The 4 Most Effective Sales Strategies for SaaS Products and Initiatives

The 4 Most Effective Sales Strategies for SaaS Products and Initiatives

Developing a sales strategy for SaaS initiatives that deliver the software they develop as a service (Software as a Service | SaaS) is just as important as the quality of the software itself. Although software as services are one of the most effective subsidiaries for the digital transformation of companies, this software alone is not sufficient to reach more individuals or companies. So, what kind of a sales strategy is needed for SaaS products? Here are the four most effective SaaSsales strategies for SaaS initiatives!

But first: What is a SaaS?

When it comes to SaaS initiatives, the road to developing an effective sales strategy is to understand the software's dynamics as a service. Therefore, before exploring the SaaS sales strategies, we should be able to answer the questions such as: What is SaaS? How are SaaS sales different from sales in other industries? How is the SaaS sales cycle? Let's briefly touch upon these questions before diving into the subject.

Service-based software or software as a service means benefiting from online tools that facilitate business processes in return for monthly or yearly subscription fees. Compared to traditional software usage, these software stores and managed in the cloud are much more expensive, and their integration processes are a lot easier. SaaS products can provide answers both to the needs of companies and individuals. For instance, MailChimp, which is often used for e-mail marketing, is a software as a service that can be beneficial both for a freelance IT expert and a global logistics company.

Being able to be used, subscribed to, and accessed via a single click, the models that are called software as a service can quickly get ahead of many industries with the numerous advantages they offer. At the same time, it is not always possible to say the same thing for SaaS sales. That's because these services defined as SaaS products consist of productized services. Instead of meeting a single need that requires covering the waterfront of a process dominated by a self-service approach in some way, the sales cycles of SaaS initiatives consist of decision stages that usually take between 14-30 days.  Thus, a well-designed SaaS sales strategy is just as valuable as the software offered.

Make a note of these sales strategies!

Let's dive into the four most effective SaaS sales strategies that will broaden your horizon...

1) Convince your potential customers with substantial arguments

The most important point in SaaS sales is to convince your potential customers to have a good experience. No... This has definitely nothing to do with the persuasion or communication skills of your sales representatives. Because instead of telling it, you need to show it. After they're purchased, software as a service becomes a part of numerous different scenarios in the direction of the goals determined by the customer. Thus, questions such as how well the software will comply with these scenarios, how they will meet the needs, and how efficient the budget to be spent will become to the forefront. Of course, you can verbally answer these questions and even guarantee your functionality with the data you gained via your past experiences. However, you cannot expect to reach your long-term sales goals with this strategy. During your meetings with your potential customers, you should convince them by delivering substantial arguments. To be able to do this, you need to let them test you through demo accounts or free trials. More importantly, you need to follow each stage very closely because the research shows that SaaS products' sales are closed after an average of five follow-up meetings held after the first meeting.

2) Remember that cost advantage is more of a priority than ever before

The cost advantage offered has a significant influence on the popularity of SaaS initiatives in this digital age. Thus, being budget-friendly should be emphasized for developing an effective SaaS sales strategy. Also, you need to be able to fill in this concept. The priorities of both the individuals and businesses have changed, particularly with the impact of the pandemic the whole world is fighting since the beginning of 2020. During this period, productivity took place on the top when remote working become much more widespread, while it has also brought about avoiding any spending that can cost a fortune. That's how having a cost advantage has become a priority more than ever before, and achievements have started to be examined much more. So how should these issues be reflected upon SaaS sales strategies? However, it is essential to adopt an approach that presents the benefits it will deliver. It would be best if you manifested how your customers will save money on expenses right off the bat and make them feel how your strategy will correspond to their goals.

3) Make additional sales to your current customers or grant them privileges

Another point to consider for an effective SaaS sales strategy is to see each of your current customers as loyal users. For the sustainability of this subscription-based business model, it is aimed for the customer to extend the membership and even make it a continuous one at the end of the one-month or one-year trial period instead of reviewing this process. Because when it comes to software capable of meeting the needs without dealing with anyone except the sales representatives, not using the service or unsubscribing is a lot easier. Here, it is essential to make additional sales to your current customers or grant them some privileges during their membership period. Besides, it is much easier than convincing a potential customer to purchase. Not only do they already trust you, but also already experienced the benefits offered by the software. The primary behavior to avoid when closing new sales with your current customers is to force them. In order not to make them feel this way, you can periodically communicate with them to evaluate their satisfaction levels and get to know whether there is any subject they wait for support. When you decide to take action for additional sales, you should make sure you aim at the customers satisfied with the service they get. Remember: If you were able to add value to them, there is hope for new sales!

4) Use social media actively

As in other industries, they are interacting with the target audience is a must for an effective sales strategy in SaaS initiatives. Considering that the target audience of SaaS initiatives is a determined group towards being integrated into the digital age, it is a clear fact to discuss the digital platforms certainly. Especially the social media platforms! Today, social media is the recipe for closing sales. For the SaaS initiatives to turn this unique opportunity into an effective SaaS sales strategy, they need to know through which social media platforms they can reach both their current and potential customers and use these platforms actively. By saying 'actively', we don't mean constantly sharing posts but paving the way for dialogues to provide mutual benefits. For instance, quick facts that answer the audience's questions that will use these SaaS products, short video clips presenting who you are, user-friendly tips, and surveys to collect reviews and leads can create many opportunities to increase your SaaS sales.