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If anybody wants years of insight into the SaaS business model, look at reseller web hosting. People have been reselling web hosting for more than 10 years now
by dpcan 15y ago
If anybody wants years of insight into the SaaS business model, look at reseller web hosting.
People have been reselling web hosting for more than 10 years now and it is, at its core, an SaaS model in a highly competitive space. You have monthly recurring income from customers who subscribe. You have to maintain and improve your service constantly, and support is a big part of the business. There is overhead, there is a lot of work involved, and it's very stressful.
Check out WebHostingTalk.com and just read about the ups, downs, pit-falls, successes, and problems people have been having for a long time and you'll learn a thing or two about what it's like to capture and keep subscribers.
When it comes to SaaS, the thing is, people leave, they cancel, and you have to let them go. They know what's best for their business, so you can't dwell on cancellations.
The only way you survive in this recurring revenue world is if you are acquiring faster than you are losing customers. It's pretty basic math.
I used to try SO HARD to keep those customers who were walking away. I felt bad about it.
Things change.
Today, if someone is leaving, I help them get where they are going if I can. I am not an obstacle. I'm that friendly face you are always welcome to return to if you don't find greener pastures.
You know what? I get A LOT of people back as years go by.