Most SaaS founders like to think a good enough product sells itself, but an increasingly crowded landscape means it’s easy for even great products to get lost in the shuffle. Building a strong sales team that truly understands a customer’s industry-specific needs is one of the best ways to make sure a SaaS product gets the attention it deserves. Here are a few common SaaS sales mistakes; plus a few ideas for fixes:
Your product doesn’t stand out
According to The SaaS Report, there are 10,000 private SaaS companies out there. On one hand, that’s great news for customers looking for solutions, since they’re definitely out there. On the other, the paradox of choice is real, and the more options customers have, the harder it is for them to differentiate one from the other.
Sales teams are, by nature, people pleasers, but attempting to be everything to everyone just makes your product blend in with literally tens of thousands of other messages potential buyers are receiving. It’s crucial for sales people in such a crowded environment to create a differentiated sales experience. Empathy and honesty count. Arming your sales team with customer-centric information they can use to provide actual insights means more productive conversations around your solutions.
You’re not thinking about how customers are going to use your product
According to Metasaas, 31% of SaaS products simply go unused. Closing a sale on a product that will ultimately just sit around ignored means higher churn rates, so making sure the customer is a good fit is critical.
Finding a good fit customer takes honesty. How exactly is your solution going to make life easier for your potential buyer? If there’s no immediate answer, that might indicate that the customer wasn’t right for you in the first place.
Your sales and marketing teams (still) aren’t aligned
By this point, most of us know that sales and marketing alignment is pretty important. According to Aberdeen Group, companies that prioritize the sales and marketing relationship grow 32% faster than companies that don’t, while companies that ignore sales and marketing alignment actually tend to see a decline in growth.
So what does it take to align sales and marketing? More than just everyone getting along. It takes open communication and a lot of teamwork. Right now, about 80% of leads generated by marketing neverhear from a sales rep, which indicates that somewhere along the line, the teams must have failed to connect. That breakdown in communication accounts for a loss of $958 million annually. Making sure that the sales team knows what the marketing team is doing and vice versa isn’t just about harmony; it’s about growth.
You’re not selling to existing customers
Chances are, you’ve already found some of your most important customers. Studies show that existing customers are 50% more likely to buy than new customers. If you’re not upselling your best customers, not only are you missing out, but they’re potentially unaware of solutions that could make their lives a lot easier.
If you’re reaching out to new customers about an upsell, the key is to think carefully about their needs, much like in the original sales process. Getting complacent and assuming they have everything they need could be a costly oversight. If a customer is using and loving your product, there’s a good chance they’d be open to other solutions.
Sales is absolutely one of the most important teams in a SaaS organization. Keeping the customer top-of-mind and spotting their pain points before they do is critical, and focusing on what makes your SaaS product stand out is the best way to ensure customers are as enthusiastic as you are.