A successful B2B SaaS business – where do you start?
The SaaS world is a highly competitive industry with a tremendous amount of movement. Blinqx CEO Ruud van de Kruk and tech entrepreneur and Blinqx advisor Joris van der Gucht know all about it. And are happy to share their tips on how to be successful in this business. Why would you want to reveal that, you might ask?
Ruud: ‘As an ambassador of entrepreneurship, I think it’s only beautiful when people in the software sector want to do business, and are successful at it. That only makes the world a better place.’
Joris: ‘That is also what is typical of the software business (speaking from experience): you are granted success, and expertise is shared. And in this relatively young sector, you can learn from both experienced entrepreneurs and young startups that are still searching for the perfect product-market fit.
Therefore, this article on 5 tips on the road to success – and the pitfalls involved. Here’s to your successful SaaS business!
Naivety is a blessing
As a software start-up, if you know in advance all the things you’re going to run into, you might not start. Don’t wait until you’re “ready” for it, because there’s always a reason not to do it; to work out your idea a little longer, to weigh the risks again. Only by starting will you learn the reality and all the obstacles that may or may not come with it. And you can make adjustments on that only when you encounter them.
Many a successful SaaS entrepreneur will agree: if I had known in advance how much time and energy it takes to bring a software product to market, I would not have started it with the same enthusiasm.
Team, team, team!
Before you can grow substantially, start with your team. What are the capabilities that you and possibly your associate(s) have? Recognize what you yourself are good at and where you can improve, what you need and therefore lack. And don’t be afraid to bring that expertise in house.
Find people with different qualities who are open to learning from each other and coming up with the best solutions together. You don’t want all like-minded people together; that’s not going to lead to the desired success.
Select inspired people with a growth mindset. It’s not just the expertise or skill that someone has, but whether they are capable of always taking the next step and daring to challenge themselves. So trust your gut feeling (also) when selecting your team.
Appoint a strong leader with authenticity and passion. There is no set type of CEO, but belief in the organization and in its growth is key. In doing so, also keep in mind the phases your company is going through. Are you looking for a driver of growth or (also) a director?
Product & customer value
What it’s all about! Get the hygiene factors right: reliability, speed, safety. Your product simply has to meet expectations. Not only in what it does, but also in your whole sales process, your positioning: make sure it is a coherent whole to make the customer experience right. In addition, 3 things to invest in:
Reliability in SaaS is also about relationship with your customer. As a customer, it is sometimes difficult to have a complete picture of the software you are buying in advance. So make sure the customer has confidence in your company and your people, in every piece of the customer journey; from purchase to deployment, from extension to license renewal.
Make your product scalable. Make sure you can continue to develop it. And that you can continue to deliver it well at a high rate to large groups of customers. Plug and play = the way!
Customer first: make your customer successful – so he can do more business. And always and consistently solicit feedback from your customer about your product. In addition to NPS research, consider quarterly business reviews to discuss their experiences with the customer. And prioritize that feedback and include it in your roadmap. That’s how you create more and more value together with your customer.
Ironclad commerce
As a software entrepreneur, speed is hard to beat! Make sure (if you still can) that you are the first. For this, you need a sales organization that wants to “go hard. In the chase, of course, there is always a position to be gained too, but it is slower and requires a different positioning.
Dare to take that step to sell your new product. Even if it is not yet perfect . Maak vooral snelheid! Niet alles hoeft in 1 keer perfect te zijn, als je er maar wel bent voor je klant om mee te denken, feedback ter harte te nemen en die relatie te bouwen (stap 3).
Keep pushing forward. The will to close every potential deal is crucial, and you need passionate people to do that (step 2). So make sure you are present in every part of your customer’s decision process: know that customer journey like the back of your hand.
Guts & purpose!
Ok, that first one is a clue – otherwise you wouldn’t go into business….
But then make sure you have focus, that you can clearly articulate from the beginning where you want to go. And validate your product: is this really what a potential customer would want.
Keep that focus in subsequent stages of growth: remind yourself regularly of that dot on the horizon you’re doing it all for.
And have you arrived at that dot? Shift your focus, keep challenging yourself.