In recent years, it has become much more challenging to achieve SaaS business growth. That said, creating a SaaS growth strategy that works will require a few key considerations. Learn more about SaaS Strategies, why it is important and seven different ones you can use to scale your business to new heights.
What Is a SaaS Growth Strategy and Why Is It Important?
A software as a service (SaaS) growth strategy involves utilizing techniques and tracking key performance indicators (KPIs) to create real business growth. It is a laid-out plan of how an organization plans to scale the business, create more opportunities, expand its offering and generate more revenue.
It allows a company to remedy challenges that have held the organization back. Doing so can help build more opportunities, pushing the business forward.
Here are three vital factors a SaaS growth strategy should focus on:
- Identifying factors that have created business challenges in the past.
- Accurately tracking and measuring what is working and then implementing measures to improve it further.
- Creating opportunities that help expand the business.
7 SaaS Growth Strategies To Utilize For Your Business
As a SaaS business, it is essential to differentiate your business from competitors and to focus on areas that create lasting change for your company. Here are seven SaaS growth strategies to skyrocket your business.
1. Prioritize Customer Acquisition
One of the most essential strategies a SaaS business can incorporate is to focus on customer acquisition. Creating a consistent stream of leads is one of the best ways to transpire growth. That said, before you can start attracting new prospects, you must first know who you want to target.
You will need to figure out who your ideal audience is and where they spend their time. In other words, the social channels they frequent the most. Next, create strategic marketing campaigns for those platforms.
To learn more about your customers, consider creating detailed buyer personas. Another great way of creating a solid stream of leads is to offer referral programs. In some cases, referral programs can also help with customer retention.
2. Create Strategic Partnerships
Another great strategy SaaS businesses should consider is creating strategic partnerships. This technique can quickly transpire massive business growth.
Partnering with the right companies can expand your client pool and help you reach new customers who might not have needed your product in the past. The best way to find partners is to look for products or services that enhance the ones you sell.
Consider what additional items/offerings will make it more valuable to clients. The best route to take is to seek partnerships that benefit everyone involved.
3. Focus on Customer Experience and Retention Rates
Ensuring the customer is happy and satisfied with their experience will help with increasing retention rates. They work hand in hand together. Try to solve challenging areas your customers experience.
For example, customers often buy a product and then struggle to use it. While some does spend the time to understand the inner workings, other might leave and try to find an alternative option. In this case, one of the best things to do is to implement in-app onboarding.
This will provide customers with a starting point to build upon and alleviate many difficulties they could initially encounter. The main idea is to consistently try to solve headaches your clientele experiences.
4. Utilize a SaaS Product-Led Growth Model
A product-led growth model is a popular business strategy that many SaaS companies employ. The primary idea is to use the product to do most of its selling.
For example, implementing free trials, self-guided demos or even a freemium pricing tier. This way, the product itself showcases the value it provides and convinces clients to become paying customers.
5. Create a Comprehensive Pricing Structure
Comprehensive does not mean complicated. No Saas business wants clients to feel overwhelmed with the pricing structure. This could lead to a prospect that was intending to use the service taking their business elsewhere.
Instead, the goal is to make it easy to understand and fit the needs of various clients. A user should be able to quickly scan through the pricing option to determine the best match for them.
Consider laying out all the different plans so users can compare which ones would make the most sense for them. Also, consider whether adding a usage-based pricing model would make sense. This could lead to more people utilizing the business service because it better fits their needs.
6. Provide Phenomenal Customer Support
With any SaaS business, its consumers will experience difficulties down the road. Effectively supporting these clients and helping them rectify the challenges they face can help in building real company growth.
It can also aid with increasing customer retention, which is incredibly vital, especially for a SaaS company. Prioritize customer experience and enable measures that ease their troubles. Consider having multiple ways for clients to contact the business.
Also, implement self-service methods that help them obtain an answer quickly, such as video tutorials or a frequently asked section (FAQ). Another option is to add live chat on the website.
Excellent customer support will provide them with the help they need and improve their satisfaction. The happier a client is with a product, the more likelier they are to refer it to their friends and colleagues.
7. The Power of SEO and Content Marketing
An excellent SaaS growth strategy many companies should consider is to invest more in search engine optimization (SEO) and content marketing. With businesses prioritizing their SEO efforts, they can attract more potential prospects.
On the other hand, content marketing can help to convert these prospects to paying customers. Additionally, it also serves as a way to bring more value to customers and even solve some of their challenges.
With organizations utilizing these two together, they can skyrocket their business to new levels of lasting growth. While this is a long-term strategy requiring consistent effort, it is one worth investing in.
Creating a SaaS Growth Strategy That Works For Your Business
An effective SaaS Growth strategy can aid organizations in scaling their businesses to new levels of success. It can help them stand out from their competitors, remedy previous company challenges and create opportunities.
Not every strategy will work with every business and often, it requires a plan that utilizes multiple of them to be effective. With organizations taking a holistic approach and utilizing SaaS growth strategy that works for their company, they can propel the business forward to create lasting success.