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How often your customers use your saas/week?


#1

Hey guys,

So I have this product that’s on beta stage.

On the niche there is only 1 product that it’s just a script(no user interface) and it’s sold as almost $200. My product has a user interface, it’s easier to use + other features.

Anyway, when I started the beta stage I sold about 20 life-time licenses between $100-$200 just by posting on the forum where most of the potential clients go. This was enough of a proof for me to know it’s worth to work and launch it.

However, the main issue is, after the setup(which is not so easy since they need to upload some files on their servers and configure some stuff) and using the product for about 2 days, they usually don’t come back or if they do, it’s after a week for half an hour or something.

After the setup and few hours of use they all tell me is great, looks good, stuff like that…but when I contact them back why they don’t use it anymore after a few days, they say “they didn’t have the time”, “they will use it shortly”, “i didn’t need it right now”. Every time I ask them, I always get the same answer that is useful and saves time.

The thing is, I want to sell this product as a monthly recurring service since I don’t like at all one-time pricing and it fits on the monthly recurring model. The broader competitors(not on this niche) charge over 200$/month, but their features are not designed for the niche i’m in so my product fits this niche way much better.

My question for you, how often your clients use your product(priced above 50$/month), a few times a week, one time a week, daily?

The more they use the more time is saves, but I’m afraid that people will cancel if they don’t use it enough. The reason I think for lack of usage is:

  1. the interface is not really that good and people don’t come back
  2. is not that useful as I thought…but why they buy it in the first place?
  3. the product is about optimization and they don’t really know how to do it so i need to educate them?
  4. they are internet marketers and they are paranoid and afraid having another server connecting to theirs and this doesn’t make them comfortable

Thanks


#2

It could be as simple as the pricing structure itself. I know I’m guilty of buying things before I truly need them - but never when I know I’ll be billed every month for it. What is keeping you from going to monthly billing now?


#3

That’s the next thing I’ll do. I was selling batches of 5 licenses so I could talk to each customer on skype. This helped me a lot to fix bugs, improve the product etc. But as you said, when I’m going to charge/month things will change.

If they stay subscribed only for 1-2 months won’t help me. The product is very useful, but it’s more a problem of adopting it and changing the way they are used to do things.


#4

I think the usage would really depend on the service. Is it something that would typically be used daily or would it be used less regularly.

If people have signed up and do use it then there must be some benefit for them. People will cancel that’s just a fact, it sucks but it happens. Focus on making it the best and the rest will take care of itself. I have had people cancel and then come back after they realized it was more beneficial than they at first thought.


#5

I completely agree with @NicheDiver: If you sell with a one-time fee you are going to get impulse buyers.

In your case it sounds like using your product involves a change in workflow or work habits. That is a lot to ask from your users, therefore don’t be surprised if people say it is great but they haven’t completely adopted it. They’ll take the opportunity to buy your solution and “sit on it” until it makes sense for them to change their work habits.

Regarding usage patterns of a SaaS, there is no general answer. I never log in to my Pingdom account, but I pay them money and I fully expect to be notified if my site goes down. On the other hand, something like support ticketing software is likely to be busy five days a week for most of the day.


#6

Thanks for the input.

They don’t use it daily because they don’t do that specific action that my product help daily. The only thing i’m not sure if it worth to them to pay 50/month or more for a product that save about 2-3 hours/week + makes the process much easier.

Also they are not really business, they are like freelancers, even if they earn a lot, they are still a bit reluctant about monthly subscriptions.

I want to know if there are/were guys in my position and what did they do.


#7

To answer your original question. My users (SharpPLM) use it daily. Often creating several quotes per day.

I don’t know what your product is, but perhaps you can bring the value TO them? For instance, can you email them valuable information instead of forcing them to look at in the app? Even if it requires interaction, if you email them weekly or something with info and a call to action link, maybe it would draw them back in?

Just a thought.


#8

It’s a good idea. I’ll be sending weekly email about optimization. I’m starting to believe that I need to educate them a bit to use it more.