Data is changing the businesses operate and do business today. Most companies are collecting vast amounts of data but fall short of having a comprehensive strategy to guide them in making the right business decisions. When software as a service comes in, companies get an overwhelming amount of data, and this means creating and implementing a strategy is very important.
Today, companies can analyze customer habits using third part data, predictive analytics and machine learning. This type of data has the potential to change marketing actions and initiatives, and improve on the overall customer success outcomes. All these capabilities make SaaS companies to be very competitive, and give them a lot of insights across different departments. If you have some doubts about the performance of your employees or marketing campaigns, the best way to go about it is to use data to guide you in making better decisions.
Creating a data strategy
To create a data strategy for any SaaS company, the first step is to ask your team questions, and lots of questions for that matter. Questions that you ask should be driven by pure curiosity, but have a business impact. You need to get answers to the type of questions to ask, that can improve business processes. You may need to ask questions such as;
– Who is buying my product?
– What is the average customer acquisition cost?
– What is the most it could cost?
– Where are we losing customers?
– Is this feature driving engagement?
It is very important to ask a lot of meaningful questions that can help you draw good conclusions for your business. After you have created a list of questions you would like to answer, the next step is to figure out the kind of data you need to be able to answer those questions.
If you would like to know who will be buying your products, you will need to collect demographic data using tools such as Google Analytics.
To know your average customer acquisition cost, collect data on conversion rates and marketing expenses, as well as internal fixed costs.
To know the most your product or service should cost, you may need to collect more data than online tools can provide. You may also want to track and analyze support calls and refunds.
If you want to know where you are losing people in your sales funnel, you may need to ask yourself a couple of questions. Do you lose people before they sign up for a trial? Or do they complete their trial period and then abandon your platform? You can get this data from both website and application tracking tools.
If you have a feature and would like to know if its driving engagement or not, you may need to consider which users are using the feature. You can collect this type of data with the use of Google Tag Manager as well as other tools.
The next vital step is to hypothesize your data and create benchmarks. As you gather your date, you will be in a better position to understand real situations and also remove any bias from your products.
Referrals have long been one of the top ways businesses use to grow. Entrepreneurs rely more and more on their networks and other resources to market their products and services. It is very important to develop a referral system in your marketing plan if you want your business to grow. Many of those running their own business make the mistake of not bothering with referrals. They assume their clients will pass a good word of mouth about them.
The problem with being less proactive when it comes to asking for referrals is that you stand to miss out on one of the most effective ways of getting more clients. Referral leads cost less and generate very high conversions. If you want to save your marketing dollars and increase your response rate, then you must develop a proactive referral program. Here’s how to go about it.
Have a referral request mindset
The first thing you need to have is to get into the habit of asking for referrals by overcoming your fears. You can do so in different ways. Remember that people are willing to help others if there is no negative cost associated with the same. Remind yourself that the worst that can happen is just a -no, and that is not something very terrible.
Choose your referral request method
There are different methods you can use for referrals. These include lead forms, business cards, email, shareable links, social media among others. Note that though social media seems easier to go about it, it is also the least effective and converting. You can make referrals to be part of your email and social media marketing campaign.
Use a referral request script
Up until that time when asking for referrals has become a habit and you are comfortable with it, then you need to write a script that you should always follow. You are not making a speech. All you need when asking for referrals is to be sincere, brief, and direct in your approach. You can also give some of your business cards to your clients so that they can share it with others.
Follow best practices
When asking for referrals, there are different best practices you can include to increase your chances of success. Always ask for referrals face to face. It will not only be respectful to your clients but will also prove to be more successful. People are more likely to do something for someone if the request is personalized. Additionally, consider offering an incentive for successful referrals. You should never ask for referrals when presenting a bill. The time that you bare asking for referral also presents an excellent way to ask the client for a testimonial.
Note that practice makes perfect. Never let fear and doubt come into your mind and derail the process of building your business. Referrals will generate you a lot of revenue from new clients and the more referrals you can ask, the more you will get. People only stop after asking for just one referral. Push hard to ask for as many referrals as possible and ensure you track all your referrals.