Don't have a billion dollars in Venture Capital, aka VC, to spend on ads for your SaaS business, but want to get to a hundred thousand users? Then, you are at the right place to find the solution to your problem.
Keep reading to know what to do when you want to acquire more than a hundred thousand users.
As a SaaS business owner, you must be aware of the fact that getting small revenues is not that hard in comparison to reaching thousands of users. However, the scenario is totally different for venture-backed start-ups; one of the studies shows that 40 cents of every venture dollar actually goes towards advertising. This means that any new startup spends 40 cents out of every dollar from their venture capital on either Facebook ads, Google ads, Amazon ads, or other paid advertisements.
You don't have to become a part of the same herd if you don't have a huge amount of money to deploy in your ads. Or if you don't want to build a business where you pay extra to hold customers. So, how will you reach a hundred thousand users, if not ads?
Although there are many different methods, one major way is the growth strategy inside of ToutApp. It is used by various SaaS businesses effectively. This strategy is well-tested and works amazingly in growing the number of your users.
Let's walk you through this exact strategy and its principles so that you can get a hundred thousand users at ToutApp without emptying your pockets:
Principle 1: Finding who is your ideal customer
Building an ideal customer profile is critical for every business owner. It would be best if you got super specific about who is your ideal customer. You need to know- who are they? Where do they hang out? What did they use? What's their profession? The more you niche down, the more helpful it would be as other principles are built on top of them.
Your ideal customer profile should never be wide because this strategy will not work successfully. On the other hand, the narrow you are, the more strategy will work.
Now, let's hop onto other principles and know why principle 1 is critical to growing your users.
Principle 2: Finding who is already selling to your ideal customers
Finding out who is already selling to your ideal customers doesn't mean you have to search your competition. On the contrary, you need to find out the products and services that are complementary to what you are selling them.
For example: If you are selling software to salespeople that helps them to be more effective over email, phone and social media, then the possible complementary sellers to you would be CRM (customer relationship management) vendors.
So, find out such kinds of complementary sellers, NOT competitors and make a list of those sellers.
Once you have these two things, it's time for principle 3.
Principle 3: Employ Host-Parasite marketing
Host-Parasite marketing is an old-school strategy you can easily find in many old-school marketing books.
Host-Parasite marketing is what you will use to drive hundred thousand users to you with the two elements mentioned above.
Basically, you're not just going out to Facebook and Google and saying, "Hey, give me some people that might be interested in this." Instead, what you're going to do is- you are going to try to figure out what other companies are already spending money to acquire these customers, would also become your customer.
As we have mentioned before, figure out:
What are they selling? It has to be something that can complement your service or product. Who are these people? Because they will be your host, and you will become the parasite. But how to become a parasite.
Read on to learn how you can implement principle number three. There are three ways that you can deploy this-
The first thing that you can do is an API integration. For example, let's say you have a brick-and-mortar company and want to partner with another company. You have to meet with them, draw a contract, and get special permission.
Thanks to APIs, today, with every other SaaS business, these things have been eliminated. APIs are like the de facto open standard for doing a BizDev relationship. Similarly, when you get into a complimentary company or a complimentary piece of software, you're essentially entering into a partnership with them. In addition, you're adding value to both of your mutual customers.
Hence, the easiest way to get started on this is to figure out who these companies are that are already selling to your ideal customers and figure out how to do API integrations into them.
This way, you will get the big marketplaces that you would want to hook into. Not to mention the giant ecosystem of these established companies where you will get access to a lot of your potential buyers. All you need to do is integrate into the host company, and from that marketplace, people will discover you and then sign up.
So the power in this is to get some partnerships, hook into ecosystems that these companies have and make sure you get listed in their marketplaces.
Finding a marketplace might not be as easy as it sounds, but if you find one strong marketplace where your ideal customer is already hanging out and buying solutions, you can optimize that listing. This alone could be the growth engine that gets you to 100,000 users or more. That is the power of Host-Parasite marketing.
Finally, the last piece of Host-Parasite marketing that you can employ is co-marketing and co-selling. It is when you go into some of these companies and say, "Hey, listen, you have 100 salespeople, and you're selling the customer product data which you owe. Now I'll tell you why, product B, which I own, is actually super valuable. And if you sell it to them, though, the customer will get more value, and they'll stick around more, and you actually can make some money. I'll give you 10% of the revenues that you generate. You just have your marketing team and the sales team include our product when you sell it, or you include it as part of some sort of post-sale process."
These kinds of arrangements do exist and are incredible when they go to work. Because it means that you don't have to build out your sales team, and your product gets sold by the sales team that your arranged company owns. Also, that company is more than happy to do it because they know if their customer is more satisfied. This way, they'll stick out longer, and they get a copy of your revenue, which will still be cheaper than building out your own sales team.
The basic thing is to build an API integration. Then, hook into their ecosystem and their marketplaces. And lastly, look for co-marketing
and co-selling relationships.
Concludingly, if you want to reach 100K users, try to get super specific with your ICP, figure out what other companies are selling to that ICP, start with API integrations assets to promote you, and then do a partnership and enter their marketplace. And then co-marketing and co-selling.
Lastly, remember, everyone needs a strategy for their life and business, but when you are with us, it will be unstoppable.