SaaS (Software as a Service) teams are victims of a common lie: the same value that got them their customers automatically leads to a renewal.
Focusing on customer retention is always commendable; still, this need not be your only focus. Meta SaaS, a management software provider, believes keeping a watchful eye on your contract matters, too. For this reason, monitoring audience’s behavior matters.
Teams should also examine SaaS data to achieve business growth and exceed customer expectations.
How does data impact your SaaS renewals?
Analysis of Product Usage:
To entice vendors to renew their monthly or yearly subscriptions, focus on engagement.
Customers are often excited during the first purchase. When the excitement dwindles, however, usage may decrease. Remember: if customers don’t use your products, they might not stay.
Instead of allowing this to happen, monitor your product usage data. Doing so gives you an idea on the time and frequency customers use your application. This insight also serves as a blueprint toward better customer engagement.
Learn more about the key behavioral actions that renewing customers take. Upon the completion of their full profile, start sending in-app messages or emails to persuade customers.
Validate the Customer
Customers bought your products to solve their problems. If the so-called solution fails to deliver, they are not likely to renew.
SaaS is all about continuous value. Instead of disappointing clients with short-term solutions, create milestones throughout their journey with the product. This strategy ensures customers are happy with the service and allows you to monitor the growth of their success. Make it more interesting by adding their achievements on their dashboards.
To confirm customer value, take a survey. If you have no time for interviews, short emails may suffice.
Investigate All Factors
Customer renewals depend on internal and external factors — some of them beyond your control. Do you know the influences behind your customers’ decisions?
It pays to do research. Learn more about your client’s industry and be prepared for sudden mishaps. Google Alert is a helpful tool in notifying about fluctuations in the market.
From the support tickets to product usage, your customers are the key to your growth. Leverage all collected data to your advantage. When you do, you’ll say hello to more renewals.