Why SaaS businesses need to provide great customer experience
You can’t have a business without customers. People have endless options when it comes to choosing software and services, so to be successful, customers must feel the need to go with your product. SaaS companies that are small business favourites didn’t get there just by having a great product, they have other differentiating factors. But in that, just how important is CX?
A HubSpot survey shows that 93% of customers are likely to buy again from companies with excellent customer service. Not only that, but 47% of customers will recommend your business to others if they have a good experience. Creating loyalty and getting that sweet customer retention MUST be a focus of your businesses plan! Returning customers provide essential upward revenue flow that can make all the difference in your business when resources are tight.
New customers are expensive!
Increasing a customer’s lifetime value is essential, since most costs are in the initial phases: think of the sales, marketing and CX that goes into making people start using your product. It costs six times more to attract a new customer than to retain an existing one. Increasing customer retention allows you to spend more on other aspects of your business. It’s simple: investing in CX helps keep the lights on. Things you can do from the get go are make sure that your onboarding process is seamless, and that your website is easy to navigate. Making things fun and engaging helps to keep your customers after you’ve put in the money to attract them.
That human connection
An issue a lot of SaaS companies face is being able to create and maintain customer relationships via real human interaction. Sure, a chat-bot or knowledge base might work for some situations, but customers want humans to solve queries and look after them. Research conducted by PwC shows that 86% of customers are willing to pay more for a better customer experience. CX staff might seem like a large cost, but the cost of not having it is much higher. Customers need attention, kind of like a puppy. Nurture them and they will remain loyal. Resolving customer issues instantly shows that you care, and people are more likely to remember the positive experience they had than their initial problem
You’re selling to your customers, and they’re the best ones to tell you what they want from you. Sending out email surveys or social media forms will garner much better traction if customers enjoy your brand and feel that sense of loyalty. Customer feedback helps you understand your products strengths and weaknesses so you know how to grow. For example, you might learn that your product works really well, but it takes too long to learn how to use it efficiently. Then, you know that investing in CX means investing in your onboarding journey.
Unlock the best CX
It’s time to improve your CX today. SaaS businesses are in a unique position to improve churn rates and the human connection by putting customers first. Find out what your customer NEEDS, and your business needs will follow. It’s not always easy, but it is profitable.
About the Author
Sam Bowden is Aider’s Customer Success and Sales Specialist. He’s passionate about demystifying technology – in other words, making data simple to understand and easy to access for small business owners. In his spare time, you’ll find him surfing New Zealand’s spectacular beaches, or enjoying music events.