SaaS Marketing Strategy Focus: Scalable Customer Acquisition
Through scalable SaaS Marketing practices, Sixteen Ventures lead by Lincoln Murphy, provides software-as-a-service (SaaS) and Web App companies everything they need to acquire customers, improve retention, and grow the lifetime value of those customers.
New Challenges – and Opportunities – Require an Optimized SaaS Marketing Strategy
The cloud introduces new challenges for traditional Independent Software Vendors (ISV), but even for those who are building new Software-as-a-Service (SaaS) or Web Applications (Web Apps) from scratch, many challenges exist, with marketing being one of the biggest.
SaaS Marketing Mix: The Four P’s meet the Cloud
The traditional Marketing Mix has been around for many years, and while the core concepts remain valid, the approach taken by SaaS Marketers requires some special modifications.
SaaS Marketing IS the Product… and so much more
The basis of a SaaS Marketing Strategy is the traditional Marketing Mix that should be familiar to anyone who’s taken Marketing 101:
- Product: Build your Web App the right way; so that it sells itself!
- Promotion: Creating, Communicating, and Promoting a compelling Value Proposition for your Web App
- Pricing: Applying Value Pricing Strategies to your SaaS product
- Place (Distribution): Getting your SaaS product in front of the right audience, at the right time, the right way
… and just about every aspect of the Marketing Mix as applied to a SaaS Marketing Strategy is different from that used when selling traditional, installed software!
Different Sales Models, Similar Goals for all SaaS Marketing
While the specific challenges of a particular SaaS Marketing Strategy are different depending upon the type of sales process used, e-commerce, self-service or higher-touch and human-powered, many of the over all strategies remain constant.
The Goal of Your SaaS Marketing Strategy: to Quickly Create Profitable Customers
Because Software-as-a-Service (SaaS) and Web Apps are very often sold on a recurring revenue, monthly basis – without a large upfront payment like traditional software – the key to successful SaaS Marketing is efficiency and scalability.
Payback Customer Acquisition Costs Quickly with a Great SaaS Marketing Strategy
Regardless of the type of sales process, SaaS Marketing requires you to leverage scalable methods to attract the right audience up-front, to get the customer to try before they buy, and the methods used to convert your prospect to a paying customer.
SaaS Marketing ultimately breaks down to a per-customer cost and should be paid back as quickly as possible in an effort to turn new customers into profitable customers.
An Effective SaaS Marketing Strategy Requires Scalability and Efficiency
This push toward Customer Acquisition Cost (CAC) payback – recouping the cost of SaaS Marketing – should only be done with customer retention and lifetime value (CLV) in mind, however.
Scalable and Repeatable Sales Process = SaaS Marketing Success
So when considering the best approach for SaaS Marketing, remember that it is critical to have product / market fit before attempting to scale any marketing efforts and to have a very clear path to move a prospect from getting their attention, to getting them to use your product, to ultimately – and quickly – becoming a paying customer.
Remember, I’m here to help you with your SaaS Marketing success so don’t hesitate to reach out!
– Lincoln Murphy