SaaS Marketing: How to Find More SaaS Customers with Smart Marketing Experiments
Launching a new SaaS product is exhilarating. You’ve built something valuable. Now it’s time to get it into the hands of customers who need it.
But how exactly do you attract those customers?
Many founders launch with the myth that if you build an outstanding product, users will magically appear. The reality is that exceptional marketing separates successful SaaS companies from the rest.
In this guide, we’ll cover everything you need to know about marketing experiments to fuel the growth of your SaaS business, including:
- How SaaS marketing funnels work
- A framework for prioritizing marketing channels
- SEO, content, and other proven lead-generation approaches
- Tips for running and analyzing marketing tests
- When and how to scale up what’s working
Don’t Rely on Viral Growth or “Word of Mouth” Marketing
When I ask SaaS founders where most of their leads originate, they often credit “word of mouth” or viral growth. But in most cases, they have no data to back this up.
Viral sharing can happen for apps like TikTok or Clubhouse. For business tools, it’s exceptionally rare without paid advertising. True organic virality relies on users actively sharing your product with others. This usually only happens once you have an established brand.
Most companies that claim “word of mouth” as their traffic source simply don’t know where their customers are coming from. They see lots of direct traffic and make assumptions.
But direct traffic gives you zero insight. Not knowing your traffic sources is risky. It’s like driving blindfolded and hoping you’ll arrive safely at your destination.
You may occasionally get lucky with early adopters and buzz. However long-term growth requires a strategic marketing mix based on tested channels. As Ark Levine of Postscript says, “Marketing is not magic. Channels work because they provide value to your customers in some way.”
How Do SaaS Marketing Funnels Work?
A marketing funnel describes the journey users take from initial awareness of your product to becoming paying customers.
The three most common SaaS funnel types are:
High-touch: Lots of human interaction through demos and one-on-one sales calls. Best for products with higher prices and extensive onboarding needs.
Low-touch: Users convert and onboard themselves without sales contact. Ideal for low-cost, simple products.
Dual funnel: Combines self-serve and high-touch options. Allows you to sell to a wide audience while also targeting high-value accounts.
Understand which model fits your product. Then optimize each phase of the funnel by tracking conversion rates.
For example, if few prospects convert from your website to trial users, the problem likely lies in your value proposition or positioning. If many trial users don’t become paying customers, you may need to improve your onboarding flow.
Experiment with messaging and offers at each phase to increase conversions. But also know when to walk away from prospects who won’t ultimately use or pay for your product.
How To Choose the Right Marketing Channels
Dozens of potential marketing channels exist today. How do you decide where to focus?
The key is to test channels based on three factors:
Speed: How quickly can a channel deliver results? Pursue a fast option like paid ads along with a slower choice like SEO.
Cost: Does the channel fit your budget and average customer value? Higher-touch options like field marketing may require higher prices.
Scalability: Can you continue ramping up this channel to acquire more customers? A channel like guest posting on blogs often doesn’t scale well.
I also recommend studying channels already working for competitors or companies serving your target customers. Reach out to founders in unrelated niches to pick their brains on effective marketing.
Top Lead Gen Options for SaaS Companies
Let’s explore some of the best marketing channels for bootstrapped and venture-backed SaaS products:
Search Engine Optimization
- Value: Provides qualified traffic. Easy to track ROI. Compounds over time.
- Overview: Get your product/site ranking high in search engines and directories for relevant keywords. Expand beyond Google to Amazon, YouTube, GitHub, Reddit, and niche sites.
- Best for: All SaaS companies. ROI often exceeds paid search ads. Takes time to see results.
Paid Search/PPC Ads
- Value: Drives targeted traffic quickly. Flexible spending.
- Overview: Purchase ads on Google, YouTube, Facebook, Instagram, Amazon, etc. based on keywords or audiences.
- Best for: Demand generation during launches or growth pushes. Expensive if not well-optimized.
Content Marketing
- Value: Builds awareness and authority. Generates inbound leads.
- Overview: Create free content (blogs, guides, videos, podcasts). Promote via SEO, social, and paid.
- Best for: Early-stage companies seeking to engage potential customers. More brand play than direct response.
Email/LinkedIn Outreach
- Value: Allows one-to-one conversations with qualified prospects.
- Overview: Connect with potential customers directly by email, LinkedIn, phone, etc.
- Best for: Moving qualified prospects into demos and trials. Very time-intensive.
Integration Partnerships
- Value: Grows to reach through partners. Also improves product.
- Overview: Integrate with other tools your users run alongside yours. Co-promote integrations.
- Best for Products with clear integration opportunities that offer value to partners’ users too.
Those five options alone can fuel seven-figure ARR for SaaS companies. But many other channels exist, like paid social ads, affiliate marketing, sponsored content, email nurturing, and more.
The right channel mix will evolve as your business grows. Be patient and persistent in testing options and expanding what works.
How to Run Smart Marketing Tests
Every new marketing initiative you launch is an experiment until you verify its impact.
Approach your tests methodically:
Track everything: Record each change you make, no matter how small. When metrics shift, you’ll know what likely caused it.
Watch the full funnel: Measure the impact on visitors, trials, purchases, retention, and beyond. Don’t just watch vanity metrics like traffic.
Isolate variables: Test one change at a time whenever possible, especially at first. This makes the test results far easier to interpret.
Let data lead: Don’t get attached to any one channel or tactic. Follow the data on ROI, not assumptions or gut feelings.
Build on success: Double down on what works rather than spreading yourself thin. Refine profitable channels before expanding your mix.
Watch timelines: Give tests enough time to collect statistically significant data before drawing conclusions.
Know your goals: Tie every test back to your core funnel metrics and goals. If it won’t impact revenue or retention, it’s likely not worth doing.
Ask customers: Survey users on what convinced them to sign up and see if it lines up with your assumptions on channel impact.
By continuously testing and tracking marketing initiatives, you’ll unlock the formula to efficiently scale your SaaS business.
When Should You “Step on the Gas” with Marketing?
One of the biggest mistakes I see with venture-backed SaaS companies is aggressively ramping up marketing spend before product-market fit.
As a bootstrapped founder, you likely don’t have this luxury. You need to be selective in where you invest time and money.
Before you “step on the gas” with growth initiatives, ensure:
- Product-market fit: Talk to users daily. See healthy conversion and retention rates.
- Pricing optimized: Test prices to find the sweet spot between value and willingness to pay.
- Marketing foundation set: Core funnel established. Baseline metrics and ROI data gathered from tests.
- Team ready: Have bandwidth for more trials and customers. Don’t want quality or support to suffer.
When those elements come together, it’s time to double down on your most measurable acquisition channels.
Pouring money into unproven channels or launching major initiatives too early is risky. But once you have product-market fit and ROI data, smart investment in marketing can rapidly scale your business.
Turn Marketing Experiments into Sustainable Growth
The path to marketing success is not fast or direct. It requires methodically testing channels, creatively building on what works, and continuously optimizing efforts.
But patient, data-driven marketing experiments allow you to unlock repeatable, cost-efficient customer acquisition.
And that’s ultimately the key to transforming your SaaS startup into an industry leader.
So while great software is critical, stunning marketing elevates good products to incredible brands. Approach marketing with the same analytical rigor as you do product development, and you’ll grow your business and change lives.
What marketing experiments have worked well for your SaaS product? Share your thoughts in the comments below!
