I've spent ~10 years helping digital brands grow. I share what I know and what I'm experimenting with in this newsletter.
The highest value feature
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I was the "guest expert" in a senior SaaS leader mastermind last night. It was fun. The senior leaders of SaaS brands doing $3MM+ would come in, explain an issue they had, and we'd talk about things they could test to solve it. A couple of questions were right in my wheelhouse. But there's one I want to go over with you today. Look, one of the big issues in any recurring fee business, whether that's...
... is the issue of churn. You get yourself a new lead, they end up paying you, but a month or three down the line they churn out. Payments stop, revenue dips, and you're fighting a constant battle to bring in more people rather than keep the customers have happy. I shared a solution I helped develop a few years back when working with a FinTech scale up. This solution can be used with any business that has recurring fee or returning customers. I call it, the "highest value feature" sequence. A lot of consulting clients I work with make one massive mistake when welcoming new customers. They take the customers payment then add them into a sequence that's a generic blend of...
All of this is gonna work against you. The FinTech brand was doing exactly this. Their onboarding was stuff like...
No one is laying their head to rest at night thinking "Damn, I really need a new service that makes it easy to link my account". They were losing people because most of the users couldn't find the value int he product, and when the user can't see the value, why should they keep paying? So, what did we do? We spoke to as many of the highest value customers that this brand had. We asked them about the...
We compiled those results and discovered almost all of these higher value customers were using one specific feature daily. And they all said it was super valuable. We then looked at the usage from the people who churned. Surprise surprise, most of them never even activated that feature. So, we built a sequence to onboard people that directed them - pretty heavy handedly it has to be said - to that highest value feature. We made sure as many new customers as possible were activating it within their first 7 days. We just wanrted to make sure that they saw the true value of the prodyct before their first rebill. As more people activated this, the brand saw...
They were able to increase the LTV of each new customer they attracted which made them a far more profitable business. All by leveraging the data they had access to and using it ot make sure that people saw the true value. How does this apply if you're not a FinTech SaaS? Look, whenever you sell something there's an exchange of value. You need to make sure that the value the user receives is greater than the value they're paying you. If they pay $100 to get $200 worth of value every month, you think they're ever going to leave you? Hell no. And a lot of the time, the way to figure out how that value is delivered is within the data you already have access to. You just need to build a system that helps the user get the value ASAP. If you want help to figure this out in your biz, check this out. Speak soon, Pete "highest value feature" Boyle |
Growth Models
I've spent ~10 years helping digital brands grow. I share what I know and what I'm experimenting with in this newsletter.
I've completely stopped creating new lead magnets for my business. Why? Well, I could go over the same old ground and once again hammer you with the messages of... Freebie seekers are not buyers Payback period is key to staying alive But, there's another reason. One which is - in my opinion - more important and underpins the other two. In fact, this underpins the entire success of your growth strategy. Look, running ads or paying for any marketing for your business comes down to one thing....
I'm a firm believer that things can always be done a little better. Even when your marketing strategy is working, there's probably a few tweaks you could make to help squeeze a little extra juice out of it. And that's been my focus for the last week. I've been tweaking the sales material, funnel, and approach for the $1 Product Challenge. Now I could leave all of those changes and the reasons behind them hidden away. Secreted behind the paywall for only the most serious "funnel hackers" who...
If the growth strategy for your business is to simply "get new leads", I want you to think about this. Cause there's likely an easy 5+ figures in your biz you're overlooking. This weekend, I'm heading to a nice little local restaurant with the Mrs for a Valentine's Day dinner. The restaurant's in a really weird place. It's on a side street that gets little foot traffic. The side of the road it's on has barely any sidewalk (it's about 1-foot across). And the entrance is just a door in an...