Software as a service, also known as SaaS, is a vibrant pioneering industry that is very fluid. Through the years, SaaS has become more competitive, with dozens of companies joining the industry annually. The quest to reach the top spot has become more difficult as there are now thousands of companies that are operating in the industry. It is difficult to stand out in this industry, but there is a way on how companies can shine. All they need to do is to generate the best strategy that will help the business take off. One of the best strategies that are considered by companies operating in the SaaS industry is to become the first one to develop new changes and strategies.
Companies that provide SaaS are also relying on the growth of marketing technology industry. This year, experts pointed out that the numbers of companies that can be classified under the marketing technology industry have numbered to 7,000, and it is still constantly growing. A threat of saturation is also looming as there are tons of companies that offer the same solutions. However, it is still possible to circumnavigate this issue by entering the right kind of market which can be a key to their survival. It is also important for marketing technology and SaaS businesses to perform better to stay relevant in the industry. Staying up to date is also giving these companies an advantage compared to their competitors.
Horizontal, Vertical, and On Top SaaS becoming more common
The success or failure of a software solution can be determined by looking at its position in the market. There are two most common types of SaaS in the past – vertical SaaS and horizontal SaaS. Most companies rely on vertical SaaS because of the numerous benefits associated with it. There are also numerous differences between vertical SaaS and horizontal SaaS. Vertical SaaS is used extensively on software programs that are used by specific industries. Horizontal SaaS, on the other hand, focuses on how they can develop an industry-neutral software program that will cater to what numerous industries need. However, a third type is developing slowly, combining the elements from vertical SaaS and horizontal SaaS.
On top, SaaS is gaining traction in the past few years because it is taking advantage from Vertical and horizontal SaaS. It is used to integrate with solutions that already exist, and it is searching for ways on how the product can be enhanced. One of the things that make on top SaaS a viable option for companies is the chance for them to penetrate the huge market. This is a trend to watch out for, and many experts believe that It would radically change the SaaS industry.
Feature marketing refers to a strategy wherein a company adds new features on its website that will make people more engaged when visiting their pages. New features are considered as a great idea for adding new content to the website. It is becoming a popular marketing strategy for many companies in the present. One of the best examples of feature marketing is the creation of new features on the website that will generate more engagement to the public. Parallel products are presenting added values, and it can help a company develop new strategies to stay relevant to the market.
Feature marketing is also giving the companies a chance to develop a brand new feature that is distinctly separate from the main product. They are developing a brand new feature that contains new content, and when it becomes a hit among the public, there is a chance for it to go viral which can become advantageous for the company. For those who wanted to develop an effective SaaS marketing strategy, they need to focus on feature marketing and celebrate new features that have a chance of making it big. Additional media, like videos and photos, can also help a website gain more traction as people are interested in seeing images.
Development of AI and machine learning
Another strategy for SaaS marketing lies in the usage of AIs and machines that are capable of learning new skills. This is the future, and companies are already investing in developing new machines that are capable of learning and have high intelligence. Many companies are working together to ensure that the cost of AI development and machine learning can be lowered down from their current prices. If the cost of AI and machine learning will be cut significantly, many companies can take advantage of this technology. It would radically change many industries as more jobs will become automated, and few people will be required to man the companies. Most of them would focus on the computerized controls that give orders to the machines.
AI and machine learning can provide a lot of advantages to the company that will be using it. It can also make a good SaaS strategy to stay on top. Hyper-personalization, solutions without manual input, and predictive analysis are some of the benefits that can be observed to companies that are already utilizing AIs and machines that are capable of learning. Another thing that companies are looking for would be the improvement of chatbots to level their human counterpart, drop off alerts, dynamic pricing, and more features that will be beneficial for the interaction between the customer and the company.
Higher Conversion Rate using Chatbots
In 2020, companies that rely on SaaS Marketing should focus on using chatbots to generate a higher conversion rate. In the past, pop-ups have become one of the most common advertising strategies, but it became so annoying that people started banning these pop-ups on their computer screen. This type of advertising was loathed by a lot of people because they are claiming that it makes their computer slow. Another disadvantage of pop-up marketing would be the susceptibility of each advertisement to virus infections, and it can be transferred to the computer where they appear.
Many companies dumped the idea of using pop-up advertising because it does not help them with achieving their goals. Instead, their graphs have dipped, blaming it on how pop-ups are being blocked by computers around the world. Companies have to come up with a new strategy that will make them reliable once again, and they saw the potential in chatbots. Installing a chatbot on the website will enable companies to generate a higher conversion rate as it persuades the people to sign up with the company without forcing them. Chatbots can be an advantage for those who wanted to develop their SaaS marketing strategies, and companies are now starting to create their version of a conversational chatbot because they wanted to stay relevant in the industry.
Effectively collect customer information
Collecting customer information is a vital process in every business transaction. It can be achieved by providing forms and other similar products. Companies that wanted to develop a great SaaS marketing strategy should think creatively on how they can collect customer information by forcing them to do so. One of the best ways on how it can be achieved is to start a conversation with the customers and gather a lot of data. The AIs running the system can effectively collect the information that the company needs. In the long run, the collected information from the public can have a lot of advantages. This would lead to increased upsells and faster time to conversion rate.
Companies also consider the development of free trials for their software products – they wanted the people to try out the programs that they develop for free, and once the trial is over, the customer has an option to purchase the product that they used. SaaS marketing is also leaning towards the idea of freemium usage – providing the public with an app or program that can be downloaded for free, but locking some of the features and making it available to those who are willing to pay. These strategies are very effective, and it has shown positive results in the past.
Transforming companies to become more focused on providing services to their customers
A customer-focused company would yield several advantages compared to their competitors. One of the things noticed by companies who rely on SaaS marketing is that becoming more customer-focused would give them a chance to earn gain more product through the visitors who are checking out their website. It goes on a complete cycle – random visitors checking the contents of a website, developing an interest in the products offered by the company, becoming a customer and purchasing the product, and then telling their circles about how they loved the services and the product that was developed by the company.
This would mean that the market size of a company would grow larger as years go by because the customer who felt satisfied with their services are telling the world about how good a company is. It can also be a rewarding experience for a company to serve someone who can give them a lot of advantages. Supporting the customers is what most companies are doing right now, and they claim that this type of SaaS marketing strategy will still apply to 2020 as more customers wanted to be recognized by the companies that they visit.
Being an expert leader
Finally, business owners should portray themselves as expert leaders. For them to develop an effective SaaS marketing strategy that can be used for 2020, they need to introduce innovative products to the masses, while at the same time producing an educational content that would appeal to the public. This is the heart of SaaS marketing and it would produce great results when used correctly. Distributing knowledge, content and new concepts are the most effective ways on how to utilize SaaS marketing effectively.