How can I determine the onboarding cost per customer if I run a low-price, low-touch SaaS business model?
You should determine a goal first for your customers to be finished by them and then count them as “onboarded users” who are most likely will be the ones who will pay you.
How to choose a KPI for your SaaS product?
To make that decision based on data, start using an intermediate analytics tool such as Woopra, Amplitude or Mixpanel (they all have free subscriptions). Check out user behaviour. What makes them pay you? What is the common thing they don’t do before they leave your website and never come back?
That is your “Aha moment”. You should create your onboarding process to let the user experience your Aha moment, as soon as possible. But also, not so soon and so easily! Check out this great article, IKEA Effect on Retention.
After setting your goal depending on your “Aha moment”, now it’s time to create the onboarding process.
User onboarding tools decrease onboarding cost per customer
Let me tell you this once: Developing your own onboarding process will increase your onboarding cost per customer vastly!
- #1 – You probably have a small team and everyone has already too many things to do, every day. Instead of focusing on your product and improving it, why cut down development resources from your main business to build onboarding?
I see that #1 was not enough for you. You want to build your own onboarding because no other tool can know your product better than you. Now you’ll see why I’m insisting.
- #2 – When it comes to SaaS, a public roadmap, updates with product improvements and new features are mandatory. With every new thing in your UI, you’ll have to re-create your onboarding flow.
Aren’t you already exhausted about developing onboarding insource? Let me hit you one more time.
- #3 – Your onboarding flows should look native and beautifully designed to boost engagement. So you also have to work with your front end developer.
Nope, not done yet.
- #4 – Your onboarding flow should have analytics. Without counting who is seeing every step and finish rates, how are you going to know that you have done something that works well? And how will you improve it in the future? So you have to build an analytics system inside also.
The solution: Using 3rd party onboarding tools, such as Userguiding, just like other 1200+ websites, to reduce your onboarding cost per customer. If you have any questions or need more detailed information, check out a demo with us.