Tag: SaaS application

This Is Why SaaS Is Getting Popular

Posted on by Akash Tripathi

60% of businesses today are online and they all use SaaS products in one way or another. SaaS is nowadays considered an important part of a company’s unhampered growth and success in the ever-changing market.

So, let us have a peek into why SaaS is getting popular and how it can help your business.

What Is SaaS?

What is SaaS?

SaaS, elaborated as Software as a Service, is software providing technology that enables users to access data stored on the cloud from any device, connected to the internet using a browser.

It helps businesses run their applications on the cloud version without having to worry about investing in their hardware.

It has been in the picture since the late 1990s and has been a proven cost-effective solution for businesses.

Further simplifying it, It is a software on demand which offers IT solutions over shared infrastructure usually deployed via the cloud network rather than owned separately by a particular business.

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If you are looking at and thinking about why SaaS is so popular with businesses these days, then let’s dig into everything you need to know.Reasons why Businesses are Preferring SaaS

Here are some of the prominent reasons why businesses are going with SaaS:

Reduced Infrastructure Costs:

While you deliver your next software/project to your client using SaaS, you do not need to worry about all the key infrastructure it will require to run properly.

All infrastructural needs for your project are completely handled by your SaaS provider.

The providers are the one who are responsible for dealing with all the necessary infrastructural needs of your project.

The SaaS provider is also responsible for all the maintenance that your infrastructure will ever require during the time it is being used by you.

Low-Cost:

SaaS services are affordable for almost all businesses because SaaS providers charge businesses as per their usage. It is a cost-effective business solution as you only pay for the infrastructure you use.

As opposed to establishing the company’s infrastructure for the project, where costs can go sky-high and the resources might not get utilized to their extreme.

Trouble Free:

Every aspect of the infrastructure is handled by the SaaS provider, ranging from installations, maintenance, and upgrades, if needed all are taken well care of.

This results in almost no infrastructure related troubles for the business and ensures smooth working of it almost all the time. SaaS vendors always take care of their promises and try to handover their solutions in the designated time frames.

Fully Scalable:

As a business, we all want a service or infrastructure which we can expand and scale as per our needs.

When we run high on projects we would usually need more infrastructure for deployment and other parts of the project, whereas when the company is a little bit low on its workload, it requires less of everything.

SaaS helps you right away with this, when the company wants to scale up its storage capacities, it can be done quickly by just opting for a bigger plan, hence, eliminating all the needs of buying and implementing our infrastructure which can result in a lengthy process in time-critical businesses.

Unlimited Updates:

SaaS vendors usually take care of your software’s updates and also suggest and do upgrades as and when necessary, introducing you with the newest features in the market which can help you score big in your business.

You will always be in front, with all the latest patches and software updates delivered to you very easily and without any underlying complexities.

Secure:

SaaS vendors earn money based on the trust people have in their company. As the trust of people in SaaS companies increases, more people opt in to use the solutions provided by a SaaS company.

SaaS companies usually set up their data servers in such a way that they are geographically scattered. Scattering servers decreases the chances of security breaches and also provides more up-time to the customers.

While SaaS was on its progress stage, many companies held back off because they thought that SaaS was not fully secure.

But as time has passed SaaS has proved everyone wrong, and has emerged as a secure way for companies to use software and store their data.

Great Availability:

SaaS service providers always ensure that their systems are up and running all the time, most SaaS vendors have recorded uptime of 99%.

With this, all that you need to have is a computer connected to the internet to manage your tasks easily. This makes it particularly easy for everyone because a request is all you need to access the data.

So, what is the Future of SaaS in businesses?

Increased Productivity And Newer Apps:

Oracle’s reports show how widely GitHub’s user base grew between the users 2012 to 2018. It rocketed to 31 million users from a mere 5 million users in 2012.

This growth in user base points to only one direction, better and more proficient software developers, which have increased productivity and better ideas to deal with all the problems they are pitched with.

As a part of technological advancements taking place with SaaS, newer and more improved apps can come into the picture. SaaS will improve coding processes and the development tools indulged in it.

More Businesses Migrating To Cloud:

Today more and more businesses are starting to use cloud-based solutions for their workflows.

As the time comes, about 80% of businesses will migrate from the traditional, privately owned data warehouses to public cloud data warehouses, which will be a driving force to the companies of the future who want to implement and use different work cultures as well as for trying out different options for data storage.

Extensive Use Of AI And Machine Learning:

As per the reports of Oracle, 89% of people use voice assistants in one or the other way. AI-powered chat bots are used by companies to be connected with their customers always.

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Companies no longer rely on management for critical decisions, rather they use AI to make efficient decisions by feeding in the most accurate data available for a specific decision.

Final Thought

SaaS is an evolutionary system, which will always help you in one way or the other as it has so many benefits. It is a service where you pay as per your usage, so it simplifies costs greatly for companies.

SaaS solutions offer integration and customization capacities for all types of users.

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More and more businesses are now adopting SaaS platforms for their daily works and every other project. SaaS systems greatly decrease the complexities involved in deploying software projects.

These are some of the reasons why SaaS is getting popular with businesses these days.

Make The Best Use Of SaaS Development Services

Posted on by Jay

Let’s start with What is Software as a Service (SaaS)?

Gartner describes “Software as a service (SaaS) is software that is owned, delivered and managed remotely by one or more providers. The provider delivers software based on one set of common code and data definitions that is consumed in a one-to-many model by all contracted customers at anytime on a pay-for-use basis or as a subscription based on use metrics.”.

In other words, the application that you can use to deliver and managed remotely, and you can access it via your web browser (and mobile device).

All verified end users can connect to it over the internet at any point in time on a subscription basis or pay as you go basis.

As these Cloud-based SaaS solution which can be accessed from various devices like laptop, tablets, and smartphones. It is more important for workers as they can work from anywhere and at any time. Particularly, on this Covid19 Pandemic situation.

What is SaaS Development

Source: Cleveroad.com

SaaS platforms are ever showing smug with their current growth arrow or customer churn rates, even they are the peak of their performance.

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In 2022, you need to take a deep dive to assess the productiveness of your SaaS marketing and engagement strategies to find prospective adoptions.

“52% of SaaS companies increased their spending on customer retention last year.”

“55% of SAAS companies rate Customer Retention Cost as the key metric to measure. (Totango)”

Chris Lean – 310creative.com

SaaS And Andolasoft

SaaS application models are only continuing to grow in popularity, thanks to their scalability, flexibility, license cost reduction, and automatic updates.

Yet while it offers many advantages over on-premise solutions, SaaS also present certain unique challenges that companies need to keep in mind.

This infographic shares the core benefits for adapting the SaaS Solution and how Andolasoft can make your development journey clean and clear.

Let’s get started:

Make the Best Use of SaaS Development Services

Conclusion

By choosing the right approach, you will obtain the ability to maintain, distribute, license your product in the most convenient ways.

But while switching to the SaaS model, you must consider your business strategy that will vastly increase your odds of long-term success.

So, do not hesitate to ask your question and seek clarification from our technical gurus. Let’s talk!

How to keep your SaaS Startup Revenue on Track

Posted on by Jay

After an unprecedented bull run for 11 years, SaaS businesses are faced with a lot of uncertainty as they overcome the business impact of the global pandemic.

There is no fixed path ahead. The truths of each Monday are re-calibrated by next Friday. In the current scenario, agility is critical. You must look at the right leading indicators to make decisions quickly or risk getting buried under loads of data.

While revenue metrics like LTV, CAC, NRR, and Quick Ratio are solid ways to diagnose long-term trends with respect to how the business is performing, it is important to look at the leading indicators of your revenue health, and act on them before they significantly impact growth and cash flows.

Let’s dig into some metrics you should consider.

Cash Burn

Cash burn, the rate at which companies use up their cash balance or reserves, can be impacted by both revenue (inflows) and expenditure (outflows). It’s always good to conservatively assume a higher burn rate unless your business is accelerating.

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Even though there are multiple variables impacting your revenue, the key lies in being flexible and reacting wisely from an expenditure standpoint. It’s good to plan for all outcomes, and not assume you’re going to have a V-shaped recovery.

Practice conservatism and have one to three months of a runaway. This is impactful if the current situation is going to linger longer.

If your vendors are affected, reach out. You could prepay some of these expenses and probably negotiate a discount as well. A 10 to 20% discount means cash sitting on your balance sheet, which eases your expense burdens in the future

Sales Outstanding

At Andolasoft, we are seeing the DSO ratio increasing across all our clients as end customers are slow to pay in recent months.

Sales outstanding is basically calculating the time it takes for you to collect an invoice. This metric is one of the few things you can control.

If you received payment in 20 days pre-crisis, depending on the business you’re collecting from, it might take 30 to 40 days moving forward.

This could have a huge impact on your working capital. When forecasting for the next three to six months, take a closer look at the day sales outstanding ratio.

Accounts Receivables Aging Report

Given that most customers might be freezing their budgets, you may want to close payments on your receivables sooner than later.

On the other side, we’re also seeing businesses with stronger cashflow positions offering more lenient payment terms up to net-60 and net-90 days to build a stronger rapport with their customers.

A real-time accounts receivable aging report lets you see how much money your customers have paid, any outstanding payments, and current debt.

Aging reports help identify customers who aren’t paying, which makes it easier for you to reach out and negotiate payment terms.

Lifetime Value

The next thing you need to focus on is your growth sustainability. Growth should never come at the cost of profitability.

If you acquire a customer with a higher customer acquisition cost (CAC) and low lifetime value (LTV), it means you’re scaling but not profitably.

One way to balance growth and profitability is by the rule of 40. If your growth rate plus EBITDA equals 40%, it means you’re growing profitably.

In this scenario, you should ensure you’re bringing in the right kind of customers and make sure that your retention is high.

I’ve worked with the team at Andolasoft on multiple websites. They are professional, responsive, & easy to work with. I’ve had great experiences & would recommend their services to anyone.

Ruthie Miller, Sr. Mktg. Specialist

Salesforce, Houston, Texas

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The advantage of an LTV metric is that it gives you an idea of your customers’ quality. It also shows how well you’re able to retain them, which in turn, helps your team prioritize the accounts that are more likely to last longer than a free-trial period.

Total Credit Notes

Finally, you should be closely watching the leakage points in your revenue cycle.

The total credit notes report shows you the impact of credits and refunds you’ve offered to customers. While churn is bad news in itself, full refunds are even worse as they impact cash already in the bank.

I see some businesses restructuring their refund policies to only offer credits at this time, but it might have a significant hit on the brand. An option can be setting up internal policies, to look into the merits of each refund, then process it on a case-by-case basis.

On the other hand, acquisition teams are starting to use more coupons and discounts to close more deals.

While discounts are a great way to retain customers and continue running the sales machine, you need to watch its impact on revenue and ensure you are reporting on monthly recurring revenue (MRR) and leakages correctly.

This way, you wouldn’t be pushed to a scenario where sales continues to close seemingly big numbers, but with all the heavy discounts you don’t even see its impact downstream on total MRR.

Everything you knew about growing a startup or SaaS business has been upended. You’ll be faced with making tough decisions and your commitment will definitely be tested.

But with a clear understanding of your startup’s health and how your finances are changing on a daily basis, you can navigate these choppy waters.

Planning to launch your SaaS startup? Let’s Discuss!

How To Implement B2B Customer Retention Strategies In SaaS

Posted on by Jay

B2B software companies have to spend time and money on customer retention strategy. It is not easy to retain your existing customers and get new ones as well. However, it is essential to stay in the game. If your company’s software is not getting traction with customers, you will soon lose them and see a gradual decline in business. SaaS companies have a much easier time with retention strategy than B2B software companies.

Wondering what strategies are working out best for SaaS companies? Read on for 10 of the best strategies for B2B customer retention. But first:

Why Do SaaS Businesses Need A B2B Customer Retention Strategy?

Customer churn has the power to rip a hole in any business. In fact, a recent CallMiner study found that avoidable customer churn costs companies $136 billion a year.

Unfortunately, that effect is amplified when your customers are businesses because chances are, they’ll replace your product with one of your competitors’. That can be devastating if you’re running a SaaS company that relies on customer loyalty or long-term subscriptions to turn a profit.

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Still, the best B2B customer retention strategies aren’t just about playing defense. A mediocre customer retention strategy will keep clients from leaving, but a stellar strategy will excite your customer base, fortify customer loyalty, and inspire clients to recommend your product to everyone they know.

Here are 10 strategies to take your B2B customer retention to the next level:

1. Give B2B Clients Engaging Resources

Especially in the SaaS world, customers will have questions about your product. When problems pop up, they want to solve them right away—while they’re experiencing them.

If you want to increase customer retention, give them the resources to solve problems on their own. Start by crafting quality inbound content that answers their potential questions, and give them access to it 24/7.

When you assemble a knowledge base full of webinars, blogs, e-books, white papers, and other useful content, your customers will be able to answer questions on their own time. As they learn more about your product, their bond to your brand will solidify.

2. Educate Customers Right Away

As a SaaS marketer, you know a customer’s experience doesn’t stop at the sale. If your customer starts using your product without knowing how to use it, that’s a recipe for frustration and churn. That’s why education during the on-boarding process is at the heart of B2B customer retention.

Give customers video tutorials, shower them with welcome emails, and send out newsletters to keep them engaged. These little educational guides will show them how to get the most out of your product. In turn, they’ll reward you with their loyalty.

3. Use Customer Feedback To Improve

It’s easy to get defensive when customers give constructive feedback, but feedback is invaluable if you want to retain customers. Treat it like gold.

Use Customer Feedback To Improve

Of course, you should learn everything you can from feedback and use it to improve your efforts, but don’t stop there. Be sure to let your customers know their voices are being heard, and show them how you’re using their suggestions. Showcasing this give-and-take relationship will strengthen your partnership and encourage them to keep working with you.

4. Keep Your Finger On Your Customer’s Pulse

Customer churn doesn’t have to be a surprise. And if you watch for red flags, you can address issues before customers go quietly into the night. Here are some things to watch out for:

  • They haven’t logged on to your platform in a while.
  • They’re searching your website for cancellation info.
  • They’re less engaged or using your product less.

When a customer throws up a red flag, reach out and see how your company can help. A simple follow-up call or email could be enough to pull them back in.

5. Make Business Personal

More and more, customers want to build a connection with the brands they use. And the more they interact with your brand, the more loyal they’ll become.

Make Business Personal

That’s why excellent customer retention strategies rely on personalized content. Set up loyalty programs, send personalized emails, and keep B2B clients engaged with content that answers their questions. It all adds value to their experience and makes them want to stick with you.

6. Treat Loyal Customers To A Surprise

Especially in B2B relationships, emotions are on high alert. Nobody wants their business to fail, so owners naturally have high expectations for the companies they work with. That’s what makes pleasant surprises so powerful.

Every business relationship is a chance to delight, impress, and deliver outstanding service. By surprising loyal customers with a simple thank you card, small gift, or free upgrade, you’ll remind them how much you value their patronage. They’ll reward you with their ongoing business.

7. Communicate Non-Stop

Communication is the glue that bonds B2B relationships. And a proactive communication strategy can solidify your customer retention plans. Even if your customers are perfectly happy, it’s smart to carve out space on your calendar to connect.

Beyond setting regular meetings, you can beef up communication by sending out newsletters or launching a full-on automated email marketing campaign. All the while, keep track of customer engagement and reach out to them when communication drops off.

I’ve worked with the team at Andolasoft on multiple websites. They are professional, responsive, & easy to work with. I’ve had great experiences & would recommend their services to anyone.

Ruthie Miller, Sr. Mktg. Specialist

Salesforce, Houston, Texas

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For SaaS companies, uninterrupted communication doesn’t just lift retention. It creates new up-sell and cross-sell opportunities that feed your business’s bottom line.

8. Build Trust With Social Proof

Trust is at the center of any relationship—and that goes for B2B partnerships as well. That’s why some of the best SaaS customer retention strategies out there rely on social proof.

By sharing testimonials, case studies, and customer stories with your clients, you can show them new ways your product can help them. At the same time, don’t hesitate to reach out to happy clients for a quote or interview about their experience with your company. This will remind them of everything you’re doing for them, and it will help them see that they’re an asset to your team.

9. Wring Out Everything You Can From Exit Interviews

It can be heart-wrenching when a customer ultimately cuts the cord, but that’s no reason to skimp on exit interviews. Exit interviews are a chance to crawl into the head of a dissatisfied customer and find those little nuggets of information that will improve your marketing efforts. By learning everything you can from those customers that churn, you can make little tweaks to boost retention.

10. Elevate Experiences With Better Customer Service And UX

B2B customers can’t afford to muddle through poor experiences. If they can’t find a product or solution to their problems right away, there’s a good chance they’ll look somewhere else. In fact, one Accenture survey found poor experiences caused nearly one in two customers to give up on a company’s website and conduct business elsewhere.

That’s why it pays to invest in customer service and your website’s user experience (UX). The more seamless a client’s experience is, the more likely they’ll be to stick with you for the long run.

These retention strategies should help you keep your B2B customers for the long haul, but when it comes to SaaS marketing, they’re just the tip of the iceberg.

Want to make your SaaS product invincible? Let’s Discuss!

How to Implement and Apply SaaS IoT

Posted on by Jay

Organizations must figure out how to implement and apply IoT, how long it takes to get started, and what it will cost. Questions like these often have discouraging answers, especially for smaller companies with little in-house infrastructure.

The cloud, like the internet before it, changed the IT game and became the great equalizer for organizations of all kinds and sizes.

With the cloud, smaller companies could deploy enterprise-scale applications by renting, rather than buying, infrastructure.

IoT isn’t as clear-cut as cloud technology, either in form or substance, which means organizations must rethink their strategy and architecture.

IoT is hardware-intensive and its applications are difficult to design, which sets smaller companies up for the same difficulty as they encountered before cloud offerings.

3-IoT-Connected-Devices

It should surprise no one that vendors have deployed SaaS IoT platforms to address the problem of adapting the enterprise for IoT-based applications, as well as many of IoT’s hardware and infrastructure challenges.

How to implement and apply SaaS IoT - Infographic

Considering all the points, it’s apparent that IoT is one of the biggest digital revolutions in the technology industry.

It is an advanced technology that understands their needs and increases its convenience. And there is no doubt that the SaaS IoT has seen a rise in all sectors.

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How To Make Your SaaS Development Idea Successful

Posted on by Jay

With many SaaS companies in the market these days, it’s becoming harder for everyone to stand out from the crowd. That’s why it’s important for any SaaS business to have a well-thought-out development road-map. If you don’t, you’ll do yourself a serious disservice, because a successful SaaS business is built on solid, tested software solutions. Even so, there’s a lot of competition out there. That’s why you have to be extra cautious when thinking about your SaaS development strategy.

The statistics say SaaS has been wiping out the dependency of an enterprise’s old, outdated software to pursue its operations. And the reasons are:

  • Software-as-a-Service has the on-demand usage model with the minimum entry point. Unlike on-premise apps, as z huge upfront costs need to be showered at the time of software updates, customization & other IT-infrastructure related requirements.
  • On SaaS, the end-users don’t have to invest in the total IT-infrastructure setup, as the entire hosting, customer support, and hardware & software implementation process are taken care of by the SaaS vendors itself.
  • The elements inside these cloud offerings can be easily scaled up & down by doing changes with few clicks or adjustments from the data centers and with certain cost allocation, whereas if the investments are done on the on-premise infrastructure, the cost & load would be comparatively heavy.

By the end of this year , 80%-90% of businesses will run their core operations over the Software-as-a-service model. It’s because this software helps to continue with complicated tasks without putting a load on hardware memory, run from anywhere via an internet connection, purchased on a subscription basis, leaves the technical glitches & upgrades part with the providers only.

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That means software-as-service is here to stay and those who are on a lookout to become a SaaS application development provider, they need to be mindful of the pitfalls of software-as-a-service development and come up with practices & measures that can help them stay afloat & reap home the desired revenue figures.

Don’t know these pitfalls or measures that can help you become a top-notch SaaS app development services provider?

Worry not, the following has all the answers that Infoxen believes will be of sheer help to you.

1. Know Your Client-Base First

Knowing the target audience is very important before starting the software-as-a-service-based development business – as based on that only you will prepare your acquisition & pricing strategy.

A complete list covering buyer persona in terms of his behavior, business type, profession, motivation, passion, demographics will help you march towards the path where you can easily identify “type of product or service they are looking for”.

Know Your Client-Base First

By interviewing such elements or your potential clients, you can plan to create an MVP (Minimum Viable Product) first, as such products will always have scope for further enhancements & will always invite users to put-in their thoughts & functionalities within it.

You can develop as many product packages based on every different buyer persona to gain a competitive edge.

2. Choosing A Pricing Model That Compliments Your End-Users Requirement

On a broader level, there are 3 types of pricing models for extending software-as-a-service solutions that you can choose from-Usage-based pricing, flat-rate pricing & Tiered pricing. Let’s extend these terms to get their better understanding:

  • Usage-Based Pricing:

It’s the most common pricing model where users pay the fees each time they use storage, data or make transactions. As a development company, you can opt for this type of pricing model for your clients who have a small startup or financial base and cannot afford to pay extensively at one go.

  • Flat-Rate Pricing:

It’s the basic pricing model where only a single software-as-a-service product, with a particular set of features under one pay, is made available to the end-users. Here a predetermined subscription fee is charged from the client’s pocket. As a SaaS application development service provider, you can go ahead with this model if your end-users are comfortable at paying hassle-free all at once rather than after utilizing the services.

  • Tiered Pricing:

Here a variety of software-as-service packages at different cost plans, features & functionalities are circulated for different clients’ requirements. This model is great to have on-board if your company wants to target buyers of multiple personas & requirements single-handedly.

You can choose any of the above pricing models based on your client behavior, buying pattern & growth opportunities.

3. Keep User-Experience & Customer Satisfaction Mainstreamed

To start on a good note as a SaaS development company, make sure the user-experience & customer satisfaction you deliver to your clients is top-notch. Be precise & careful while developing your first software, choose the UX elements carefully.

Keep User-Experience & Customer Satisfaction Mainstreamed

Here is how you can add on to your Customer Satisfaction:

  • Be transparent with your customers, timely update them with every module, and ask them for necessary suggestions to ensure project success. Along with it, find the best solutions to treat lacking areas before final deployment. Since every development will be parsed through agile methodology, it will be easy to iterate fast & make the fixes asap.
  • To give your clients the hang of your developed software, draft some welcome emails, tutorial guides, or allot a personal assistant to guide through the functionality of developed products from your end.
  • There is no such thing as over-communication. You can strengthen your bond with your clients by always keeping them in the loop, questioning their requirements, gathering their feedback to foster a better product development environment & customer experiences.

4. Deploying SaaS-Specific Marketing Practices

Software-as-a-service solutions since they have no physical traces and changes constantly need special attention when it comes to their marketing. Although, if SaaS products are carefully architected & render top-notch services, there lies no need for marketing tactics, much.

But if the product has just started on hit & trial methods and demands huge penetration in the market on the initial levels, these all things for you as SaaS application development providers can do to gain better traction with your prospects:

  • Give your customers free trials to let them vibe with the product & get the better tuning with it until they don’t start paying for it.
  • Shoot a series of blog posts in the software-as-a-service community, defining your business stories and how you craft products suiting to every project requirement.
  • Reward a customer if he/she suggests you or refer your SaaS app development services by inundating some reward programs.

5. Preparing For Third-Party Integrations Way Before The Software Development

Since SaaS applications work on a cloud network, their integration with data centers & other third-party platforms has to be secure, effortless & quick. A SaaS development company here has to be well-equipped with third-party integration strategies way before they commence with the development phase. Here is how you can go ahead:

  • SaaS applications must have great data synchronization with different third-party channels. For instance, if the app targets the travel tech industry, the integration with accommodation options like Airbnb could be considered.
  • Consider developing a platform that makes your end-users life easier by enabling them to work with PDF files, ZIP files archives to streamline data import.
  • Create a browser extension of your product to let users have your product in hand all the time. For instance, popular app Grammarly has a web extension that allows users to integrate it with already in use applications.
  • Decide the payment integration option that users prefer and are safest in all accord.
  • To achieve great user coverage, integrate your product or software with SDK tools of framework like Microsoft (as it’s vastly used for enterprise suites).

6. Render Software With Possible Offline Mode Support

Downtime of the app or unstable Wi-Fi can take a toll on anyone, especially when the important task is in process.

International Data Corporation compiled a stat that “for the fortune 1000 companies, the average cost they had to bear after their unplanned application downtime was ranging between $1.25 – $2.5 per year”.

No matter the enterprises operate via software-as-a-service applications, one downtime or poor-connectivity can lead to unsubscription of such software.

Extend support of offline accessibility as a SaaS application development services provider:

  • Make provision for the information or data to store even in the offline mode, as soon as the connectivity restores, data should be able to sync well.
  • Make a feature of “download files” (to let users download important files) when situations like downtime come unannounced.
  • Make an automated/manual update function to help with the syncing of data or documents when a proper connection is available.

7. Bring Aboard A “Customer Success Management” Department

“Customer success is not about support or being reactive – it’s always about being proactive.”

Having a customer success management department will act as a link between “where the sales happen” & the “product’s functionality” – which will help to evaluate your customer’s actual health by using mixes of usage data, contextual inputs, marketing, sales & customer support strategies.

The advent of such will evoke the users to share their true stories behind the usage of such software or product, which will eventually help to drive more cross-sells.

This is how you can funnel your CSM or Customer Success, and Management team:

  • Customer success management (CSM) team should be collaborative with the other organizational teams be it sales, product or marketing as it will help in sketching & resolving customer issues from all ground levels.
  • “Users love when they are served beyond their expectations”, the job role of your CSM team shouldn’t restrict to just delivering what users are expecting but it should race beyond the delivered promises as well. Your team can go the extra mile by preparing product based on different users & their traits, arrange some webinars or seminars to educate your product scope, or shoot a support mail even after delivering the product maybe with a message “Hey, how are you doing with the software we developed for you”.
  • Be on tips with the consumer metrics, these metrics can be in terms of – when & how soon the user is willing to upgrade to high-subscription plans, or how much they are liking the product/software that they are ready to prefer it to a friend or inside their circle.

8. Keep Your Analytics Handy To Measure The Key Metrics

It’s important to keep the analytics handy to determine the progressing growth of SaaS development services company, as such businesses are prone to suffer losses in the early years of their operation. Losses occur because acquisition costs exceed, sometimes customers pay only after utilizing the product/services, which is why actual revenue comes very late.

Thereby, it becomes immense for such software development businesses to know & understand the key metrics in advance – to know whether their business is scaling up or is turning towards major pitfall.

I’ve worked with the team at Andolasoft on multiple websites. They are professional, responsive, & easy to work with. I’ve had great experiences & would recommend their services to anyone.

Ruthie Miller, Sr. Mktg. Specialist

Salesforce, Houston, Texas

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To know when to put the breaks on time or know if your company is viable in proceeding ahead, consider the following metrics to measure success:

  • Consider billing date over the booking date to evaluate your revenue flow, as on billing date you get the actual sum flowing into your bank account – this will help you access the true financial health of your company.
  • Evaluate the reason behind the churn rate. Churn rate is a situation where users stop subscribing to a particular service (here it’s SaaS). Calculate the number of churn rates & possible reasons that triggered its advent.
  • Balancing the Customer Acquisition Cost is the cost spent on customers to persuade to buy the product/service. LTV or Lifetime Value is a predicted net profit that is expected from the future relationship with customers. The LTV figures should be 3 times greater than CAC, even if it’s the other way, that should not be continued for a long time as higher CAC value depicts that the company is putting a lot of cost on retaining customers than actually gaining from them.

These were the few metrics that can help to evaluate your business drive & allow you to put in the breaks before you are close to any downhill.

Winding Up!

These were the few ways demonstrating how you can go big with your software-as-service specific development business, the success & profitability of establishing such business lies in how well you are staying in competition and treating your customers with the best possible product ever.

Go the extra mile, beyond delivered promises, know what your customer’s persona is, find what pricing strategy is keeping LTV in action, create your metrics that are visible in your customers’ success, and chalk out several other your side of strategies to funnel your business.

To get basic to extreme support in the preparation of your SaaS-based business model, reach out to Andolasoft Inc, a SaaS application development company, where we consult, develop & deploy the high selling SaaS-based products by following the aforementioned points & hundreds of others (which you will find out on consulting us).

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