SaaS is a software distribution model based on cloud services in which a third-party host makes the software available to an end user over the internet. But you already know that. The problem here we are focusing on is selling this product.
Here, we are focusing on just 5 simple, actionable insights and product specifics that will lead you to identify the right way to sell it yourself.
Know Your Product
Is it a novel product? Is it a blue ocean or a red one? What value am I providing to my customers? What is my point of differentiation? How will we make this product available? These are questions that an entrepreneur needs to answer with respect to his SaaS product.
This is where it’s important to understand your unique selling proposition (USP) and back it up with evidence of results to prove a positive return on investment (ROI) on your SaaS product. If you are having trouble articulating any of this to a prospect with confidence, you may need to go back and spend some time working it out.
What is the guesstimate market for my product out there? How many of them can I realistically serve? Does this realistic estimate make my venture profitable? What is the worst-case scenario?
The market for any product is a living entity. It ebbs and flows, dies one moment and resurrects another. It is infinitely more important to know this market in and out if you’re a single trick pony, i.e. have just one product to depend on.
So, you know your market and you know your points of differentiation. How do you communicate that to your audience? What gives me the best chance to position my product most favourably?
Get an experienced marketer on board. Show him your research. Help him help you. Defining communications will more often than not be the make or break of it. Identify your clusters of prospects clearly and chart a route to reach them. That is your best chance to make a pitch.
It is your product. You have a general idea of the market, the closest alternate products and their price. You know how much work went into making this one, and that time bears a cost. Round up all such costs. Check your competitors’ price. Figure out your positioning in the market. Are you a cheap-for-all product or available only to the ones who you deem worthy enough?
Pricing is not a fickle game and we all know it has a huge bearing on how customers perceive your product.
Irrespective of whether its subscription based (repeat purchases) or one-time investment, complains and feedback have to be incorporated and taken cognizance of. Have a blueprint of FAQs and its answers ready to provide prompt service and answers from your end.
Efficient customer service is a part of the product you sell, do not dissociate and keep it in a secondary tab.