Developing a SaaS product: 5 tips for successful implementation
Software-as-a-Service, or SaaS, has become the norm for many industries as businesses have moved to the cloud. If you are interested in building Software as a Service products, you’re in luck. We’ll briefly show you the short steps to building a SaaS product, one by one.
The Steps To Building a SaaS Product
The reason so many companies are building SaaS products is that they can save their clients a considerable amount of time and money. If you are interested in developing a SaaS product, you should follow these steps:
1. Know What You’re Solving
Before you can build software as a service products, you have to understand the problem that you are trying to solve for your customers. SaaS products usually operate on a month-to-month subscription basis. Your solution has to be useful for years, not just once-off. You also have to close the time-to-value realization gap for your clients. In other words, your clients should be able to start using the software solution right away and see how it benefits them. Does it save them time? Money? Hassle? Know what the benefits are and push them hard.
2. Perform a Competitive Analysis
You know the problem you’re solving and how to communicate your idea to customers, but are you the only solution on the market that can solve their problem? You don’t need a unique idea to build SaaS products, but you do need a competitive advantage of some kind. It’s okay if there are competing solutions that do the same thing that your business does, but what makes you different? Are you cheaper? Does your solution have more features? If not, develop an edge. Speak to the market. Validate your ideas and ask them how their current SaaS solution falls short.
3. Choose Your Tech Stack
4. Develop a Pricing Strategy
You don’t need to be the cheapest if you are the best on the market. Many SaaS companies offer a freemium subscription or free trial that allows users to test the software before committing to a monthly subscription. These usually include core features that apply to a wide audience. During the trial, the company tries to convince users to switch to a paid or premium model to access advanced features for a monthly fee. Think of Evernote, which offers free note-taking but allows users to store additional data in the cloud for a fee, or Spotify, which lets you listen to ad-free music if you pay for a premium subscription. If you do offer a trial, you have to make sure that clients see the value during that trial period. Unfortunately, many SaaS clients sign up for free trials and let them expire without ever logging in, so make sure that your marketing teams are on top of the game. Send push notifications and email reminders inviting users to get started with their free trial before it expires. Creating a sense of urgency is one of the best conversion tools.
5. Find Developers
Make sure that you have the right developers on your side. If you can’t find cloud consulting companies locally (or can’t afford their fees), look for an offshore company that can offer industry advice as well as the expertise you need to make your project a success.
Now that we’ve covered the steps to building a SaaS product, all that’s left for you to do is to get started! All it takes is a little grit and determination, a good idea, and a lot of research, and you’re well on your way to building the next SaaS success story.