#40 🏰 bite-sized case studies to grow your saas

✅ 1 to 3 bite-sized case studies to grow your SaaS

✅ 1 to 3 curated resources from top-notch experts

[Bite-sized case studies]

RETENTION

1) Reducing churn by just 25% can lead to a growth in profit by as much as 85%

Let’s walk through it:

→ Let's assume that your business currently has 1,000 customers and each customer spends $100 per month, resulting in $100,000 MRR.

1,000 X $100 = $100,000 monthly revenue

Reducing churn by 25%, you will retain an additional 250 customers each month.

Assuming each customer has an average lifetime value of $1,200, the total additional revenue you can generate from these retained customers each year would be $3.6M

250 customers/month x 12 months/year x $1,200/customer = $3.6M

RESULT: Reducing churn by 25% has the potential to increase your annual revenue by $3.6 million!

While oversimplified, this example highlights the significance of churn mitigation in today's landscape.

✅ Prioritize customer success by offering personalized support and tailored solutions to build trust and foster a long-lasting relationship.

✅ Monitor customer behavior to identify early signs of dissatisfaction or disengagement and intervene early.

✅ Provide flexible pricing and plans that allow customers to scale up or down as needed.

✅ Offer ongoing training and education to empower customers and strengthen the partnership

✅ Seek and encourage customer feedback. Take action on their input to identify areas for improvement to address immediately.

 Growth tactic by Evan Hughes

ACTIVATION

2) Make onboarding your top priority

• Week 1 retention: Can you get your users to use your product more than once?

• Mid-term retention (weeks 2-4): Can you establish any pattern of usage?

• Long-term retention (weeks 4+): How does your product become an indispensable tool?

Most companies put more effort into improving long-term retention—but it turns out that improving early retention through better onboarding cascades into the rest of your customer life cycle, creating ongoing retention gains.

Dan’s efforts to improve the onboarding experience at HubSpot’s now-defunct Sidekick product drove up first-week retention by nearly 15%. What’s more interesting, though, is that those effects continued indefinitely. At week 12, those initial improvements had boosted retention from roughly 15% to over 25%—an improvement of over 60%.

So how can you improve your onboarding and see similar results in your own SaaS? Margaret Kelsey over at Appcues lists some best practices:

✅ Know your customers. Understand the job customers are “hiring your product” for, and frame your onboarding around achieving that success.

✅ Identify your aha moment, and get users there fast.

✅ Map out and benchmark the user journey. Design a path to guide them through key features that help them achieve their goal.

✅ Continue educating users, even after onboarding. Provide tips, training, and education so customers get the most out of the product.

Growth tactic by Dan Wolchonok & Margaret Kelsey via paddle.

RETENTION & REVENUE

3) Closing the feedback loop

– How should you respond when customers request a feature?

My suggestion is to talk with your customers, and this is a great excuse for doing so. Plus, your customer feels heard, which encourages them to offer more feedback in the future.

But don’t stop there.

Once the feature is developed, reach out to the customer who requested it to tell them about its release.

Now your customers are participating in the roadmap, and most importantly, they are aware of it!

From there, you can grant them beta access to those features and try to get additional feedback from them.

Growth tactic by Mariano Martene

Posthog Handbook

The PostHog Handbook is like an open playbook. It gives you a peek into how they work, make decisions, and grow the team.

Whether you're curious about their culture, product development, or just want to know how they roll day-to-day, this handbook has the inside scoop.

🛠 TOOL OF THE WEEK

I just learned that DuckDuckGo has made the most popular LLM models available for free and with privacy. Really useful.

PS: Great comeback, don’t you think? Interesting repositioning idea, at least.

📬 SUGGESTION BOX