The cost of running a high-growth start-up can get quite expensive.
If you are a bootstrapped Start-up, rapid growth can force your business into bottleneck situations.
Cost-cutting can help your business sustain growth to an extent. But it cannot accelerate your business growth.
If you intend to grow your SaaS Start-Up with minimal disruption, you must come up with cost-effective growth solutions.
Cost-Effective Growth Strategies for SaaS Start-Ups
Here are 7 cost-effective growth solutions for Bootstrapped SaaS Start-Ups.
1. Do Not Sell the Product
When you are a SaaS company, especially a Start-Up, it makes sense to sell your product/service.
You talk about your product, attract people, and sell to them. That is how you grow.
Except, your potential customers are not interested in the many things that your SaaS Tool can do. So, selling your product probably won’t do for your business growth.
Instead, your target audience and potential customers are interested in what your SaaS Tool can do for them.
Focusing on the problem, the pain points of your target audience will get their attention to your product.
It feeds the idea to focus better on building a valuable product. Ultimately resulting in a product that people will want to pay for and use.
2. Initiate Referral Programs
Referral programs are one of the best ways to reach and acquire new customers.
It makes your existing customers the face of your brand. Hence your brand will be more trustworthy to your prospects.
It will result in a better conversion rate and more referrals.
However, your referral program should be simple, easy to implement, and have a good ROI.
It is always a good idea to check the viability of your referral program and project its ROI.
The first step toward implementing a successful referral program is identifying your target audience and their expectations.
Once you know this, you can decide whether or not you want to offer rewards to your users.
The potential reward for successful referrals can vary. Rewards can include discounts, free trials, etc.
3. Mark Your Target Audience
Trying to sell to everyone is one of the reasons Start-up companies struggle to grow and scale.
Even though rare, your SaaS Tool may be useful to everyone. But that doesn’t make targeting everyone a viable plan for your business.
Your target audience must need your SaaS Tool, and they should be able to pay for it. Although, it does not have to be an immediate requirement.
For example, an image editing SaaS Tool can be handy to graphic designers and digital media students. Though the students may not immediately become paying customers, they are still valuable prospects in the long term.
Precisely marking your target audience will help you create effective marketing strategies to generate Leads and convert them consistently.
One of the best ways to capture your target audience is to create a specific buyer persona.
But since you are a SaaS Start-Up, you are likely to figure out a lot about your product’s position in the market and your target audience. Some may even pivot their business.
In such cases, redefine your Buyer Persona twice a year. It will ensure you are targeting the right audience at all times.
4. Offer Pricing Transparency
Complicated pricing plans can affect your conversion rate and, sometimes your brand’s trustworthiness.
Pricing transparency is necessary because it helps your audience understand the value of your product.
Your prospects, who are more likely to be businesses, will also consider their ROI before converting. Showing complicated or ambiguous pricing plans will affect your chances of converting them.
Instead, offer pricing plans that are clear and also show the difference between each pricing plan. It makes their job easy to assess and make a quick decision.
You can also see where your competitors are pricing their products. It allows you to compare yourself with other businesses.
This way, you can determine which price point works best for your business.
5. Value Customer Feedback
Customer feedback is crucial when it comes to building a strong customer base.
However, asking for feedback is not enough. You must listen to your customers’ views and opinions.
When you do it, you can learn a lot about your product and your target audience. You can use these insights to improve your product and services.
Brand reputation and trustworthiness are vital factors to scale your start-up. Listening to your paying customers will earn it for your SaaS Start-up.
6. Promote Customer Success Stories
Content marketing is one of the best ways to reach a new audience.
It has challenges, but it is cost-effective and a great way to establish your brand authority and trustworthiness. Publishing User-Generated Content helps you do that.
Promoting success stories is an effective way to gain traction in the marketplace.
It is especially true for B2B SaaS Start-up like yours.
The reason why this strategy works is simple: people love to hear success stories. They want to know how others were able to achieve similar results.
So, by sharing success stories, you will attract new leads and increase conversions.
7. Join a SaaS Community
Successful SaaS Start-up companies are driven by their community.
SaaS Communities bridge the gap between the SaaS developers and their end-users.
They help you reach the right people and bring recognition to your Start-up company for the value you offer.
Building a progressive community for your SaaS Start-up from the bottom can be challenging. And it can take years for you to bring together a remarkable supportive group of people.
Working with industry leaders could give great exposure to SaaS Start-up businesses like yours.
SaaS promoters and marketplaces give a platform and an audience to your SaaS Tool.
Community-driven SaaS marketplaces like SaaS Mantra can help your SaaS Start-up reach your target audience faster.
Grow with SaaS Mantra
As a SaaS Start-Up, you have many challenges ahead of you.
Growth strategies are plenty. From running PPC campaigns to hosting events or synergizing with big organizations, you can bring more exposure and growth to your company.
Though many require time, money, or both, a few are cost-effective.
And only a handful of strategies are cost-effective and also sustainable.
Capitalize on such Sustainable Growth Strategies. It will set the wheels in motion for your SaaS Start-up to grow.