SaaStr

SEPTEMBER 3, 2023

It gets you to build that new edition, go upmarket, add more value, compete in new market segments. When you have to earn more revenue from the base. But late 2022 and 2023 was different: we enforced more revenue from the base. We didn’t earn it. We forced it.

Scale 229

Scale Market Segmentation Customer Success Pricing 229

SaaStr

FEBRUARY 16, 2023

Another way to look at it is any vendor sort of has to ignore any market segment that is < 10% of their revenues. Many they don’t do mobile as well, or social as well, or whatever. 10+ year old platforms are powerful. But they were architected for a different age. It’s just immaterial.

Startup 220

Startup Healthcare Marketing SaaS 220

User Pilot

APRIL 18, 2024

TL;DR Customer segmentation involves dividing your customers into different groups based on common characteristics, such as age, gender, industry, device type, and company size. Market segmentation, on the other hand, focuses on dividing the broader target market into different segments.

Customer Lifetime Value 93

Customer Lifetime Value Sales Recruiting Market Segmentation Scale 93

Tom Tunguz

SEPTEMBER 12, 2022

Ten years ago today, I wrote a post titled “ Choosing market segments on customer profitability. ” How healthy are the business’s underling customers? Today, that question matters more because of the recession than at any point in the last decade. Selling to very profitable customers benefits a startup.

Startup 241

Startup Market Segmentation Pricing Enterprise 241

SaaStr

MARCH 18, 2021

Another way to look at it is any vendor sort of has to ignore any market segment that is < 10% of their revenues. Many they don’t do mobile as well, or social as well, or whatever. 10+ year old platforms are powerful. But they were architected for a different age. It’s just immaterial.

Healthcare 265

Healthcare Market Segmentation Mobile Churn 265

SaaStr

JUNE 15, 2023

Small markets are often, though not always, less crowded. If that’s the case, sometimes starting there and then expanding into a larger market segment can work out well. A small segment of a large market is often where most of us star t. A good example below in e-signatures.

Sales Recruiting 200

Sales Recruiting Marketing Sales Hiring Market Segmentation 200

SaaStr

JANUARY 10, 2024

Many see the “mid-market” as the toughest market segment to win in. . $62,500 Per Customer on Average, Across 16,000 Customers With $1B in ARR and 16,067 customers, their average ACV is $62,500. Not Procore. They’re very good at it, in fact. #5. GRR Has Held Up at an Impressive 95%.

Scale 201

Scale Payment Services Payment Features Construction 201

SaaStr

JULY 18, 2021

A great look back at how Chime built its brand, where it struggled, the market segment it wanted to win, and how it scaled. #7. . #6 “Ringing the Bell on Competition with Chime’s CEO Chris Britt” OK this session was just A+. I loved it.

Scale 268

Scale Finance Market Segmentation Enterprise 268

SaaStr

FEBRUARY 5, 2021

certain market segments, or verticals, or use cases, or workflows). A slightly improved version of an industry leader is rarely enough. Even the top leaders have gaps though, gaps that matter to paying customers. Important pieces of white space that they just aren’t chasing (e.g., Are you sure?

Startup 256

Startup SaaS Interviewing Market Segmentation 256

SaaStr

FEBRUARY 6, 2021

Third, it’s important to be in a segment where competition can’t kill you. Because it will take you 4 years >longer< to get to $10m ARR, it’s important to be in a market segment where direct competition is weak. This doesn’t mean it isn’t there. It just means that in your sweet spot of deals … you usually win.

Sales Hiring 361

Sales Hiring Venture Capital Scale SaaS 361

SaaStr

MAY 28, 2021

A market or at least, market segment, that if small now will be huge. But CRM is a big market. The ability to get to that future, no matter what. To recruit amazing teams. To break things and fix them. To pick themselves off the ground, 5, 10, 50 times. To never, ever quit. Related to seeing the future.

SaaS 314

SaaS Market Segmentation Product Marketing Marketing 314

SaaStr

MAY 19, 2020

Focusing on Segments That Are Thriving. Not enough SaaS companies have segmented their sales teams and marketing efforts into Green, Yellow and Red market segments. It’s worked for Zoom and Slack. Maybe not even most of you, not really.

Strategy 299

Strategy Travel Market Segmentation Onboarding 299

Baremetrics

MAY 18, 2021

1 What is Customer Segmentation? 2 Pitfalls of Not Segmenting Customers 3 Benefits of Market Segmentation 4 How Baremetrics Helps. What is Customer Segmentation? Customer segmentation is the process of grouping your customers according to certain criteria. Try Baremetrics free. Table of Contents.

Strategy 59

Strategy Marketing Market Segmentation B2C 59

SaaStr

MARCH 30, 2021

Win rates should go down as you scale, and push into new market segments. Win rates in fact should go down as you do more marketing. Marketing will bring in leads that are tougher to close. In fact, a very high win rate often means you aren’t really doing any effective marketing at all.

Scale 280

Scale Market Segmentation Leadership Engineering 280

User Pilot

APRIL 19, 2024

Segmenting Your Target Market Market research plays a key role in segmenting your target audience into manageable segments. These market segments are typically grouped by similar needs or attributes, and display similar responses in marketing research surveys and initiatives. Lifestyle choices.

Market Research 52

Market Research Sales Recruiting Marketing Underperforming Technical Team 52

Baremetrics

MAY 26, 2021

Value-based: This segment is grouped by the economic value the group seeks. Needs-based: This grouping is defined by each segment's particular needs. More sophisticated market segmentation strategies look at a combination of these models, or they mix and match criteria to come up with in-depth marketing insights.

Social Media 105

Social Media Market Segmentation B2C Churn 105

SaaStr

JANUARY 2, 2021

The #1 biggest mistake I see from $1m to $10m ARR is chasing new market segments, new categories, new areas where you have 0 or almost no traction. You’ve gotten 50, 100, whatever # of businesses to pay you $1,000,000 a year. There are 10,000 new apps out there. It’s “impossible” to get to $1m. You did it. We all want to grow faster.

Sales Hiring 294

Sales Hiring Headcount Pricing Market Segmentation 294

SaaStr

DECEMBER 22, 2023

Discovering the entire market and mapping out all potential verticals early in the process. The incredible power and value of the mid-market segment. His five lessons are: A single metric that helps guide decisions of when to pivot, when to iterate, and when to pivot. Going multi-product early.

Scale 239

Scale Scaling Strategy Sales Hiring 239

Tom Tunguz

NOVEMBER 18, 2019

I found an excellent list in Kotler on Marketing that I adapted for startups. Which market segment should we pursue? How many of these questions can you answer about your business? What is our company’s story? What is our pitch? How do we differentiate our product from competition?

Product Marketing 245

Product Marketing Startup Marketing Interviewing 245

SaaStr

JUNE 7, 2023

A few enterprise clients continued to come in through inbound, but the company carved out a winning market segment with the under 5K employee focus. Customer Impact : A much better PMF for SMB & Mid-Market customers. “You Twelve months later, WorkRamp went from 18 new logos per quarter to 87 new logos in a quarter.

Scale 191

Scale Scaling SMB Marketing 191

SaaStr

DECEMBER 27, 2023

The LMS market segment is big, and Docebo thinks about it in two folds. At Docebo, 65% of their customers use it both externally and internally. It’s essential that messaging doesn’t get confused when communicating with these different use cases.

Sales Hiring 193

Sales Hiring Scale SMB Outsourced Development 193

SaaStr

JANUARY 13, 2022

And as the number of SaaS companies continues to grow and explode, and as SaaS changes and penetrates more and more market segments … it seems like there are more and more exciting SaaS companies without a natural acquirer. The fourth had an IPO, eventually. At least that I can see, or believe.

Market Segmentation 254

Market Segmentation Mobile Technology Cloud 254

User Pilot

JANUARY 18, 2024

A price survey will ask your target market segments questions about exactly how much value they get out of each feature, the overall value of the product, and their willingness to pay for it. Get your free Userpilot demo today! What is a pricing survey? Get your free Userpilot demo today! When to use the Van Westendorp pricing survey?

Pricing 102

Pricing Scale Market Segmentation Scaling 102

SaaStr

JULY 6, 2020

If yours is, invest more there and worry a little less about pressure to do new things, new market segments, etc. Double down there. You can screw up a lot of other things. Most products are not beloved. 4/ If you need a little more $$$, and you are doing well — we will help. I needed just a little more money, but not a ton.

Part-Time VPE 247

Part-Time VPE Scale Market Segmentation Finance 247

Totango

NOVEMBER 15, 2023

out of 10 and more than 397 reviews on the site, Totango earned its spot as the best of the customer success software category thanks to testaments from our customers across industries and market segments. “ What our customers are saying With a trScore of 8.1 The bomb in customer success software!

Customer Success 112

Customer Success Software Review Technical Review Enterprise 112

User Pilot

DECEMBER 13, 2023

The jobs-to-be-done (JTBD) framework is a customer-centric tool for product development and innovation, focusing on understanding the specific tasks or “jobs” customers hire products to do, providing insights into customer motivations, guiding innovation, aligning product features with real needs, and aiding in market segmentation.

Software Review 105

Software Review Underperforming Technical Team Interviewing Innovation 105

SaaStr

MARCH 25, 2021

Shopify is #1 in so many market segments, but for “bigger” SMBs BigCommerce (and perhaps less-custom enterprise deployments) is arguably #2 to Shopify. It’s much smaller than Shopify, at $170m ARR vs $3B+ ARR, but it’s still plenty big for us to learn a lot from this big but not #1 player in the market.

Outsourcing Services 210

Outsourcing Services Payments Merchant Services SaaS Payments 210

User Pilot

APRIL 22, 2024

Miro uses an optimized pricing model that caters to different market segments. Miro uses an optimized pricing model that caters to different market segments Miro’s customer acquisition and PLG strategy involves using a freemium model and pricing structure that caters to the specific needs of different users.

Strategy 78

Strategy Education User Experience Acquisition 78

SaaStr

MARCH 8, 2020

2 often has a better product, at least for some market segments. #2 But, #2 can win with just a 30% better product than #1, if #2 is already a leader and in the game. Post-traction, with a brand. Then, it’s down to which is better for me, #1 or #2. #2 2 Can Win as a Better Partner. See above. #1s 1s can get arrogant, worst case.

Innovation 248

Innovation Market Segmentation Pricing Branding 248

Baremetrics

APRIL 27, 2021

Learn more about the customer segmentation tool from Baremetrics. What Is Customer Segmentation? Types of Market Segmentation 1. Behavioral Segmentation 2. Demographic Segmentation 3. Geographic Segmentation 4. Psychographic Segmentation 5. Target Your Market Segment!

Strategy 59

Strategy Marketing Market Segmentation Outsourced Development 59

SaaStr

MARCH 8, 2024

Another mistake people make is going after an SMB segment when there’s a good enough free alternative. The reality is that any market with a good enough free alternative to the SMB-Mid-Market segment isn’t a compelling market. Overall, every company should try to increase the value for customers over time.

AI 188

AI Artificial Intelligence Pricing SaaS 188

Tom Tunguz

FEBRUARY 11, 2019

Jonathan asked: Can you share trial length by market segment? Consequently, earlier startups might have a lower conversion baseline, whereas a business at $20M in ARR has spent several years optimizing trial. But statistical tests indicate that the differences in conversion rates aren’t meaningful. This was a good intuition.

Payment Services 188

Payment Services SMB Benchmarks Market Segmentation 188

User Pilot

SEPTEMBER 19, 2023

How to use a flywheel and a PLG funnel together to drive product growth If your company is targeting multiple market segments (e.g. It’ll likely take some fine-tuning to ensure this hybrid approach is appropriate for your market segment.

Scale 105

Scale Technical Review Acquisition Sales Funnel 105

Sales Hacker

NOVEMBER 22, 2021

The Sequence Specialist runs through a second round of approvals by SDR managers for each market segment, all team leads, and the VP of Business Development. They can hit the ground running with dozens of sequences tailored to market segment, industry, and persona. The Sequence Specialist writes the content.

Scale 99

Scale Technical Review Sales Systems Review 99

User Pilot

JULY 4, 2023

Early majority customers represent a larger group that cautiously adopts a technology once it has become more established and proven in the market. Late majority is a more skeptical market segment that adopts a new technology reluctantly, driven by necessity and external pressure rather than a desire for innovation.

Scale 92

Scale Scaling Technical Review SaaS 92

Sales Hacker

FEBRUARY 15, 2024

Strategies for Differentiating Your Approach Data Segmentation Data segmentation, or market segmentation, separates customers and prospects into different groups so they receive messages that are most relevant to them.

AI Search 90

AI Search Social Media AI Sales Funnel 90

OpenView Labs

NOVEMBER 11, 2020

But first: What is a market segmentation frame, and how do you develop one? A market segmentation puts your prospects and customers into different buckets so that you can make choices in the product you offer, how you communicate, the pricing model and who you target. Market segmentation is the foundation of good pricing.

Pricing 73

Pricing Marketing Market Segmentation Communication 73