Post on 17-Dec-2014
description
blu l i te
SMB/ENTERPRISE – SAAS ON THE CLOUD
SCHEDULE
• 3.45 – 6pm: SaaS topic discussion
• 6.00– 6.30pm: Tea Break
• 6.30 – 8pm: Blume SaaS portfolio mixer with VCs
• 8 – 9pm: Drinks /Food
PANELISTS
ONLINE MARKETING
QUALITATIVE
• What channels of online marketing works for you - SEM vs SEO vs Content Marketing vs Social Media.
• How do you prioritize and what kind of team structure do you need for running these activities?
• What are the critical pain points in the sales funnel:• Visibility (# of website hits)• # of hits to customer Trials• Customer Trials to Paid Customers
QUANTITATIVE
• Monthly Recurring Revenue (include servicing) with relation to CAC• CAC with relation to LTV.• Life of Customer (defined by churn)• Acquisition Rate vs Churn Rate• Cost of Servicing the Customer vs Churn Rate
SALESFORCE SUBSCRIBER BASE
2001 2002 2003 2004 2005 2006 2007 20080
200
400
600
800
1000
1200
1400
1600
1800
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Paying Subscribers Subscribers Growth of subsribers
Custo
mers
'000
KEY METRICS
# of website hits per day
<100 <500 <1000 >1000
website hits to trials <5% <10% >10%
trials to paid customers
<10% <20% <30% >30%
MRR <$10 <$20 <$30 >$30
CAC <$50 <100 <150 >150
Churn rates <1% <5% <10% >10%
Life time (years) 1 2 3 4
Customer Support <$10 <$20 <$30 >$30
PRICING
PRICING EXAMPLES
PRICING THOUGHTS
• Decide on one metric and don’t confuse the customer – pricing evolves from there.• What metrics and features should limit
or differentiate the pricing plans• Freemium/Trial to Paid: B2B/B2C,
product/services, time/metric, what plan.• Paid/Pay as you go – defined by barrier to entry
SOME EXAPMPLES
Free
miu
mBas
ic
Sim
ple
Plus
Prem
ium
Ente
rpris
e -
100
200
300
400
500
-0.5
-0.4
-0.3
-0.2
-0.1
0
Price per test % reduction in price/test
Pri
ce/t
est
% r
educti
on
Free Photos/Docs
High Res Photos
Videos -
1
2
3
4
5
6
0%10%20%30%40%50%60%70%80%90%100%
Price per GB % reduction in price/GB
Pri
ce /
GB
% r
educti
on
PRICING THOUGHTS
• Least – Most expensive or the other way round• Monthly/Annual should correspond to industry
dynamics• Number of Plans• Highlight the most used plan• Naming conventions:
PANELIST PRICING
Basic Silver Gold0.0
0.5
1.0
1.5
2.0
2.5
0%10%20%30%40%50%60%70%80%
Price per missed call% reduction in price/missed call
Pri
ce /
mis
sed c
all
% r
educti
on
Basic Silver Gold0.0
50.0100.0150.0200.0250.0300.0350.0400.0
-80%-70%-60%-50%-40%-30%-20%-10%0%
price/section% reduction in price/sectionpagesl
Pri
ce /
secti
on
% r
educti
on
Robust Advanced Enterprise Ready
0
400
800
1200
1600
-20%
-15%
-10%
-5%
0%
Price for features% reduction in price/features call
Pri
ce /
featu
res
% r
educti
on
Robust Advanced Enterprise Ready
-
2.0
4.0
6.0
8.0
10.0
12.0
-30%
-25%
-20%
-15%
-10%
-5%
0%
Price per transaction% reduction in price/features call
Pri
ce /
transacti
on
% r
educti
on
PRICING THOUGHTS
• Reduction as the plan scales need to make sense till it plateaus + Should reduction be uniform for all plans?• Add on/Upgrades – should be promoted not
shown on pricing
PANELIST PRICING
Series10%
20%
40%
60%
80%
100%
120%
140%
160%
180%
reduction in price/CPU - 12mreduction in price/CPU - 6mreduction in price/CPU - 3mreduction in price/CPU - 1m
Pri
ce /
secti
on
Robust Advanced Enterprise Ready
0102030405060708090
-100%
-80%
-60%
-40%
-20%
0%
Price per survey % reduction in price/survey call
Pri
ce /
surv
ey
% r
educti
on
INSIDER SALES
Q&A
• What is Inside sales? • How is it different from pure customer support? • Breakup of self serve & inside sales• CLV vs CAC• Product is sold or bought – features/apps vs
complex product (CRM)• Innovative compensation plans
INSIDER SALES..
• Innovative channel partners + commission• Sales Cycle & Payment terms• Upsell strategies – Customer support /sales• Leads/ representative• Touch points
• What have been your learnings? • Where can we hire the right inside sales people
TECHNOLOGY
• Sales (Zoho/Salesforce/SugarCRM/Pipedrive)• Bug Tracking
(CodebaseHG/Redmine/unfuddle/recurbe/Bitbucket/Jango/DataRPM)• Support: Desk.com, Supportbee, myhive,
freshdesk, • Project Mangament: Asana, Treilo
OTHER
• Company Structure• Content Marketing• Web marketing• Online Sales• Customer Support
• Incorporation• Invoicing• US/Singapore/India – patent/subsidiary
• Optimum Funding• Angels/VCs• Runway
BLUME BANGALORE & EXPANDING