In any industry, you will encounter potential customers who need encouragement to buy your product. For SaaS businesses, there are particular challenges such as wariness of subscription-based deals, lack of understanding of the SaaS model, and whether a product represents good value for money. It’s essential to offer assurance to those reluctant prospects, and in this post, we’re going to show you how.
- Build a Buyer Persona
The first step in any marketing and sales strategy is to create a buyer persona. Here’s a short description of it from Sam Kusinitz at Hubspot:
“A buyer persona is a semi-fictional representation of your ideal customer based on market research and real data about your existing customers.”
By conducting detailed industry research, together with analyzing the needs of your potential buyers, you will be able to target the right market for your products. In building a buyer persona for your SaaS business, consider the following factors:
- Industry: In which industry or industries do the prospective clients work in? Who are their customers?
- Size: What is the typical size of the companies? Are they small-to-medium businesses or large corporations?
- Age of the companies: Do they tend to be established businesses or startups?
- Budget: Do prospective clients typically have large budgets for SaaS products?
- Challenges: What are the typical challenges for your target buyers?
By following these criteria, you’ll have a holistic view of your prospective buyers, and be ready to market your SaaS products in the right way.
- Design and Deliver an Outstanding Customer Experience
The process starts before your prospective buyers become customers. In order to convince reluctant prospects, you need to establish a relationship and build trust. Answer any queries they may have promptly and thoroughly. By being useful and helpful, the potential buyer will start to feel you understand their requirements.
It’s important not to push your products too hard; otherwise, the buyer will think you are only interested in selling, rather than offering a solution.
As you establish the relationship, take the time to find out how your SaaS product can help them. If you can, put it in numerical terms. For example, if you have an accounting SaaS tool, then you could calculate how much time you can save and improve accuracy – leading to a more cost-efficient business.
Taking this persistent, yet soft-sell approach, you’ll be giving yourself the best chance possible at converting those reluctant buyers.
- Tap Into Reviews
There’s a reason so many SaaS businesses and apps have embraced the star rating system. If you have a good product with the right customers, then it’s highly likely you’ll be receiving positive reviews which can then lead to a higher conversion rate for reluctant buyers.
Surveys suggest that two-thirds of B2B SaaS buyers say customer reviews impacted their purchasing decision. So make it as easy as possible for existing customers to leave reviews or star ratings, using tools like Yotpo. In order to build a bank of reviews, consider asking customers to leave them through follow-up emails.
While there’s no guarantee every review will be positive, if you have a good product combined with excellent customer service, then you can turn those satisfied customers into advocates for your business.
- Take Data Protection Seriously
One of the primary concerns for potential customers is data security. There have been a number of serious data hacks in recent years, where millions of individuals’ privacy have been severely compromised. These include banking details, addresses, and even medical histories.
As a SaaS provider, it’s essential that you take data security seriously. A data hack not only violates your customers’ privacy but also puts your business at risk. Therefore, it’s in everyone’s interest to find the best data protection possible.
The best advice is to follow best practices for data security and be transparent with customers about what you are doing with their valuable data.
- Demonstrate Your Product
Once you have established a relationship with your prospective buyer and addressed their concerns, allow them to see how your product works. This could be done with an on-site demonstration or by offering a free trial period.
For instance, Toast, an all-in-one restaurant management platform, needed to convince reluctant buyers about the value of its product. The company’s VP of Marketing, Ellie Mirman, explained how they did this:
“One good example scenario we use is the difference between having all orders and other data for a restaurant tracked automatically (and being able to have real-time access to all that data) versus having to track all of that information manually,” explains Mirman. “In addition to losing money because of an inefficient process, there are also very tangible costs associated with manual, pen-and-paper-based bookkeeping, including paying the bookkeeper.”
The keyword is “tangible.” By showing tangible benefits to using your SaaS product you will better convert holdouts.
The most critical step is the first one. By building a solid understanding of your target customers, you will have the confidence and data to convince reluctant buyers. If you cannot prove your claims with hard evidence, then your SaaS product could struggle. You could receive poor reviews, damage your reputation, and hit your bottom line.
Emily is Editor in Chief at SaaS Mag, bringing with her a history of business and economic writing as well as editorial directing for Wharton Magazine, professional experience in investment banking and oil & gas consulting, and a passion for international business. As a marketing analyst for FE International, she manages the communication of a company’s identity through the application of content marketing and data analysis. Emily graduated from the University of Pennsylvania and the Wharton School with a Bachelor of Arts in English and a Bachelor of Science in economics.