Embracing Customer Value Beyond Acquisition is crucial for SaaS companies. It’s easy to get caught up in the thrill of landing new customers, seeing the numbers tick up, and feeling like progress is being made.
We see the numbers tick up, and it feels like progress, right? But honestly, many SaaS companies get stuck in what you could call an ‘acquisition addiction.’
They pour tons of money and effort into getting new sign-ups, sometimes without a clear picture of whether those customers are actually profitable in the long run. This is like constantly filling a leaky bucket, spending a lot to get water in, but not really getting ahead because the holes are not fixed.
Improving how much money is made from each customer, even by a small amount, can have a huge impact on the bottom line, often more effective than just signing up new people.
Author's summary: SaaS companies should focus on customer value beyond acquisition.