Unhappy customers are your biggest source of learning – Bill Gates
It's true that companies have a lot to learn from their unhappy customers. Listening carefully to unhappy customers can help you massively improve as a company. And that’s what all customer-obsessed companies are so good at.
But equally important are your happy customers.
Today I want to talk about how happy customers are your biggest source of leverage.
There can be no better marketers than your happy customers. That’s because people are more likely to trust words of praise coming from your customers than you.
In this article, I’ll talk about how product and marketing teams in SaaS companies can leverage their happy customers. Here are five different ways in which your happy customers can help you grow faster and better.
1. Testimonials on software review sites
Almost 75% of buyers consult online reviews before purchasing business software – teamsupport.com
With so much reliance on online reviews, it becomes important to have a strategy for increasing your online reviews. The most popular review websites are G2, Capterra, and TrustRadius.
Having a solid presence on review websites offers multiple advantages in the long run:
- You can use positive reviews on your website as marketing collateral and for sales enablement
- They can help you understand your positioning and user perception in the market
- They show you what you need to improve in your product
- You get to learn what your sales team can do better
So, if you spot a happy customer, make sure they leave helpful testimonials on review websites.
2. Customer case studies
A marketing case study aims to persuade that a process, product, or service can solve a problem. Why? Because it has done so in the past. By including the quantitative and qualitative outcomes of the study, it appeals to logic while painting a picture of what success looks like for the buyer. – Hubspot
A case study demonstrates how a customer was able to solve a problem or complete a job using your product. This helps build trust and establish your effectiveness as a solution.
Case studies can be used in myriad ways. These include:
- Sales enablement – They can be showcased by sales teams when they are pitching to prospects in a similar segment.
- Marketing collateral – Case studies can be uploaded on your website for easy access. Inbound prospects can land on them and get a flavor of how the product might be valuable to them. Snippets of these conversations can also be used as testimonials on the website home page or posted on social media.
- Provide guidance – Newer customers and your internal teams can get valuable ideas about using the product and deriving maximum value from it.
3. Build a strong referral loop
One of the biggest banes of a SaaS company’s sales process is the high customer acquisition costs (CAC). Companies need to spend so much on paid marketing before they can generate leads willing to listen to your sales representatives.
To reduce CAC, a great strategy is to leverage your happy customers by building out a referral program that incentivizes them to reach out to your prospects. Besides, research indicates that customers coming in through referrals have:
- Higher conversion rates. (Referred customers have a 30% higher conversion rate than leads from other marketing channels).
- Higher retention rates, which increase the net lifetime value of a customer.
This blog post is a good starting point for building a good referral program – helloroketto.com
4. Leverage user-generated content
Almost every day, your users create invaluable content for you. This unique, trustworthy content can get you more traffic, leads, and sales, but only if you use it right. – NeilPatel.com
Your happy customers are already marketing you via word of mouth, social media, blogs, and podcasts, so why not amplify their voices?
User-generated content benefits you in a number of ways – Building trust and authenticity, creating social proof, generating free content which can be repurposed, helping you promote your brand across new audiences.
Some ways in which user-generated content is created:
- Social media posts from users about their experience with a product.
- Explainer videos on YouTube – many customers and thought leaders analyze products and share their opinions this way.
- Reviews on sites such as G2 without any incentive from the software company.
- Blog posts
Ways in which user-generated content can be leveraged:
- Use social media praise as testimonials on your website.
- Repost the content on your own social media channels to widen its reach.
- Use customer praise in your email and other paid marketing campaigns.
- Run social media campaigns around dedicated hashtags.
5. Creating video content with your happy customers
Finally, you can run exclusive webinars, panel discussions, and live workshops involving your customers and share them on your company website. For example, Amplitude does a lot of masterclasses featuring its happy customers.
Reaching out to customers and incentivizing them
In order to scale your outreach to happy customers and drive results, I would recommend the following:
- Use technology to automate the process – Track indicators of customer happiness such as NPS surveys and CSAT ratings. Whenever you get a high rating, send automatic emails requesting a review or case study from them. (Time is of the essence here, so outreach must be immediate)
- Incentivize customers by giving them a token of appreciation – It’s always good to appreciate someone when they do something good for you. Your token of appreciation could be monetary – a discount or gift card for example – or it could take a non-monetary form – such as a personalized thank you note or company swag.
- Give your happy customers multiple opportunities to collaborate – Ongoing engagement with happy customers creates a win-win situation for both of you.
If cultivated well, relationships with happy customers can indeed be your biggest source of leverage. Happy customers can help you in multiple ways – through reviews, case studies, user-generated content, referrals, and live video content.
So, what are you waiting for?
It's time to be strategic about leveraging your happy customers. Set clear goals, identify team members who will be responsible for driving these initiatives, and invest in the right set of tools that will help you measure success.