SaaS marketing is not easy. It comes with a lot of challenges to overcome, but luckily there are some marketing techniques out there that help make the job easier and achieve quick and manageable results. Email marketing is one of them.
Let’s go over the top challenges we mentioned and the most effective ways to take your SaaS email marketing to the next level and improve results.
Highly competitive market
With SaaS, there is often a wide range of services competing for the same target audience, and year after year the competition becomes more and more difficult. Wix vs. Squarespace. And even if you are marketing a brand new service where there are no direct competitors, your customers are likely to have other ways to meet their demand that you have to compete with on a regular basis.
Create a new request
Often times, a new SaaS means a new type of product, so another typical challenge is to form a demand and ensure the public has a new way to solve their problems.
Adapt to change
Whether you are bringing a new product to market and creating new demand or offering a better solution to a well-known problem, you will face resistance to change. This not only involves finding the best audience to start with and convincing people to give it a try, but also often finding fundamentally new ways to promote or even use your solution.
If your product is new, it’s often an MVP, which is far from perfect. This makes SaaS marketing even more difficult because you have to promote what is out there and “infect” the audience with the future vision.
How to take your SaaS email marketing to a new level
Let’s take a look at some tips that can take your email marketing efforts from the ordinary to the extraordinary in just a few moments!
1. Use the Lean approach
Rather than viewing your email marketing strategy as a strict plan that you must follow, think of it as a series of assumptions or experiments. This is best known as one of the basics of the lean approach, where you create a learning cycle with your minimum viable product.
In email marketing, start with the MVP. Don’t try to launch all your ideas at once and avoid spending too much time on a flawless implementation. Think about the most crucial step to start from, which can bring you the biggest profit if you do it in a very basic way and do it.
Then run experiments to improve results and launch the next types of marketing campaigns.
2. Focus on your customers’ results
When marketing your SaaS via email, don’t focus on features and technologies. There is a great temptation to describe your large tech stack and all the innovations put into the product, but for most target audiences – except those with an interest in technology and, perhaps, investors. – that’s not what they want to know.
Instead, describe the unique benefits your users will experience and how the product will improve their lives compared to other solutions. Use the technologies to explain the benefits, but not the other way around.
In the welcome email series, show off the most notable solutions and the best features to get started. In the following newsletters, try not to show the news of your company and your products, but also educate your readers and try to become a thought leader for them.
3. Start with the right audience
You must have found your target audience when building your SaaS solution, but when it’s time to market it, you don’t do it all at once and from all angles. Instead, start with the most potential customers who are easier to attract.
If it’s a new product, you need to cross the chasm and attract innovators and early adopters among those who like to try new things.
If it’s an existing product, use your pull to see which target audience is bringing you the most profit and focus your email marketing on that one in the first place.
4. Build relationships, not just sales
People do business with people, and so does SaaS. Getting a great product to market isn’t enough for great success – you have to become their trusted thought leader in your chosen segment, and email marketing can help a lot.
In addition to sending educational content to the entire list, you can go further. Segment your list based on user issues and requirements, stage of the buyer’s journey, and behavior within the app. Based on this, define the information that will bring the most benefit to them or their businesses and create segmented mailing lists.
Also, don’t miss their personal and product-related birthdays and support them in difficult times like many companies did during the pandemic by offering discounts and additional training.
It may seem like a waste of time because such content is not meant for direct selling, but it does build trust, build relationships and significantly help sales in that indirect way. Also, if you manage to build a community of your evangelists, it can give you a big boost in marketing and sales in general.
5. Combine quick, long-term marketing tactics with your email strategy.
An email is a great tool on its own, but in combination with other marketing techniques it can create what is called synergy.
For example, you can integrate your messaging tool with PPC and send targeted emails based on user interaction with the ads. If you take it a step further, you can integrate your website analytics and display ads, and send emails based on the pages or articles they’ve viewed. This will give you quick and measurable results.
When it comes to long term strategies, you can coordinate your email marketing with SEO and content marketing and support new blog posts with an extra boost. You can also compile articles on the same topic in emails to support your educational and reputation goals.
6. Maximize LTV and Minimize CAC
CAC stands for Customer Acquisition Cost and is the amount your business will spend to get a customer.
LTV stands for Lifetime Value. And that’s the amount of money an average customer can bring to the business during the time they would be using their products.
These are two main metrics to consider in any SaaS. And here’s how email marketing can help:
- Attract prospects to your email funnels, by exchanging their email for a freebie (extended trial, high quality educational content, extra service, etc.). Even if they don’t buy right away, you will have an opportunity to feed them with your email marketing and lower CAC compared to PPC or some other type of direct marketing.
- Help convert leads with email series. During onboarding, educate them about the product and its best features. Then hit them every now and then with new features and offers.
- Use the email to refer customers who have stopped using your product. Contact them with a question or a special offer and thus increase their LTV.
7. Improve every step of your funnel
Test every step of your email marketing funnel and narrow down which ones you think should perform better.
This concept is well known in growth hacking and is fully applicable here. Fine-tuning your email step by step and finding hacks to optimize performance can take your efforts to a new level.
Email marketing is pretty much like other popular marketing techniques, and the best approaches are interchangeable. Join professional communities, apply lean growth hacking and other methods, and your SaaS email marketing will yield significantly higher results than if you stick to standard email techniques.