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The Power of People in a SaaS World

December 22nd, 2009

SaaS (Software as a Service) is all of the rage in the start-up world.  Investors love the recurring revenue stream, and companies are beginning to love the ease of deploy and the low upfront cost for deployments.

But what is not always realized is that SaaS really needs a human component as a start-up software company.  A recent interaction at one of our portfolio companies really demonstrates this.  The first part of the email is a member of the start-up’s management team talking about the importance of human interaction.  The second part is an email from an actual customer.  NOTE: All names have been removed.

Manager’s Email:

Hello All:

As you all may or may not know, at least every 3 months every one of our customers gets a contact email and/or phone call from their account manager.  From these calls, we learn a great number of things and re-enforce our relationship.

I wanted to pass on this great email to demonstrate why this is so important.  XXXXXXXXXXXXXX was doing his usual account maintenance and got the response below.  The customer mentions an obvious product deficiency,  (NOTE: We hear this from at least 90% of the customers we speak to), but also mentions that our customer service is second to none.

Often, the human touch can overcome any product shortcoming. It is good to know that we have instilled a culture where the “Service” part of SaaS is executed upon.

Customer’s Email:

Hi XXXXXXXXXXXXXXXX,

Thank you for your email, it’s nice to know that when we purchase a product from a company such as yours that we actually get to deal with real people, and not automated computers!

XXXXXXXXXXXXXXX has done wonders for our school – more and more teachers are starting to use them for their course work and also to collaborate planning sessions amongst staff members as well as parents. We use them in a variety of ways, from course work, to an online newspaper, to parents signing up for interview times and, as I mentioned, teachers planning lessons with other specialists whom they may not get a chance to do so otherwise.

At the moment I don’t really have any queries, only a suggestion… Is it possible in the near future that INSERT FEATURE REQUEST will be completed? Just a query :) :)

Otherwise, I appreciate your email and look forward to continuing with XXXXXXXXXXXXXX in the future,

Dark Alleys and Streets of Gold

December 17th, 2009

“Dick Costolo, co-founder of FeedBurner and now COO of Twitter, describes a start-up as the process of going down lots of dark alleys only to find that they are dead ends. Dick describes the art of a successful start-up as figuring out they are dead ends quickly and trying another and another until you find the one paved with gold.”

–WV partner, Chris Yeh.

What are you doing to quickly make decisions at your start-up?

Are you going down enough alleys to even determine if they are dead-ends?

If You Build It, WILL They Come? Boost Attendance and Keep People Talking About Your Event

December 15th, 2009

wikibuzzABOUT THE AUTHOR: Cheryl Vargas is CEO of WikiBuzz Events, event planners and buzz generators for the hospitality industry.

Why should potential customers leave their cozy keyboards to attend your live event when the proverbial ‘world is at their fingertips’ via the Internet?  Well, it’s got to be something they don’t want to miss, something everybody’s talking about, the latest industry event buzz!  How do you generate that buzz?  It’s easy, (but it takes time and effort).  Involve your audience in the process of creating interest, using a standard arsenal of today’s tools.

Before the event - Invite attendees to “save the date”,  use podcasts, blog interviews with featured guests and create social buzz via Twitter, Facebook, LinkedIn and other community sites.  Talk about what’s hot about your event, the food, the presenters, the entertainment, the sheer anticipated number of attendees, etc. Be sure not to neglect traditional means via appropriately placed ads, articles and press releases. Offer early bird specials, incentives for early RSVPs and offer exhibitors and sponsors the opportunity to share information, specials and discounts without being obviously sales-driven.  A well executed plan should include tracking mechanisms (Google Analytics, BudUrl) to monitor your efforts.

During the event -  You can broaden your reach beyond those in attendance through the use of community forums and webcasts. Having a screen showing live Tweets encourages attendees to comment live from the event. Additionally, you might create a space for guests to post photos on your site or on public forums. This is also a great opportunity for bloggers, videocasters, and podcasters to interview speakers and attendees.  Track actual attendance, solicit feedback and interaction, so that you can further tailor your company message to your customer needs after the event.  Have future event dates in place so you can share the information on-site with incentives.

After the event – Don’t drop the ball. Stay connected to attendees with ‘thank you’ offers, event wrap-ups, links to photos, evaluation feedback and products and future events. Make sure you encourage them to share your information with others who might be interested.  Offer opportunities to engage attendees through invitations to opinion forums, product trials, samples, reviews and user case studies.

To be sure, pulling off a stellar affair requires advance planning and should be based on an activity or theme that relates to your business and, most importantly, your target customer.  Though it should still come off as a soft sell opportunity to appreciate, educate and treat your guests well.

How do you rate on the efficiency scale?

December 8th, 2009

Sales AvatarAbout the Author: Elinor Stutz is CEO of Smooth Sale, LLC, International Author, Sales Trainer & Coach, and Motivational Speaker.

Efficiency is a boring subject, but in light of year end and the New Year upon us, it’s important to consider. This will allow you to find more time in your day to focus on your bigger projects.

Tips worth considering:
1. Delete out-dated computer files.
2. Shred manual files no longer needed.
3. Go through your calendar(s), and check off everyone with whom you were to follow-up; if you “don’t feel like it”, send a greeting card!
4. Clean up your email boxes: in, sent, trash.
5. Vow that for in-person appointments you will schedule locales near each other to be efficient with time vs. repeatedly driving across town.
6. Schedule calls and online appointments on particular days to establish a routine; however, flexibility for emergencies is key.
7. Writing a book? Schedule either a set amount of time or pages to be written for each day.
8. Establish your next day schedule the night before; list major tasks to be completed.
9. Use a combined database and calendar to keep on top of follow-up .
10. Create a to-do e-mail mailbox, and never lose track again!
11. Review your customer service policies; check for consistency and that they are reasonable.
12. Build relationships with everyone you meet.
13. Organize your desk; if you need, help hire it out!

Some of these tips may sound like New Year resolutions, but those fade by mid-January. Instead, change your mindset to making these strategies permanent.

Your efficiency will translate to expert leadership and marketing-communication skills attracting new and larger audiences to your business. Prospects will convert more easily to clients and business development will appear to be on auto pilot. You will be closing more sales.

I hope you find these tips helpful and wish you a very Smooth Sale!