What is SaaS: A comprehensive explanation with secrets for SaaS success
SaaS, what is the definition and why is it an important term? Here is a comprehensive explanation to some of the best-kept SaaS success secrets awaiting.
Jun 22, 2020
Often when it comes to defining SaaS in a particular way or so, there are too many ways to approach. But the second we hear SaaS, what does it stand for, what are its benefits and why is it so much the talk of the town, are some of the questions we keep wandering.
Nevertheless, this blog is going to help you grab a comprehensive view of the term ‘SaaS’ and some of the best-kept secrets to amplify your business using SaaS. Let’s get started.
SaaS is basically a method of delivery where the data can be accessed from almost anywhere, anytime. It also works on a subscription-based system in which the user will have to pay a monthly or annual subscription fees. Additionally, it includes maintenance, support, and software licenses. This offers a web-based model. Where the software vendors host the database and the application on the server.
Not just that, the SaaS server provider takes care of the security, software, and hardware aspects of the model. As a user yourself, you will not be required to invest in upgrading associated licenses or server space. All that you have to do is hit ‘upgrade’.
Aside from this, it has a higher usability rate and is totally based on the pay-as-you-go policy. Let us now see what secrets behind bagging the ultimate SaaS success are.
#1 Cheers to Teamwork
Goes without saying, this era of novelty demands a quality relationship with the customer. It has in fact become a vital part of the business scale. And that is where the term customer success teams come into play. It renders a very proactive role in reaching out to the clients.
Also, they as directly connect with the customers, they have a better understanding of the customer behavior and can truly mentor the, in the journey with the company. As a SaaS company, the customer is the king in all ways.
SaaS, what is seen to be rather an opportunity to set up regular client engagement and to nudge them a step further to upsell and cross-sell. This is a great way to enhance your customer stickiness, letting them stay around more.
#2 Prioritize your Product Requisites
Once you have onboarded the right team, you will then have to think about the crucial functions that your SaaS product should be able to deliver. Ascertain different ways that should be included to offer value to your clients. Also, beware of the facets that you would want to steer away, ones who would not serve the desired purpose.
Perform intensive research and deep analysis catering to your user engagement. No matter what you think your client may have, it might always turn out in a different manner.
Further, add short and cute copy scripts of a feature on your product. You will have to draft it from the perspective of the client who wishes to delve into the new capabilities of the system.
#3 Pay Extra Heed to the Service
The 21st century has paved the way for a rather interactive model of customer service. Well, it is not like you install a particular service, and once the installation is complete, your relationship with the customer has severed for life. Now, all of the deliveries – be it support, infrastructure or solutions are the headaches of the vendor, and not the client itself.
The revenue generated today is entirely based on the user who reverts, the success of your business depends more on the ongoing customer service and their loyalty that they portray to you. And their loyalty is a sheer outcome of the service you provide.
Moreover, in the SaaS businesses, you must come up with a contingency plan, specially designed for downtime and security. Not to forget, the ease of finding all the data online can put a big question mark on your client’s trust. Ensure that you protect their confidentiality in the cloud in the best manner possible.
#4 Evolving Sales and Marketing Techniques
Marketing by nature can be quite dynamic. This is where you will have to channelize your marketing tools and target them to a specific audience. Cater your users with educational content that helps to educate the target audience and builds rational trust amongst them.
Amazon Prime and Netflix use their one-month free subscription tool which allows the users to explore the app, without really having to pay at the first interaction.
Remember, your first interaction makes a lot of difference. Not just that, you can also enable engaging content to manifest creatively in the social media podiums.
#5 Brush up your Metrics Book
Different business models need eclectic units of key performance indicators (KPI) when it comes to tracking customer success numerically. Pick only those metrics which render you a comprehensive view of your business.
In the customer success business, some of the common KPIs include Churn, Lifetime value of a customer (LTV), Committed Monthly Recurring Revenue (CMRR) and Customer Acquisition Cost (CAC) to name a few.
These metrics will help you bring out your results in a rather rational manner and put out a score for you. You will easily find out which are the areas where you have aced and the areas which might need a little brush-up.
SaaS as a subject could be extremely vast to delve into. If done right, it has the potential to generate a huge profit in the contemporary market.
While on the positive side, you can a user can completely not care about the infrastructure costs, maintenance, and solutions but at the same time could be a tad bit time-consuming to show instant success and you will have to work on the relationship aspect with your prospects,
SaaS, what is more like a strategy depends on successfully following the right path and executing your skills to the right audience at the right time. Make the clients see value in your product at each and every stage and you will reach the heights as a customer success leader in no time.
Simran hails from the content marketing backdrop with extensive knowledge in blogs, articles, and technical whitepapers in the non-fictional domain. She uses her 'gift of the gab' to explore new possibilities on her way and to make an exquisite impact on her readers. In her spare time, she likes to read journals on artificial intelligence or play with her cute kittens. You can connect with her on LinkedIn here.