How to Negotiate the Long, Slow, SaaS Ramp of Death
Gail Goodman (Constant Contact)
Business of Software Conference 2012
70% of their customers have less than ten employees.
Have of their customers have less than five employees.
It takes a long time to get to scale.
Magic number is the number of customers to get to a break even point.
Inflection point is more like a fly wheel than a hockey stick.
You’re the only one who knows how to sell your product. Partners are a mirage.
Get your users sucked in and invested in your product.
There are no silver bullets.
View your business from your customer’s perspective.
Most small business owners are members of more than one association.
Seminars are a great way to reach potential customers.
Your product needs to be quick to wow and quick to get customer results.
Get your customer successful early.
Know your lifetime value:
((ARPU (average revenue per unit) * retention) * gross margin) / (-) cost of acquisition
Don’t charge somebody for every time they use your product.
If you create a good experience people will tell their friends.