With multiple SaaS options available in the industry, it can get harder to stand out and generate leads. However, with an effective marketing strategy, you can get a competitive advantage over other businesses and win over your customers.
The SaaS (Software as a Service) industry is growing at an exponential rate and getting bigger on a daily basis. Currently, the market is worth more than $115 billion, and projections show that it will grow to $896.2 billion by 2030. There are around 10,000 SaaS providers registered globally, indicating the ferocity of competition. And to survive, they need a winning growth strategy that can keep the business afloat.
Austin Rotter, a renowned media strategy professional, recently outlined seven effective tactics for the sustainable expansion of SaaS businesses. This is a blueprint for small companies, especially startups striving to reach more customers and start generating revenue.
1. Sell the Solution, Not the Product
The key to running a successful SaaS business depends on how you market your product. A rookie mistake most companies make is that they begin to praise their product. Instead of marketing it as the perfect solution, they shift gears to comparing it with the competition. The ideal way is to address the pinpoints of your target audience.
When you talk about the problem, you capture your audience’s attention. They recognize that your SaaS solution meets their demands and express interest in it as a result. To succeed with this tactic, you must understand the difficulties your target market is experiencing. Once you figure that out, demonstrate how your product may assist them in overcoming these obstacles. If you have existing customers, advertise how your product made their life or work easy.
2. Spark Interest with Free Trials or Freemium
Most SaaS companies rely on providing product demos to attract new clientele. However, the problem with this strategy is that it only gives buyers a general idea of what your software can do. Unless people have firsthand experience with the product, they can’t fully appreciate it. And nobody would prefer to invest in something for which there’s no assurance of a positive return.
This is where a free trial or freemium model can help you out. Providing potential customers with a 15- or 30-day free trial will help you clinch more deals. Another way to lure customers is by making a few features of your software available for free. This is known as the “freemium strategy” that Yammer and Splunk have used to generate B2B sales leads.
Related: B2B Marketing Strategies
3. Create Value through Content Marketing
Content marketing creates interest in your software among the target audience. It is the optimal way to create brand awareness and capture leads. You can utilize various mediums, such as blogging and social media channels, to create and spread valuable content. This top-of-the-funnel (TOFU) strategy can help you generate leads through search engines like Google.
You can write informative content to help people solve problems using your software. You may also write comparison guides to tell how your product is different and unique. This will enable you to build a knowledge base and outrank your competitors on Google.
4. Focus on Video Marketing
Content marketing is good for engagement, but visual marketing is gold. People like to watch videos, and according to Hubspot, 54% of customers prefer watching brand marketing content. Video marketing is, therefore, an excellent way to grow your SaaS business.
The best thing about it is that you can give your audiences a feel for your software. You can show them how your product works and what problems customers can solve using it. The ideal platforms for video marketing are YouTube, TikTok, and Facebook. These are the top three channels where people consume the most visual content.
5. Pay Close Attention to Customer Experience
If there is one strategy that can win the hearts of customers for you, it’s a better customer experience. In fact, it’s more valuable than offering good services or products to people. The reason is simple – people like products that are frictionless and easy to use. Therefore, make sure that your software has the best visuals to engage customers and offers a seamless experience to users.
6. Take Advantage of Business Intelligence (BI)
Business intelligence provides actionable insights that help a company make informed decisions. You can sharpen your marketing campaigns and adjust software pricing by leveraging data. What’s more intriguing is that BI can help you understand customer behavior.
Business intelligence can help you know what strategy is working and where you should put more effort. With proper use of analytics, you can always stay one step ahead of your competition.
7. Hear Out Your Customers
You’ve probably heard the old adage, “the customer is always right.” And when it comes to SaaS marketing, nothing is more valuable than what your customers say. Since they are the end user, listening to their voices can help you develop a winning strategy. Thus, you should conduct frequent surveys to know customers’ perceptions about your software and what improvements they need.
The Bottom Line
As per these tips from Austin Rotter, marketers need a mix of innovative strategies to ensure the growth of their SaaS business. There’s no one size that fits all but the above strategies can help you put your best foot forward. All you need is to address the pinpoints of customers and sell your software as a solution. Create valuable content and use video marketing to spread the word about your SaaS product.