Haut Tech

I’ve noticed there are broadly two camps when it comes to developing new services for the Internet: Those entrepreneurs that feel they must do everything themselves regardless of the hurdles they face and those that want to focus on their core expertise and leverage outside services where possible.

In our first two podcasts for Haut Tech Conversations we covered service and pricing. Both subjects are critical for SaaS businesses to consider and understand in the context of their product. In the podcast we did yesterday, we went into yet another critical area – Marketing!

SaaS is not a “one-size-fits-all” business. There are many options now for platforms and services you can use and the number is increasing every day. A lot of the information available is laden with marketing hype. How do you make the right decisions?

In Part 1 of this list we covered the first five points – so if you haven’t read that already, I encourage you to go and read that first. For everyone else – here’s the remaining five points in my hit parade.

They say everybody likes lists. Miles of virtual paper have been inked in pursuit of the “best recipes for chocolate chip cookies,” the “worst airline food,” and to complete the theme – the best diet plans. Ok then- we’ve got a list:
Ten Ways to Fail as a SaaS Company

Pricing services – how do you do it? Is there a rational process? Can you tie it to value? Cost? Developing a price is one of trickiest parts putting a new service online. Prospective customers have to believe the value can be realized and existing customers must find the value exceeds the subscription. A monthly subscription is easier for prospects to swallow but a yearly provides a bigger hit for cash flow and maybe higher retention. Which is better in the long run?

In this article we’re picking up where we left off in Part 1 on our expansion of the podcast we did with Steve Plunkett, CTO of Servitizer and our panel of industry experts – Luis Aburto, CEO of Scio Consulting, Mikael Blaisdell of MBlaisdell & Associates and Lincoln Murphy of Sixteen Ventures. If you haven’t read the first part of our series already – please start there – because the background for the conversation is there.

The question I pose in the title of this article is the theme of the podcast we did this month for Haut Tech Conversations. It turned out to be quite a conversation and you can download it and listen to it in its entirety here. Our panel and guest brought up so many excellent points that I’m going to take the time to summarize and extend them in this “post interview” so they are not lost.

This month on Haut Tech Conversations we kick off our series of best practice shows with a look at the core feature of SaaS, Cloud and on-demand applications – Service. As we explored in our last article, we’re going to discuss how current vendors are dealing with their service offerings, what is often lacking, and what is on the part of the vendors and the industry as a whole.

Although in reality, business services provided through the Internet are nothing new, the number and breadth of services now available is certainly worthy of note. As a Gartner report recently noted – we are most likely at the peak of the hype cycle which in “Gartner speak” leads to the “slope of enlightenment” and eventually to mainstream adoption in the enterprise.