SaaS Marketing Guide

SAAS MARKETING
 GUIDE Proven Roadmap to
 Capital-Efficient Demand Generation By: Justin Talerico Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO What’s Inside Customer Acquisition Cost is one of the clearest indicators of a SaaS’s growth potential. CAC and related SaaS Marketing recoupment period illustrate the capital efficiency of a growth model. To keep CAC in line for recoupment in Roadmap under 12 months means running a high-efficacy ‣ Principles of capital-efficient SaaS marketing marketing & sales machine. ‣ Strategic considerations The SaaS Marketing Roadmap I Used to ‣ Tactics, channels and processes Scale from $0-$10M in ARR. This eBook illustrates the principles and practices About the Author that drive CAC down and revenue up. As a SaaS CMO Justin Talerico is the co- for 11+ years, I designed and implemented marketing founder of SaaS consultancy programs, technologies, measurement, and processes Beacon9, a technology from start to finish. In my time at ion interactive, the entrepreneur, and the co- founder, former CEO and CMO bootstrapped company grew from a startup to over of ion interactive, a martech $10M in ARR. That level of capital efficiency comes from SaaS acquired in 2017. the data-driven, agile marketing approach outlined here. Please email me with questions.
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SAAS MARKETING GUIDE BY: JUSTIN TALERICO TABLE OF CONTENTS Introduction to SaaS Marketing 5 SaaS Marketing Concepts & Terms 7 SaaS Marketing Assets 10 SaaS Marketing Channels 20 SaaS Marketing Efficacy 27 3 Execute Better. Grow Faster.

Fundamentals Tier 1
 SAAS MARKETING CONCEPTS SaaS marketing fundamentals are remarkably consistent regardless of space, target, or even conversion type (self-service vs. personal selling). The following basics guide the overall practice of capital-efficient SaaS growth marketing and will be further explored elsewhere in the eBook.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Introduction to SaaS SaaS Marketing Funnel Marketing When someone talks about the funnel, they are talking about the progressive stages of a prospect To predictably scale, a SaaS company must define who its as the move through from unknown to customer. ideal customer is; reach and attract those people; and provide Funnel efficiencies vary by market, price point, and them with a compelling buyer’s journey that converts interest sales model, but once your marketing funnel is to action. understood, you can reverse engineer the resources required to generate a given growth rate. To execute efficiently, marketing Typically, the marketing funnel must be data-driven, scientific, and starts with a marketing- MGL generated lead (MGL). Some MQL iterative. percentage of MGLs score high enough (by marketing) to become SQL marketing-qualified leads (MQLs). SaaS marketing communicates with two primary Some percentage of MQLs get OPP constituencies: prospects and customers. Depending on scored by sales to graduate to SaaS stage and maturity, the balance between those sales-qualified leads (SQLs). Then WIN disciplines can vary significantly. An early-stage B2C self- some of the SQLs move to service SaaS startup may invest very little in customer opportunities. And some of the opportunities turn marketing, while a more mature land-and-expand enterprise into customers. That’s the basic structure of the solution may invest a very high percentage of its marketing marketing-generated funnel. resources into customers. 5 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO PROSPECT MARKETING SaaS prospect marketing is concerned with defining, distributing, and validating (via testing) the company’s story and product value proposition. Point of view, messaging and reach impact brand and demand-generation programs that ultimately get reflected in customer acquisition cost (CAC) and capital efficiency. Core Prospect Marketing Values ‣ Focus only on the ideal customer profile (ICP) ‣ Test anything and everything that has sufficient volume CUSTOMER MARKETING SaaS customer marketing focuses on educating, retaining, and expanding existing customers. Key customer marketing success metrics include engagement and inbounds, with longer-term metrics like churn and upsell revenue. Because revenue retention and expansion are so critical to SaaS growth, customer marketing is a key pillar to capital efficiency. Core Customer Marketing Values ‣ Assume no product knowledge ‣ Keep an outsider's perspective
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SAAS MARKETING GUIDE BY: JUSTIN TALERICO SaaS Marketing Concepts & Terms IDEAL CUSTOMER PROFILE Defining the ideal customer profile (ICP) is a more SaaS-specific way of defining the target audience. ICP is important in SaaS because of the recurring nature of revenue and high correlation between revenue retention and valuation. Acquiring ideal customers leads to revenue predictability and stability (lower churn), as well as capital-efficient growth (higher lifetime value (LTV)). SAAS MARKETING OBJECTIVE The objective of SaaS marketing is to grow recurring revenue by acquiring new, qualified customers. Qualified is defined as ICP (ideal customer profile) to maximize renewal and up-sell potential (lifetime value (LTV) and expansion revenue), and minimize churn. SAAS MARKETING GOAL The goal is to accomplish the objective while spending less than 12 months worth of new MRR to acquire each new customer — ideally 6-9 months. Spend in this case is defined as all-in sales and marketing expense — inclusive of wages, variable comp, hard spend (media, events, services), technology, and any other related costs (customer acquisition costs (CAC)). SAAS MARKETING PROCESS SaaS markets and products move faster than traditional marketing plans and teams. An agile marketing process maximizes productivity, flexibility, iterative improvement, and market responsiveness. 7 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO SAAS MARKETING LEADS VS. INBOUNDS Marketing-generated leads (MGLs) are new prospects added to the house database. Inbounds are leads who have raised their hand (hand raisers) and requested a demo; engaged with a salesperson; signed up for a trial; or instantly converted as a paying buyer. Marketing-qualified leads (MQLs) are a subset of MGLs that meet minimum acceptable criteria (via automated or manual scoring). SAAS MARKETING ATTRIBUTION It’s critical to know where every lead came from so that future effort can focus on the most lucrative sources. First-touch attribution memorializes the original source of the lead. Last-touch attribution may also memorialize inbound trigger(s). SAAS CONTENT MARKETING The meat on the bones of a SaaS marketing program is content in the form of assets like articles, webinars, seminars, videos, podcasts, interactive tools, white papers, case studies, and so on. SAAS MARKETING DATA STRATEGY Virtually everything in SaaS marketing is data-driven. Data structures must be strategically planned and executed to provide quality data for automation as well as for sales. There’s data for software to parse and a very different dataset that sales or customer success people can digest. SAAS MARKETING TECHNOLOGY MarTech is a landscape of 6,000+ tools, but only a few of them will actually deliver value in SaaS marketing. Prioritizing which tools make up the stack and fully utilizing them to maximize efficacy are keys to success. 8 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO SAAS PRICING AND PACKAGING Two of the most fruitful areas for SaaS marketing experimentation are pricing and packaging. Methodical and thoughtful testing can reduce sales friction, increase inbound flow, increase deal velocity, and reduce CAC through improved efficacy. 
 Building Blocks ASSETS & CHANNELS SaaS marketing pushes assets through channels to spread the good word. Both assets and channels have strengths and weaknesses that must be validated through experimentation and measurement. Which assets get created and which channels are utilized to distribute them should both be scientifically determined based on testing and measurement. Guesswork slows growth and accelerates burn. 9 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO SaaS Marketing Assets SaaS marketing assets take many forms. Messaging and value propositions are communicated and consumed differently based on the type of asset employed. Learnings from data as well as the competencies and resources required to produce assets are widely varied. Choosing the right kind of asset for the target, message, resources, and channels fundamentally impacts results. Fully leveraging assets over time relies on discerning and tracking timeliness vs. timelessness in each piece. Under-leveraged assets drive costs up and results down. Different organizations have different asset strengths and weaknesses. Asset authenticity and natural brand alignment drive perceived value. Return-on-assets goes up with perceived value which improves efficacy and lowers acquisition cost. The better aligned a marketing asset is to the actual product offering, the more effective it will be at driving demand.
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SAAS MARKETING GUIDE BY: JUSTIN TALERICO WRITTEN ASSETS Written assets can take many forms from shorter-format, higher- frequency articles, blog posts, and announcements, to lower-frequency, longer-format white papers, and eBooks. Shorter-format assets may be best suited to increase traffic and attention, while longer-format assets may perform better to generate leads and inbounds. Written/Short-Format/Articles Articles may be best suited for third-party placement to extend reach and generate backlinks. Typically longer, and perhaps less personal than blog posts, articles may be written from a more impartial point of view, making them potentially more credible. Articles should be firmly rooted in keyword strategy for backlinks. Written/Short-Format/Blog Posts Like articles, blog posts work well in third-party sites for reach and backlinks. But, blog posts are often best suited as strong, high- frequency, keyword-rich content within the marketing website (owned media). They are sometimes more personal than articles, and must also be tightly coupled with keyword strategy to maximize organic traffic. Because they are shorter and require fewer resources to produce in quantity, blog posts are well suited to segmented messaging. Even internally focused blog posts may be leveraged for additional reach through syndication to outlets like Apple News. 11 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Written/Short-Format/Announcements Another short-format, higher-frequency, written asset is the announcement, most commonly a press release. While the value of press releases has diminished with the rise of social media, they continue to have a place in SaaS marketing. Releases can take two different paths — for internal use as fresh, keyword-rich content on the marketing website; and for external use on “the wire.” The former costs nothing, while the latter has distribution cost associated with it. Institutional capital and tech news outlets continue to monitor the newswire to discover startups. Written/Short-Format/Case Studies Case studies are strong assets for several reasons. First are the organic search, keyword, and backlink benefits that often come from using customer names and logos in online, HTML case studies. Next are the realistic, relatable stories that frame shared pains and needs. And third is the credibility that comes from a notable customer investing the time and energy into allowing their logo to be used and their story told. Case studies are strong social proof assets that can be complemented with video (see below). Written/Short-Format/Emails Emails are content assets for the email distribution channel (discussed separately). Email content is very hierarchical — conforming closely to the progression of copy found in good advertising. The subject line and lead are critical to open rates, while the body of the email is crucial to click-through rates. Strong, single-minded emails tend to outperform multi-message or deeper dive versions. Testing is critical to iterating high-performance emails. Written/Long-Format/White Papers White papers are the most common long-format educational content type. Although their lead-gen effectiveness isn’t all it used to be, quality PDF white papers continue to show enough value for an equal exchange for lead data. In their most modern form, white papers are highly designed and include visual as well as rich content — they may also be 12 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO delivered via HTML and/or PDF. White papers also lend themselves to online interactivity, which can significantly improve their engagement and measurability. Written/Long-Format/eBooks A more fundamentally digital cousin to the white paper, eBooks are perceived as more modern, and more interesting. They may be delivered online via HTML or offline via PDF, and are more likely to include interactive elements. Unlike white papers, eBooks offer more freedom of size, shape, and format. Like white papers, they can be high-value educational assets — worthy of exchange for lead data. They are often highly engaging and measurable. Written/Long-Format/Third-Party Research Commissioned third-party research reports breed authoritative credibility, and scale into many other types of assets over an extended period — white papers, calculators, presentations, podcasts, infographics, and others. They are resource- and budget-intensive to produce, but in SaaS markets in need of social proof, they can be a compelling and useful option. Quality research reports also make highly effective lead-generation bait as they have extraordinary perceived value and credibility. Written/Sales Enablement Often there are gaps in the asset library that sales-driven SaaS organizations need marketing to fill. These may be stage-specific assets addressing buyer objections; illustrating solution ROI; reinforcing social proof/ratings/reviews; documenting reliability or security, or explaining implementation and onboarding. These assets are typically written by marketing, but distributed as needed by sales. 13 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Written SaaS Marketing Assets Quick Reference Asset Use Case Value Resources Measurement Articles Extend reach and generate backlinks 6 3 Referral Traffic; Search Ranking from third-party sites Blog Posts Create organic value, generate 4 2 Keyword Search Ranking; Organic Traffic backlinks, extend reach Announcements Create organic value, market noise 2 2 Traffic Case Studies Create organic value, social proof, and 8 8 Engagement; Social Shares credibility White Papers More traditional, long-format 5 6 Leads education and thought leadership eBooks More modern, long-format education 6 7 Engagement; Leads and thought leadership Third-party research Establish authoritative credibility and 9 9 Leads; Social Shares provide social proof Sales Enablement Fill gaps in the asset library — 7 7 Funnel Stage Acceleration Distributed by sales team 14 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO VISUAL CONTENT Although almost all content assets may be “visual,” certain specific types warrant the “visual content” label. Most notable is the infographic — a highly engaging and accessible content roadmap that’s most effective at the top of the funnel. Infographics may not have high enough perceived value to be used in lead generation, but they are ideally suited for use in social media. They are easily shared and visually strong, making them ideal candidates for online, interactive delivery as well. Infographics are great storytellers — akin to the still version of the explainer video. Asset Use Case Value Resources Measurement Infographic Visual storytelling at the top of the 7 5 Traffic; Social Shares funnel SPOKEN ASSETS The most common format of spoken asset is the podcast — an audio, often episodic series of interviews, presentations, or even readings. Podcasts provide an additional way for audiences to consume messages. And, like email, they are also a discoverable distribution channel (discussed separately) via Apple, Google and others. Podcast versions of blog posts add very little additional overhead but deliver a fresh dynamic and broader reach for that written content. Asset Use Case Value Resources Measurement Podcast Channel extension and widened, 4 3 Subscribers; Engagement/Plays discoverable content reach 15 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO VIDEO ASSETS Video assets can be highly effective at storytelling, reinforcing a point of view, and communicating a personality. Like email and spoken content, video assets can also open doors to additional distribution and reach through YouTube, Vimeo, and others. Here are some of the content forms that video assets can take: Video/Explainer A prevalent type of video in SaaS marketing is the explainer. These videos tell a story that might otherwise be too abstract or technical. Explainers often use animation or illustration to show the story being told through a voice over. Explainers are commonly used on high-level pages to introduce the company or its SaaS product. They are relatively inexpensive to produce and, as a result, can have high ROI. 16 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Video/Demo Strong SaaS products utilize pre-recorded demo videos to control the product narrative and show off functionality and user interface. These demos have the upside of being self-service components of the buyer’s journey, but they have the downside of potentially losing the context of a guided demo. The extent to which self-service demo videos makes sense depends on product polish, market, sales model, product depth and complexity, competitive parity, and most importantly perceived product ease of use. Demo videos can be used as effective teasers and qualifiers preceding live demo request inbounds in sales-driven SaaS models. Video/Customer Credibility can often be enhanced by social proof in the form of customer videos. These may be testimonials, but will likely be more effective as interviews or case studies with more authenticity and transparency. Customer willingness to lend their logo, likeness, time and perspective goes a long way towards allaying prospect fears or objections. If customer logo quality, on-screen performance quality, or production value cannot be upheld, customer videos can do more harm than good — exhibiting amateurish energy that undermines the brand. Video SaaS Marketing Assets Quick Reference Asset Use Case Value Resources Measurement Explainer Introduce and control an 6 3 Consumption/Plays approachable product story Demo Control the product narrative 7 8 Consumption/Plays; Personal Demo through a self-service teaser Requests Customer Create authentic credibility through 9 9 Consumption/Plays; Hand Raisers relatable customer stories 17 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO INTERACTIVE ASSETS Interactive assets are uniquely suited to deliver the highest-value prospect and customer profiling data based on an explicit digital dialogue. White papers, eBooks, infographics, calculators, report cards, and assessments can all engage users in question/answer content that yields declared, descriptive data. This data is of much higher fidelity than typically inferred analytics. When used as the foundation of targeting, segmentation, and personalization, explicit data can accelerate qualification and increase lead-to-revenue velocity. Interactive assets can be the most engaging and measurable tools in the toolbox. They also have high organic search value as they are inherently HTML-based online assets. Their most significant downside is that they are resource intensive to produce and require a broad set of deep competencies. Interactive Assets Quick Reference Asset Use Case Value Resources Measurement Interactive White Paper Long-format interactive education 6 7 Leads; Engagement; Hand Raisers Interactive eBook Medium-format interactive education 7 8 Leads; Engagement; Hand Raisers Interactive Infographic Top-of-funnel organic and viral traffic 8 6 Traffic; Search Ranking; Social Shares generation Interactive Assessment/Report Deep, descriptive digital dialogue for 9 9 Leads; Hand Raisers; Declared Data Card segmentation and scoring Interactive Calculator Declared data generation for 8 6 Leads; Hand Raisers; Declared Data qualification and scoring 18 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO PRESENTED ASSETS The most common use cases for presented assets are webinars, which may be both live and recorded. Quality live webinars can be efficient lead- and demand-generation tools — providing perceived equitable value in exchange for lead data. Recorded webinars may or may not be of high enough perceived value to warrant lead generation. Presented assets scale into multiple forms of distribution and organic search value — a blog post leading up to the event, the live event itself, the recorded video, and the deck from the event. While presented assets are resource-intensive to produce, they are also likely to be highly effective in educational contexts. Presented Assets Quick Reference Asset Use Case Value Resources Measurement Webinars Authoritative point of view and 7 7 Leads; Hand Raisers; Social Shares persuasive education Co-Presented/Partner Webinars Collaborative point of view and 8 8 Leads; Hand Raisers; Social Shares complementary positioning In-Person Presentations Personal connections, authoritative 8 9 Traffic; Search Ranking; Social Shares point of view, and credibility 19 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO SaaS Marketing Channels Distribution and reach take place through marketing channels. Each channel is worthy of experimentation and objective testing to determine which ones are most effective. EMAIL Email is used to communicate with prospects and customers. Third-party email can be used as a lead-gen channel. House email can be used to educate, qualify, and accelerate prospects; and educate and up-sell customers. Useless or low-value emails will result in unsubscribes at best, and spam reports at worst. Demand Generation Email Third-party, paid email can be an effective lead- and demand-gen channel. Variations of paid email marketing can be tested to become part of the enduring mix. More than most other channels, third-party email lists wear and degrade over time. Even the most successful drops will diminish and require schedule flighting to return to reasonable levels of effectiveness. 20 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Sponsorships — Banner and/or text ads within the editorial of a third-party newsletter. Results will improve the more closely aligned the advertiser’s message/value proposition is to the editorial. Full buyouts (all promotional units for the same advertiser) are more costly than partial ones (test to know if it’s worth it or not). Sponsored emails have pros and cons. The greatest pro is that editorial emails get opened and seen (good for the brand). The greatest con is that the editorial gets all the attention, making click-through rates low (bad for lead- and demand-gen). Dedicated Drops — Advertiser-created email is sent by the third-party to their list. Like sponsorships, better alignment leads to better results, so choose carefully. Pros of dedicated drops include full control over the email creative and subject line. Another pro is that the email is coming from a (hopefully) trusted source. The greatest con is that there’s no editorial value to compel opens. This translates to lower open rates (than sponsorships) but potentially higher click-through rates (depending on the quality of the messaging and design). Strong value propositions lend themselves to dedicated drops. List fatigue is most acute with dedicated drops, so flighting is required to sustain effectiveness. Nurture Email Internal nurture email streams are typically delivered to house-list registrants on a regular cadence. These drip programs are often designed to educate, persuade, and stimulate hand raisers — inbounds. A regular drip cadence not only stimulates demand but also drives overall engagement or lead activity. This increase in participation correlates to increased demand and seducible-moment awareness. To minimize unsubscribe and spam risks, email content must be a high quality, useful and valuable balance of education and sales. Cadence and day/time may vary based on testing, but a good starting point is every two weeks on Tuesday, Wednesday, or Thursday. Keep in mind that additional one-off emails will be additive to the nurture cadence, so overall frequency will be closer to weekly. Email Segmentation Relevance drives results. Closely aligned with nurture email, segmentation tags like house-list users into addressable units. The most common segments are prospects and customers. Other possible segments might include legacy customers; churned customers (win backs); closed-lost prospects; and qualitative or quantitatively scored segments. Scored segments might be 21 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO tagged by industry; company size or revenue; title or role; journey stage; maturity stage; buying authority and so on. The value of versioning assets by segment cannot be overstated as it results in higher engagement; higher inbound rates; and faster deal velocity. Segmentation is resource intensive in that it multiplies streams of content and the mechanics around delivering those streams. In SaaS, the upsides of specificity outweigh the cost of execution. Email Measurement Third-party email measurement is limited to sends, opens, and click-throughs relayed from the sender. Conversion data (post click) is often the advertiser’s responsibility (which can also provide a check and balance for the click-through counts). House email measurement can be richer with insight into reading, specific clicks, and pass along, in addition to sends, opens, and clicks. Keep in mind that opens are driven by subject line and preview, while reads and clicks are driven by the effectiveness of the email itself. Email Technology House-list email technology can range from small business tools like MailChimp or Emma, to HubSpot, to enterprise marketing automation platforms like Marketo, Pardot|Salesforce, or Eloqua|Oracle. Regardless of the email tool, the objective is to produce quality emails that will have value for their recipients. Useless or low-value emails will result in unsubscribes at best, and spam reports at worst. To maximize continued deliverability and engagement, maintain high standards. EVENTS On- and off-line events make personal connections and establish brand and thought leadership. Events can be used as both brand and lead-gen vehicles. It’s important to note that events must be fully executed to realize full value. That means that the event itself becomes the focal point for many other supporting campaigns — email marketing to prospects and customers; personal outreach to prospects and customers; environmental graphics; promotions; social campaigns; and so on. Off-line events are also excellent opportunities to interview for customer case studies, videos, or testimonials while everyone is in the same place. 22 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Third-Party Events Events organized by third-parties include online and off-line trade shows. SaaS companies often generate new leads and solidify existing prospects by exhibiting at off-line trade shows. These leads typically have mixed quality and a high cost-per- lead. Virtual trade shows typically deliver a higher number of lower quality leads (low cost-per-lead). A strong upside for off-line trade shows is the rally-round effect of hosting brand-specific, private gatherings where current customers and key prospects mix and mingle face to face. A significant downside of off-line exhibition events is the high cost of exhibiting, logistics, travel, and support. Off-line events also take a soft toll on marketing and sales teams as they require outsized time and attention to execute well. Each event must be objectively measured and evaluated both economically and against brand and social benefits. Both sales and marketing must contribute to these evaluations. Event budgets may potentially be split between sales and marketing, or even within marketing between demand-gen and brand buckets. A cautionary note that events can be challenging to attribute, although direct bookings/event is relatively straightforward. The challenge lies in deals that are solidified or cemented by event interactions. These types of influential moments can be hard to quantify but should be considered when evaluating overall value. Owned Events Owned events are those that the organization creates and executes. The most common owned events in SaaS marketing are webinars. Other common types of owned events include customer conferences, seminar series, and road shows. Both online webinars and off-line seminars serve to educate prospects and generate demand. Owned events are also excellent fits for co-marketing or partner marketing — where each organization contributes to reach and demand-gen, and all organizations share in the leads from the group’s effort. A challenge with co-marketing is ensuring that contributions and benefits are balanced for all participating brands. 23 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO A strong upside of owned events is that they have relatively low hard costs. But, because they are self-executed, they have significant soft costs of organizational resource consumption. They also require a relatively wide set of competencies that may not be present in the SaaS marketing organization. Another upside is that the narrative is controlled. Owned event measurement focuses on registrants, attendees, new leads generated, and bookings (using first- or last-touch attribution). ORGANIC Strong organic performance earned from solid, strategic keywords, naturally and authentically drives quality traffic. Organic performance is most commonly associated with search engine rankings for owned media, like the website. The other significant driver of organically-fueled traffic is the social networks — using a keyword-focused hashtag strategy to build an audience — again driving back to owned media like the website. Search Engine Optimization Narrow, strategic keyword strategy must be pulled through all content development to reinforce core themes and build rankings. Consistent and diligent keyword-rich, yet authentic content will attract and convert leads at low-to-no direct cost. Organically sourced leads will only be as good as the keyword strategy that drove them. Keep in mind that building sustainable organic rankings takes time and consistency. Also, keep in mind that authenticity and quality ultimately win in SEO. Gaming the system only works for so long and will likely result in a low-quality customer among other nasty side effects. Social Keyword strategy evolves into hashtag and influencer strategies for unpaid social marketing. Identification and consistent promotion of influencer handles combined with the relevant use of high-value hashtags builds a quality audience. This audience has both direct and indirect value. 24 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO The direct value of a social audience is as a content marketing distribution channel. Social networks are especially effective for promoting webinars and other events. They are least effective at lead-generation. Perhaps the most significant indirect value a social audience has is for social proof — prospect validation of the number of followers, current activity, and brand voice. Self-directed prospects define their journeys that often begin with key social networks or third- party user-generated content/review sites. Only those who pass those initial litmus tests earn deeper time and attention. It may be easy to get caught up in the tide of purchasing fake followers to inflate counts. Remember that smart buyers see through a disengaged audience as a farce or a strong negative reflection on value. In either case, the judgment is more damaging than having fewer, but very real and engaged, followers. Build a real audience for real business value. PAID ONLINE MEDIA The two primary categories of paid online media are search and social. Search engine pay-per-click is the most ubiquitous spigot of traffic and leads. While paid social — Facebook, Twitter, LinkedIn, Instagram — are more use-case specific. In both cases, paid should only be used to amplify organic. If that guidance is eschewed, paid acquisition will e much more costly than it should be and overall customer acquisition cost (CAC) will suffer. Paid Search Paid search can be a surgical source of leads with intent. It can also be a waste of time and money. The distinction lies in how paid search is executed. As a strategic, focused and very narrow tool in the marketing arsenal, paid search will deliver qualified, self-selected leads with intent. This assumes specific, strategic keyword choices combined with narrowing rather than widening ad creative. Each ad group becomes a miniature funnel that qualifies by its structure and execution. Surgical paid search is laborious with higher soft costs — research, measurement, creative, and management — and lower hard spend. The flip side of the surgical paid search coin is volume. Shotgun-style, broad-match campaigns will attract clicks and result in false- positive results in all but the most mass-market situations. Wide paid search spends more on clicks but requires less soft costs. Since clicks are rarely the business objective, wide paid search is rarely a recommended, capital-efficient acquisition channel. 25 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO Paid Social Effective use of paid social media varies greatly by target and vehicle. For example, LinkedIn Sponsored Content may work well to amplify a content marketing-focused B2B-targeted SaaS, but it would have near-zero value for a B2C-targeted transactional SaaS. Paid social can have some of the targeting specificity of paid search, with more emphasis on affinity groups and potentially fewer long-tail opportunities. A downside of paid social is that it is likely to convert at relatively lower rates than paid search. SaaS Marketing Channels Quick Reference Asset Use Case Resources Measurement Third-Party Email Leverage third-party audiences to extend 3 Leads/Conversions; Opens; Clicks reach and spread authentic content Nurture Email Stimulate activity, educate, and segment 5 Opens; Clicks; Hand Raisers using targeted content Third-Party Events Leverage third-party audiences to extend 7 Leads; Hand Raisers reach and spread authentic content Owned Events Control the narrative, audience, and 8 Registrants; Attendees; Hand Raisers message via education Organic Search Build an audience with interest and intent 6 Traffic; Keyword/Search Rankings using authentic keywords Organic Social Develop and feed an aligned audience for 5 Social Shares your content and messaging Paid Search Amplify organic content marketing and 7 Leads/Conversions; Clicks search engine optimization Paid Social Amplify organic content marketing and 7 Social Shares social efforts 26 Execute Better. Grow Faster.

SAAS MARKETING GUIDE BY: JUSTIN TALERICO SAAS MARKETING EFFICACY In SaaS, the ability to scale with capital efficiency is driven by sales, marketing, and product/market fit. Customer acquisition cost (CAC) has a lot to do with how much capital a SaaS needs to grow. More specifically, high-efficacy sales and marketing uses a fraction of a dollar to acquire a dollar’s worth of annual recurring revenue. When efficient customer acquisition is complemented by high customer renewal rates, lifetime value is high and the sky’s the limit on growth and valuation. It all starts with a great product, market fit, and a clearly defined ideal customer profile. With those basic ingredients, marketing has everything it needs to perform. Thanks for reading. Justin Talerico 27 Execute Better. Grow Faster.