a good business strategy to compete.
First, you have to stand out; you have to give your prospective customers reasons why they should pick your product over others in the market. Pick out your unique features and use them to spearhead your campaign.
Another way is by using Lead generation services. These services will help evaluate prospective customers, manage campaigns, and connect you to the right target audience.
Some lead generation services go as far as following up with the entire marking process. A good lead generation service boosts your chances of breaking even. There are many companies ready to help you outsource lead generation for a fee, so you don’t have to go through the stress.
Difficulty Maintaining Steady Growth
Once your SaaS software is at the break-even point, you’ll be faced with another struggle of maintaining steady growth. It is typical to see customers churn or abandon their SaaS software for newer ones, so you’ll need to reevaluate the service your SaaS is offering from time to time. Upgrade and keep up with the latest b2b marketing trends. To achieve this, feedback is essential. Lead generation services can help you get feedback from your customers. This will help you to know if customers find your product enjoyable or if there is a need for improvement.
Using feedback to improve on your service will convince your existing customers to continue with their subscriptions. An improved service based on customers’ feedback is a natural advertising strategy which will help you get new customers.
After making sales, SaaS marketers need to maintain their customer base, this will ensure customers keep subscribing.
The Problem of Evaluating the True Value
Satisfying customers can be an uphill task because there’s this general belief that using SaaS is expensive, hence no matter how affordable your software is, customers would still be skeptical of its true value. Other fears they may have are integration, migration, and implementation issues.
If you are faced with “doubtful” customers, you need to change your sales and marketing strategy entirely. You shouldn’t sound too desperate when trying to sell your product; instead, you should be more educative; by expressing the general use of SaaS and as well offer the unique services you offer for B2B SaaS. You equally need some level of mere human persuasion here, oftentimes people don’t know they need a service until they find someone to point them in that direction. You should generally give them reasons how your SaaS can benefit their business.
Be precise about its features and how each feature can help the business move forward. Start by emphasizing on the benefits of cloud technology. This, majorly because you will compete, not only with other B2B SaaS services, you’d equally be contending against other different solutions and Enterprise Resource Planning (EPR).
After you’ve acquainted a buyer to the prospects of SaaS, you’ll need to sell your product to them, giving the potential buyers reasons why your SaaS is the best.
Lack of Price Measurement Tools
As a B2B SaaS Marketer, you shouldn’t just be concerned with getting new customers; you should be focused on maintaining existing customers. Once a customer is satisfied with the service offered, they would inevitably renew their subscription, especially if your price remains competitive.
The price for renewing subscription goes a long way to determine if the customer will remain loyal, or go for a more affordable SaaS. This brings us to the question; how can B2B SaaS measure their price offering? The easy way out is to compare your product with your competitors ensure your price is not too high (so you’ll not scare customers away) and it’s not too low (so you can make a profit). Once you strike a balance between the quality of service you offer and the price, you’ll be able to keep customers.
It is also the responsibility to ensure users find the SaaS software usable.
Many customers might be willing to switch from their current SaaS product to yours but are scared of the consequences they might face during the migration process. The irony is migration is relatively a simple process (if your SaaS is preconfigured). Hence it is your responsibility to convince them of how seamless the entire migration process can be.
Here are a few tips make the migration process simpler; make sure your SaaS software is preconfigured to ensure migration is easy for users. Then, create a setup manual; this manual should contain a breakdown of the entire implementation schedule. With a detailed manual, customers will be able to migrate easily using DIY
The SaaS market already has enough to handle, however it remains that industry you intend to have a pleasant engagement with or even dominate at best. Gartner predicted that SaaS revenues would cross $85 billion in 2019 and further reach $278 billion by 2022.
Agreed, the competition is a lot to deal with, several techniques that need to be clearly understood in the uphill climb. However, if your understanding of the market is optimal and you enhance your knowledge bar, regarding relevant concepts such as cohort analysis, and user onboarding experiences, including effective buyer personas, you may find yourself dominating the market in no time.