Customer Support

By | 2018-05-22T18:15:37+00:00 May 17th, 2018|Customer Support, Organizational Management, Sales and Marketing, Uncategorized|

Part 9 of 9 Customer support takes on greater importance for SaaS solutions – clients can vote with their feet and go elsewhere if they are unhappy with a vendor or the perceived value of a solution, and churn rates go up.  Customer support is also an important element of the on-going sales process, [...]

Sales Compensation

By | 2018-05-22T18:14:24+00:00 May 3rd, 2018|Organizational Management, Sales and Marketing, Uncategorized|

Part 8 of 9 We will look at sales compensation from a couple of perspectives.  The first is if you decide to use the existing salespeople, but you want them to drive some level of SaaS sales.  There are a number of things you can do to influence their behavior. Separate quotas. Give them [...]

Building the Right Sales Organization

By | 2018-05-22T18:13:24+00:00 April 19th, 2018|Organizational Management, Sales and Marketing, Uncategorized|

Part 7 of 9 It can be very difficult to get traditional salespeople to focus on selling subscriptions.  The reason is money. Salespeople tend to be “coin operated.” They are motivated by money and will sell the product or service that generates the biggest commission check. Given the choice of selling a project for [...]

Minimizing Customer Churn

By | 2018-05-22T18:11:34+00:00 March 22nd, 2018|Organizational Management, Sales and Marketing, Uncategorized|

Part 5 of 9 Simply put, the churn rate is the percentage of clients who sign up for a subscription and stop paying, for whatever reason, whether they went to a competitive product or simply didn’t find a compelling need for this type of solution. There are a number of ways to measure churn, [...]

Managing Customer Acquisition Costs

By | 2018-05-22T18:10:08+00:00 March 8th, 2018|Organizational Management, Sales and Marketing, Uncategorized|

Part 4 of 9 CAC - Customer Acquisition Costs - are all of the expenses incurred during the marketing and sales cycle. These costs are the investment you make up-front and can be easy to underestimate.  If you don’t measure it accurately, some of the other metrics become much less meaningful. Many start-ups underestimate [...]

Overcoming the Cash Flow Chasm

By | 2018-05-22T18:09:13+00:00 February 22nd, 2018|Organizational Management, Uncategorized|

Part 3 of 9 When I work with ISVs that are moving from on-premise perpetual licenses to Cloud-based subscriptions, or services companies that want to move from project-based billing to managed services contracts, the most frequently asked question is: “How will this impact my cash flow?” And it is a perfectly valid concern.  The [...]

Repeatable IP – Opportunistic or Strategic

By | 2018-05-30T13:41:48+00:00 February 8th, 2018|Organizational Management, Uncategorized|

Part 2 of 9The first, and biggest, decision for any services company that is considering a repeatable IP business is how important it will be to them.  Should it be opportunistic or strategic?By opportunistic I mean that you have some repeatable IP, but don’t want to make a big investment or disrupt your current business.  [...]

Every SI Should be a Product Company

By | 2018-05-22T18:07:25+00:00 January 25th, 2018|Organizational Management, Uncategorized|

Part 1 of 9 Many major vendors are encouraging their services partners to build repeatable IP (products) – Microsoft, Cisco, Salesforce.com and others.  Of course, they are doing this out of self-interest, to make their underlying technologies stickier, and/or to drive consumption of Cloud services, but this is one of those times when the [...]

Using Channel Partners to Sell SaaS Applications

By | 2017-08-07T20:12:58+00:00 May 1st, 2017|Sales and Marketing, Uncategorized|

Despite what many analysts have predicted, sales channels are an important part of the software as a service (SaaS) business model. This is especially true in the enterprise market where the complexity and length of the sales cycle, combined with services that are usually required during the implementation, make web-based sales impractical. There are more [...]

Reorganizing Your Organization for SaaS

By | 2017-08-07T20:12:59+00:00 April 3rd, 2017|Organizational Management, Uncategorized|

I don’t like the word “disruptive” when talking about new technologies and their impact on software vendors. We have been working with ISVs and their partners since 1992, starting with mainframe and mid-range solutions, then client-server, thin clients, the ASP blip in the late 90s, and now SaaS.  We see these changes as a continuum, [...]