SaaS Business & Marketing & Strategy

40
SaaS & Marketing Workshop Delivered by Sriram Reddy 5 th May 2011

description

A simple overview of SaaS methodology in software business & marketing.

Transcript of SaaS Business & Marketing & Strategy

Page 1: SaaS Business & Marketing & Strategy

SaaS & Marketing Workshop

Delivered by Sriram Reddy

5th May 2011

Page 2: SaaS Business & Marketing & Strategy

Covering…

• SaaS, PaaS, Cloud, Grid, Utility computing• SaaS & Digital media marketing models

• SaaS & Digital media marketing strategy

• SaaS & Pricing models• SaaS & Accountability in marketing • SaaS & Innovation in marketing

• SaaS & Ethics in marketing

Page 3: SaaS Business & Marketing & Strategy

SaaS vs PaaS vs Cloud vs Grid vs Utility-Computing

Utility-Computing: Packaging computing resource/s on a metered service.

Grid: Centralized/Distributed, On Demand and Scalable integrated computing power as a service.

Cloud: Scalable integrated system as a service hosted on a grid.

Page 4: SaaS Business & Marketing & Strategy

SaaS vs PaaS vs Cloud vs Grid vs Utility-Computing

SaaS: A methodology to provide an On Demand software system with an ability to monitor its resources usage on a specified unit.

PaaS: A methodology On Demand software platform with an ability to integrate with other softwares and have an ability to monitor its resources usage on specified units.

Page 5: SaaS Business & Marketing & Strategy

Why do we need to know the differences?

• Eases the development and innovation strategy

• Gives flexibility in product offering

• Provides a new vision in marketing strategy

• Derives better billing model with high transparency

• Possibly changes business model

Page 6: SaaS Business & Marketing & Strategy

Methodology?

• Not as strict as a method• Provides an idea to generate a strict

methods

• Methodology gives knowledge to develop number of methods to attain a goal

• Methodology is nothing but theory • Methodology evolves over the time

Page 7: SaaS Business & Marketing & Strategy

SaaS business methodology

• Human Resources

• Information & Technology

• Marketing & Sales

• Accounts & Finance

• Operations & Support

Page 8: SaaS Business & Marketing & Strategy

Marketing or/and The best product

• Even universe is not perfect• Market is not stable• If such only product exist yes we don't

need to marketing

• If market is not varying yes we don't need marketing

• Balance is important

Page 9: SaaS Business & Marketing & Strategy

Digital Media Marketing• What is digital

media marketing?

Simple marketing but launchers, launchpads and payloads are different

• Is this different?

Yes

Page 10: SaaS Business & Marketing & Strategy

Digital Media Marketing Models

• Push Model

Aim is to push digital marketing content to potential customer market

• Less €€€

• Pull Model

Aim is to pull customer your comfort zone

• More €€€

Page 11: SaaS Business & Marketing & Strategy

Digital Media Marketing Push Model - Launchers

• Email Campaigns• Social Networks• Group Messages

• RSS feeds

• Podcast pushes• Slide pushes • Video pushes

• Product Manuals

Page 12: SaaS Business & Marketing & Strategy

Digital Media Marketing Push Model - Payloads

• Email Messages

• Network update posts

• Help messages on groups

• Updates on RSS feeds

• Audio (Explanations and guidelines)

• Video (Display usage)

Page 13: SaaS Business & Marketing & Strategy

Digital Media Marketing Push Model – Launch Pads

• Mail marketing provides

(ex: constant contacts & ec2)

• Shared News Portals,Content aggregators etc

• Depends on product• Depends on strategy• Depends on

accountability threshold

• Depends on brand management

Page 14: SaaS Business & Marketing & Strategy

Digital Media Marketing Pull Model - Launchers

• Search Engine Marketing (Organic)

• Affiliate Networks

• Pay Per Click (Ad- tech)

• Pay Per Leeds (Ad- tech)

• Pay Per Million Impressions (rte)

• Search Engine Marketing(Paid)

Page 15: SaaS Business & Marketing & Strategy

Digital Media Marketing Pull Model - Payloads

• Website target landing pages

• Website routing pages

• Banner Images• Banner Animations• Target key words

• Leeds form

Page 16: SaaS Business & Marketing & Strategy

Digital Media Marketing Pull Model – Launch Pads

• Website directories

• Search optimization

• Search engine paid search results

• Video blogs

• Ad Networks

• Product comparison sites

• Depends on budgets• €€€€€€€€€€€€€€€€• €€€€€€€€€€€€€€€€

Page 17: SaaS Business & Marketing & Strategy

Pull model - Web Development

1. Web site is the primary media for digital marketing in SaaS era

2. Search engines are one major source

3. Optimizing website for high search ranking

4. Optimizing website for brand building

5. Optimizing website for support

6. Optimizing web site for business process

Page 18: SaaS Business & Marketing & Strategy

Pull model - Web Development

7. Optimizing for speed

8. Optimized of security

9. Optimized for costumer behavior analysis

10. Optimized for information acquisition

11. Optimized for sales

12. Optimized for legal obligations

13. Optimized for ethical obligations

Page 19: SaaS Business & Marketing & Strategy

Push Model – Social Marketing

1. High ROI since investment is low

2. Media platform are evolving

3. Opportunity to make SaaS integrated with Social Platforms

4. Social Resource Planning

5. Constant review on social content for brand building

Page 20: SaaS Business & Marketing & Strategy

Strategy & Business Success

• Measures effectiveness of plan

• Introduces math in to life

• Strategy = Plan ROI = Financial Accounts = Math

• If plan is good probability of getting success is heigh

• Business success = Financial Accounts = Math

Page 21: SaaS Business & Marketing & Strategy

Strategy & Success

Page 22: SaaS Business & Marketing & Strategy

Digital Media Marketing Strategy

• Strategy introduces accountability

• Accountability introduces responsibility

• Digital media marketing strategy introduces

1. Measuring mechanism for effectiveness of digital media marketing

2. Adds accountability in terms of Return On Investment (ROI)

3. Creates responsibility for an effective plan

Page 23: SaaS Business & Marketing & Strategy

Strategy in Push & Pull Models

Pull Model

1. Cost of advertising

2. Cost of media development

3. Cost of keywords investigation

4. Cost of strategy implementation

Push Model

1. Cost of media

generation

2. Cost of strategy implementation

Page 24: SaaS Business & Marketing & Strategy

Strategy in Push & Pull Models

1. We calculate cost of traffic

2. We measure leeds count from traffic

3. We number transactions on books from leeds

4. We extract profit from transactions

5. We present profit/loss of each campaign

Who is doing all the above work and how much that cost where it goes in my books?

I say cost of strategy

Page 25: SaaS Business & Marketing & Strategy

Digital Media Marketing Strategy SaaS Perspective

1. Fill the knowledge gap in digital media marketing

2. Apply both push and pull models with right strategy

3. Manage both longterm and short term strategies

4. Adopt SaaS pricing models and apply transparent licensing and billing

Page 26: SaaS Business & Marketing & Strategy

Marketing & Pricing

1. Right price is important for effective marketing

2. Pricing may not be a direct a result of costing

3. Variable pricing can attract variety of markets

4. One price for each market can also bring ethics down

Page 27: SaaS Business & Marketing & Strategy

SaaS Pricing Models & Licensing

1.Identify right computable units

(Ex- User, Transaction, Instance, Usage Time, API key incase of PaaS)

2. Increased metering variables increases number of marketing plans

3. More plans mean more flexibility to user

4. Dont forget to meter metering cost

Page 28: SaaS Business & Marketing & Strategy

SaaS Pricing Models & Licensing

• Transparent Pricing

1. Computing power cost

2. Data storage cost

3. Application usage cost

4. Data escrow cost

5. Software escrow cost

6. SaaS layering cost

7. Dependable services cost

Page 29: SaaS Business & Marketing & Strategy

SaaS Pricing Models & Licensing

• Closed Pricing 1. Price per unit

2. Price per plan

3. Price per add-on

4. Price per api-key

5. Price per support unit

6. Price per support plan

Page 30: SaaS Business & Marketing & Strategy

SaaS & Innovations In Marketing

• Marketing evolves since market evolves over the time

• Research and development needed for new marketing strategies

• R&D funding should be for both SaaS product development and marketing

• SaaS business market is the fastest growing and evolving market

Page 31: SaaS Business & Marketing & Strategy

SaaS & Accountability

• SaaS business function integrates with each other and its hard to develop accountably

• Every thing looks like software department is accountable

• Accountability is crucial for strategy implementation

• With out accountability there is no responsibility

Page 32: SaaS Business & Marketing & Strategy

SaaS & Accountability

• Modular and interoperable with in the platform

• Single service for each business function

• Service bus for message passing

• Independent & channeled data bus

Page 33: SaaS Business & Marketing & Strategy

Cost Of Strategy

• Strategy costs time and money

• Reduced cost of strategy means flexible strategies

• Use integrated data to reduce cost of strategy

• Strategy implementation becomes error prone with out having accountability

• Accountability increases responsibility

Page 34: SaaS Business & Marketing & Strategy

SaaS & Ethics

1. Ethics are far more important to SaaS business then normal software business

2. It is minimum requirement to be ethical to be transparent on data handling policies and procedures

3. It is minimum requirement to publish ethics of the SaaS company

4. It is minimum requirement provide training on ethics to key software and data handlers

Page 35: SaaS Business & Marketing & Strategy

SaaS & Ethics

5. It is ethical to describe the reasons for pricing,supply and service variance over demographies

6. It is ethical to obey the enforced supply restrictions of residing legal boundary

7. It is ethical to obey the enforced restrictions of operating legal boundary

Page 36: SaaS Business & Marketing & Strategy

Marketable Ethics & Ethical Marketing in SaaS

• Since Ethics are important for SaaS business they are highly marketable

• Having good published ethics gives company's value over ethics and provides vital trust needed in the SaaS market

• Also it is important to have ethical marketing strategy over competitors

Page 37: SaaS Business & Marketing & Strategy

SaaS Ethics & Retention

• Retention is key for SaaS business since SaaS market got rapid changes

• Cost of retention is much lower than cost of acquisition

• It is proven having good ethics on supply and support provides high retention ratio

• It is important to have an over look on ethics of support personal

Page 38: SaaS Business & Marketing & Strategy

Review

• We know what exactly is SaaS• We know how to make a methodology• We know we need marketing no mater

what

• Digital medial marketing • Push Model• Pull Model

Page 39: SaaS Business & Marketing & Strategy

Review

• What is Strategy• Strategy for digital marketing• Pricing and marketing

• Pricing models for SaaS

• Strategy and accountability• Cost of strategy

Page 40: SaaS Business & Marketing & Strategy

Review

• Ethics and why do SaaS business count• Value of published ethics• Marketable ethics

• Ethical marketing

• Finally we reviewed all

A Big Thanks :-)