How to Master Email Marketing for Your SaaS Business
May 15, 2023
Social media, video content, and other innovative new formats have gained immense popularity as a marketing channel in recent years. However, with 4.37 billion active email users, email marketing still remains one of the most powerful marketing channels for all kinds of businesses, including SaaS. From lead generation to customer retention, it fuels and supports growth across the sales funnel.
In this article, we have compiled a list of the best email marketing strategies for SaaS businesses that’ll enable you to capture more leads, convert them into paying customers, and drive business success by maximizing revenue from everyone who uses your SaaS product.
Decoding SaaS Email Marketing
In simple words, SaaS email marketing is promoting your SaaS (product or service) through email campaigns. It’s a method of reaching out to potential clients at each phase of the customer journey via email to convert them into clients. 81% of small businesses count on email as their primary channel to acquire new customers and 80% rely on it for retention.
Why is email marketing important for SaaS business?
Email marketing is a critical component of B2B SaaS companies and offers a range of benefits that can help drive growth and success. Some of its key benefits include:
According to research, email subscribers are almost 3.9x more likely to share your content on social media than non-subscribers. Not only this, an estimated 4.24% are more likely to purchase your products. This means, by providing valuable content via email and adding CTAs, SaaS businesses can encourage their subscribers to take actions like website visits, content sharing, etc.
Generates maximum ROI
Email marketing is a cost-effective way to drive conversions and revenue, with an impressive ROI of $40 for every $1 spent.
It allows SaaS companies to upsell and cross sell their products, offering additional features or products that ultimately drive more sales and increase revenue.
Provides actionable data insights
Sending out emails using email marketing platforms offer robust analytics and data tracking which can help you gain valuable insights into your audience and improve your messaging over time.
Consistent, high-quality email campaigns helps you build trust, loyalty, and long term relationships with your target customers about your SaaS business
Scale your marketing efforts with SaaS email marketing
To succeed in SaaS email marketing, it’s crucial to differentiate yourself. Keep in mind that customers you’re targeting through email campaigns are already familiar with conversion tactics you use. So make your strategies stand out by using the following tips and tricks:
Set clear goals
Determine the goals you want to achieve for your SaaS business. Some of the common goals of SaaS businesses may involve attracting leads, increasing sign-ups for ‘freemium’ versions, converting organic leads into paying customers, and improving the overall customer experience to uplift retention rates.
Once you have a clear understanding of your ultimate business objective you can begin with capturing email addresses and create a mailing list that includes information about the audience you’re targeting via your email marketing campaign.
Craft emails that match your customer’s journey
To create an effective email campaign for your SaaS business, it’s important to craft content that resonates with your potential customers throughout the SaaS customer lifecycle. Also, Campaign Monitor reports that personalized email can generate up to 6x more engagement compared to generic emails.
By aligning your email content with the customer journey and giving your customers personalized experiences, you’ll be able to provide value to your prospects/subscribers and build trust with them, leading to an increase in the likelihood of conversion and customer retention
For example, in the awareness stage, you might send emails that provide your prospects with educational content about the problem your software/product/service solves. Then in the consideration stage, your email should highlight the features and benefits of your software/product.
By sending relevant content to your existing or potential customers, you’ll improve your email engagement rates, drive more conversions, and generate more sales for your SaaS business.
Give your customers a reason to subscribe
A great email content marketing strategy for SaaS businesses is built on delivering pertinent and reliable information. Your primary objective when sending out emails to your customers is to provide them with solutions to their pain points. Therefore, it should have a unique selling proposition (USP). Simply sending a link to your latest blog can become monotonous over time and go unnoticed. To entice your target audience to subscribe, provide them with valuable information that adds to their knowledge and leaves them eager for more.
Embrace automation to widen your reach
Communicating with your target customers at a personal level may seem daunting, especially if your email list has thousands of customers. That’s where automation can help. Automating your email marketing campaigns can greatly expand your reach, helping you connect with prospects at different stages of the funnel. By using automation, you can trigger targeted and personalized emails to specific segments of your audience based on the unique user behavior on your website. Besides, automating emails saves time and also increases the chances of your emails being opened, leading to more subscribers, conversions, and more revenue.
Track essential email marketing metrics
To measure the success of your SaaS email campaign, make sure that you evaluate its performance on a regular basis by keeping track of key metrics. Some of the critical metrics that you must track and analyze include:
- Open rate: The percentage of subscribers who open your email after receiving it.
- Click-through rate (CTR): The percentage of subscribers who clicked on a link in your email.
- Conversion rate: The percentage of subscribers who completed the desired action (such as buying your software or filling out a form, etc.) after clicking on a link in your email.
- Churn rate: The percentage of email that were undelivered and returned to the sender.
- Unsubscribe rate: The percentage of subscribers who opted out of receiving emails from you in the future.
- Revenue: The total amount of money generated by sales through your email campaign.
By tracking these metrics, you can gain insights into how your SaaS email campaigns are performing and identify areas that need improvement. You can also run A/B testing with different subject lines to determine which email newsletter performed better. This can help you optimize your campaigns to drive better results and higher ROI.
Now that you know how to effectively run a SaaS email marketing campaign, it’s time that you take the next step toward building a strategy that resonates with your SaaS business and your target customers. If you’re a B2B SaaS business looking for enhancing content marketing efforts, get in touch with Koda Integrated Marketing Services, your go-to agency for all your content requirements.