MARKETING AND PRODUCT STRATEGY SOLUTIONS
Market and competitive analysis
You know your number of clients, how much revenue they bring in. And you know who your main competitors are, but do you know how many clients and how much revenue they have? Your market share is a key metric for strategic planning that is crucial for your board and potential investors. Also, is your market growing or shrinking overall? Every business must pursue growth, but strategies to do so must be based on market conditions:
- In a growing market, you can focus on acquiring customers new to the product class. You can grow without growing market share.
- In a static market, you must grow your market share, taking away business from competitors.
- In a shrinking market, you must preserve the business you already have and take business from competitors to grow. It might also be time to consider adjacent markets.
Knowing whether you are in a growing, static, or shrinking market should strongly influence your investment decisions and how you position yourself vs. competitors. Do you invest heavily to get to feature parity with a competitor? Shift resources to marketing? Or focus on making existing customers happy? A market analysis must be the foundation of your overall product and marketing strategy.
Solsix can perform a thorough market analysis to give you this foundation for your strategic decisions. By assimilating industry data from a variety of sources, and combining both top-down and bottoms-up analyses, we can provide unparalleled insights to your decision making team.
Maximize Product Engagement
Maximizing user engagement starts with data instrumentation. That is, tracking user activity throughout their product experience. Only then can you begin to derive insights and formulate a plan to increase usage or improve specific KPIs. A good strategy here is to use product data to infer a set of user personas, and work with designers and product managers to evolve your product to more directly meet the needs of those personas. For example, you may build a “power user” mode that gives access to features and controls deemed to complicated for a “lay user”.
Solsix excels at the combined art and science of optimizing user experience to drive the right kind of user engagement that moves the needle for your business.
Optimize Conversion Funnel
Your conversion funnel is everything from the first encounter with a potential customer, e.g. landing on your website, to becoming a paying customer. In SaaS, this can be complex and multi-touch, potentially with a sales cycle measured in months not minutes. Conversion funnel optimization is a multi-faceted discipline that brings in elements of marketing segmentation, user experience, psychology, and analysis.
- Marketing segmentation: it’s easy to buy media to bring traffic to your site, but not every visitor is the same. With the right data, you can exclude tire kickers and unqualified visitors so you can focus on real potential customers.
- User Experience: what are the right calls to action, how much information should you collect, and when? A/B testing is a powerful scientific technique here.
- Psychology: human behavior is complex, but there are patterns of behavior that can be influenced methodically. Is your conversion process high or low hurdle? What do visitors get out of completing your forms?
- Analysis: after mapping the structure of your funnel it is amenable to analysis. Where are users dropping off? Where should optimization effort and incentives be applied?
Solsix excels in analysis and optimization of your conversion funnel. Our successful solutions have ranged from straightforward user experience changes (e.g. ask only for email up-front) to sophisticated funnels that branch based on progressive capture of data.
Account Based Marketing, or ABM, is the new buzzy term for something that is intuitively obvious: spend your time, money, and effort pursuing customers that will generate the most revenue and are the most likely to buy. This is especially relevant with enterprise software where sales and marketing costs are high. ABM helps to minimize your cost to acquire a customer (CAC) while maximizing revenue (LTV, MRR, or ARR).
ABM is a strategy, along with a set of tactics that work for your business. Despite the claims of several vendors, there is no single tool that can do this for you out of the box. In fact, you probably already have the tools you need to execute ABM, but just don’t have the right data. The essence of ABM execution is in assimilating the data necessary to prioritize your sales targets, and optimizing your product marketing materials to appeal to different segments within your target market.
Solsix can help you formulate your ABM strategy, assimilate target data, instrument your existing tools, and optimize your product marketing materials. Our results speak for themselves: 200% increase in sales pipeline, 20% increase in close rate, and 50% increase in new client MRR.
Advanced business data modeling in Excel
Most companies do not model their business thoroughly enough. Modeling in Excel is the realm of the CFO, since accurate financial forecasting is essential to every business. But do your financial models actually incorporate your business KPIs? A good model is essentially a simulation of your business, with financials as an output. The ideal way to model your business is actually in two parts:
- A traditional Financial Model, for forecasting P&L, cash flow, etc.
- A Simulation Model that incorporates the moving parts of your business and KPIs
The simulation model ties together output from sales, marketing, and product, and feeds into the core financial model. For example, your customer churn affects your overall MRR and will impact your finances. Do you have a financial model that puts churn at 10% because “that’s what it was last year”? Revenue doesn’t churn by itself. An effective simulation model will get to the root of why customers churn, identifying the levers that can affect it, and tie dates and weights to initiatives that pull those levers.
Solsix can help you discover the dials and levers in your business, and model them effectively to provide you with valuable forecasting and planning tool. Your CFO will have more confidence in a model that reflects the realities of your sales, marketing, and product.
Customer Data Insights
Do you sometimes struggle explaining why your users behave the way they do? Why do they cancel, or go dormant? Why are they not using this great new feature? You can simply ask them, which can be good for anecdotal input to product management, but what if you have thousands of customers? Surveys are effective, but how do you minimize bias? Survey respondents tend to be the most vocal users on either end of the happy-unhappy spectrum. Do you have any direct product usage event data? Finding the right balance between gathering raw data (every click) and high level (shows evidence of using a feature) can be challenging.
Solsix excels at collecting and assimilating available data to generate actionable insights about customer behavior. We can clean, consolidate, analyze, and segment your data to give you a clear picture of who your (real) customer is, so that you can better prioritize your roadmap to deliver value where it counts. For example, perhaps half of your users are tire kickers, or signed up for the wrong reasons, and should be excluded as input to your product planning.