SaaS is turning computing into a utility like the electric grid did for industry.

SaaS is a significant growth driver but fuzzy informations spread over the web make it difficult to understand and differenciate from software hosting environments.

This blog focuses on key success factors driving the development of a successful Business-As-A-Service solution.

Saturday, September 19, 2009

Focus your energy on the Try-Buy conversion process

SaaS is about micro-marketing. After conceiving a Blue-Ocean strategy you already worked on several communication canevas which will drive targeted customers toward your dedicated mico-websites.

As a SaaS solution provider - being an ISV or a SaaS marketplace portal - you need to spend time and money on processes which maximize your recurring margins.

Focus your energy on the Try-Buy conversion process!

Optimizing this conversation rate means:
  • your blue-ocean strategy works
  • your segmented targets find your micro-site when they seek for a solution
  • your communication canevas convince them that your SaaS solution is their answer
  • your positioning and trying cinematics ease their decision to try your solution
  • the trial phase demonstrates that the benefits you exposed are the one they are looking for
  • your SaaS solution is adopted by the 'about-to-be' customers
  • the trial scenario and data matches their business needs
  • the trial-to-production environments are seen as a single and same SaaS solution
  • at the end of the trial the customers have already found how to satisfy more than 90% of their initial needs and expectations
Focusing on the try-to-buy process will drive efficiency and maximize your recurring margin. You will achieve a high conversion rate while at the same time reducing the future cost of your help desk support. Calls to your support team will drop significantly after 30 days if customers experienced a great try-to-buy process. When seeking for a long-tail business model you will thus increase the number of users without increasing your operational support cost at the same rate.

You will then get a rising number of satisfied customers which thus will also help you optimze your churn rate!

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