E-Commerce has drastically changed the way people buy and sell almost everything. For startups, this transformation has been dramatic, especially when it comes to software. Buying processes that used to take months can now be finished within seconds using a credit card and only a few clicks.
While it might be easier than ever for companies to purchase software as a service (SaaS), that doesn’t guarantee success for providers. In the current digital world, the software is sold, not purchased, meaning SaaS providers must actively educate, engage, and support customers. Here are several tips for SaaS sales success.
1. Create a great SaaS demo experience
A well-executed demo can go a long way in closing a deal when you are selling SaaS. It can convince prospects to buy, while a bad demo will easily lose potential customers. As with any sales representation, understanding your audience is the key to SaaS sales success. This includes knowing who you are selling to, their needs and pain points, and the level of their technical expertise.
This will help you determine your demo’s overall approach and tone. In addition, you will need to set up your environment to ensure your demos are successful. Great sales demo environments are not created by magic, meaning you must have the appropriate tools in place, both people and technology.
2. Keep your trials short and simple
A long free trial may seem like a perfect way to hook prospects, but making your customers go through a series of hoops just to access a trial is a fail-safe way to generate high drop-off rates. Trials should not be any longer than 14 days for nearly all startups.
A simple three-set activation that needs only an email and a password are far more inviting. In addition, reducing your sales cycle from six to three can significantly lower your customer acquisition costs. You can set up a series of communications to maintain the momentum and engage with your customers as the trial progresses.
3. Make customer onboarding a top priority
Effective onboarding can significantly boost customer retention and satisfaction. It can change how people feel about and interact with your brand since a good customer onboarding experience will lead to an instant connection between a new user and your product. After all, the first impression is the most lasting. Besides leading to customer retention, top user onboarding establishes trust and customer loyalty and provides opportunities for cross-selling and up-selling.
4. Optimize your email campaign
Email marketing can improve your engagement and conversion rates and help build a loyal customer base if done efficiently. In fact, the best-performing SaaS companies are more focused on email conversion rates than ever since email continues to reign as the most powerful sales channel. To optimize your SaaS email marketing campaigns, focus on the four key email metrics. These include:
- Email deliverability
- One-page behavior
- Open rates
- Click-through rates
However, before you start your email campaign optimization, ensure that you have a high enough website traffic, clear business goals to link email performance, and a deep understanding of your target audience. It will be of little use if the email doesn’t add much to your campaign’s results, even if you optimize an email.
5. Sell holistic, customer-centric solutions
Selling SaaS needs a unique mindset. Your sales team needs to put potential clients and their challenges first instead of checking off speeds and feeds. That way, your team will be able to identify the best apps or bundles to address these challenges.
When clients know the value they get from SaaS, you become a trusted advisor. This is essential in reducing customer churn and leading future up and cross-selling opportunities. To sell SaaS effectively, you must listen first, communicate a clear return on investment (ROI) and become an expert at handling unique SaaS challenges.
6. Offer annual prepaid plans
Most startups love SaaS products due to their consistent monthly revenue. However, post-paid plans tend to lead to slow income trickle to startups.
SaaS startups require a lot of fast income to maintain growth. Selling annual prepaid plans to customers is one of the best ways to acquire this, and it comes with a trade-off. Prepaid annual plans give a lot of instant revenue, even as much as a year’s worth of revenue per account. You can use this influx of income to hire more sales professionals, improve your product, or expand into new markets.
Endnote
SaaS sales are not easy, but if you incorporate the right tools and strategies in your sales cycle, you can significantly boost your chances of success. With these key tips, you can sell more SaaS and help your company become one of the most trusted technology advisors and go-to sources for the solutions your customers require to thrive.