What are the Best Digital Marketing Activities for Software Companies?

July 8, 2009

marketing-onlineThe Question of the Week over at Software-Marketing-Advisor.com is about identifying the best digital marketing activities that could be adopted for software enterprises.

It’s a good question, even though a very general one, because there are many web software marketing options available for software companies, and most are very affordable choices especially for smaller software firms and those that sell primarily online.

I also find that many software companies just don’t make the most of their web software marketing efforts. The most important thing to remember is that having a website is no guarantee that your target customers will find you… it is too easy to get lost as just one of the hundreds of millions of sites out there. Your website needs a marketing plan, just as any brick-and-mortar business does too.

First, think about your target customer. Where do they go online to find information about the problem your software product or service is addressing? That is where your digital marketing efforts should focus:

  • the search engines (Google is by far the most important),
  • relevant online forums and blogs,
  • relevant directories,
  • industry websites, etc.

So, getting your website visible in those places is your goal. Make a list of the most important sites where you would like your website to be highlighted.

In general, these are my main recommended areas to focus on for internet marketing of software products and solutions:

  1. SEO – make sure you’re following proper use of keywords, meta tags, and building inbound links to your website.
  2. Blog – you should have a blog on your website that is updated regularly, and participate in other blog discussions and comments.
  3. Participate in forums & discussion groups, including links to your website where appropriate (don’t spam!)
  4. Write articles and publish white papers online
  5. Issue online press releases
  6. Advertising: PPC or online classified advertising relevant to your niche.
  7. Webinars and virtual trade shows
  8. Get listed in directories – both general ones, and online software directories relevant to your niche
  9. Newsletter & email marketing (always opt-in)

You can find more detail in this article on building your web software marketing plan.


Technology Marketers Should Put Customer Usage Models First

June 15, 2009

Technology usage model

Technology usage model


Usage models are commonly used for technology and software products in testing, use analysis, UI design,… But I think one of the most important applications of technology usage models is in marketing.

What is a usage model? Basically, usage models are the ways in which customers use or interact with the technology product, software application, web service… whatever the product happens to be.

Some questions I think are important to ask ourselves are:

  • Why are usage models important in marketing?
  • How can we use usage models to improve marketing ROI?
  • Why don’t technology marketers focus more heavily on usage models?

Too often, technology marketers focus on the features… What cool things can this product do? What cool things can you do using this service?

But that’s thinking about it backwards…

Put usage models first, and that naturally gets you thinking first about the customer’s needs, and second about the features.


Isn’t SaaS Just Like Any Other Services Business?

June 10, 2009

In my last post I wrote about the key SaaS metrics:

  • Customer Monthly Recurring Revenue (CMRR),
  • Churn,
  • Cash Flow,
  • Customer Acquisition Cost (CAC), and
  • Customer LifeTime Value (CLTV).

It’s a big leap for a software business to go from thinking about Bookings as their main metric… to now these more services-based metrics.

Then that got me thinking… Aren’t these just the exact same metrics that apply to all subscription services businesses?

What about your local health club… that’s a subscription services business. I can’t say I’m an expert in the health club industry… but I bet they also track CMRR, Churn, Cash Flow, CAC and CLTV pretty closely. And similarly Bookings really aren’t what matters: who cares if you signed up 100 new members to the gym this month, if you also lost 150 member who didn’t resubscribe.

If you’re planning a SaaS business, but have more of a software/technology business background… then it might be a good idea to understand a little more about how these other service subscription businesses are run and managed. Come to think of it, I think I will too!

There just might be some really good lessons to be learned…


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