Benefits of implementing Component Analytics on a SaaS

Yesterday, I argued that you should use Component Analytics on your SaaS.

Here are some of the benefits:

• Understand your customers: Being an online-only business, understanding how your customers are behaving on your site is crucial to making their lives easier. Most SaaS products are B2B so you’re solving an actual business need for your customer. If they’re going to return daily/weekly to use your product, you need to find out the hurdles on their customer journeys.
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• Unsubscribes: Being a B2B business, your customers have more patience than a B2C customer. But losing one account can be devastating to the bottom line. You will lose customers over time, and the reason may be found in the data. Make sure to analyze the customer journeys of customers you’ve lost.
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• King of the hill: SaaS’es usually work on subscriptions. That gives them more of a lock-in effect than for example e-commerce. Yet, there are also a lot of competitors entering the space at any time. Software is easy to copy so you need to make sure that the customer experience is the best there is.

SaaS products live and die by their understanding of their customer.

Most have a couple of “whale” clients.

Large clients that are funding their business.

Understanding the clients and serving them makes them stay.

And this understanding in turn informs your marketing so you attract new clients.

– Samy