As you might have noticed, this month I am exploring the question: How to avoid getting caught in the vicious cycle of desperately chasing SaaS funding.
In response to that question, one of the subscribers to this Daily Reflection wrote this:
“Two years ago, I approached a non-profit association of pharma execs (my target market) intending to sell them my core product. So, I started the conversation, asking them whether they struggled with this and that technical problem.
Their feedback: “It’s interesting, but we need a solution that solves this problem. Could you build that for us?”
Luckily my ego did not get in the way, and I started building the solution for that problem. Long story short: I now have a profitable SaaS company that sells what they asked me to build to an audience ready to buy.
The big lesson I learned is: ASK your target audience first. Then volunteer your work for a while, building what they want. It will grow trust amongst you. And those prospects will easily, without any sales team, migrate into paid customers.”
Here’s the thing:
Escaping the vicious cycle of desperately chasing SaaS funding starts by building something that’s solving a problem that’s both valuable and critical to your ideal customers. Of course, they’re the best to tell you what that is.
Once identified, then it’s your job to build it in a way that exceeds their expectations. Something that, when they start using it, they cannot live without it anymore. That’s where the magic begins: the kick-start of your flywheel.
Question for you to reflect upon
Does the SaaS product you bring to market tick all three boxes? Valuable, Critical, Exceeding expectations? If not – what could you change?
What’s your anecdote or question? Just drop it in the comments.