SaaStr · 2021-02-14
· 1935d
7 Simple Ideas to Immediately Improve Your Conversion Rates in SaaS
Jason Lemkin provides seven actionable strategies for SaaS companies to improve conversion rates, emphasizing that growing the user base (denominator) is more important than optimizing conversion rates in early stages. Key recommendations include investing in pre-sales support, implementing drip marketing, optimizing free trial limits, and hiring sales and marketing personnel early.
Metrics in this report
Competitive Pricing Discount
10-20%
recommended range
New vendor entering market
Conversion Rate Improvement (TownHog case)
68.5%
increase from 20% baseline
Contract signing ease improvement
Free Trial Document Limit (EchoSign)
5signed documents/month
optimal after testing
Freemium SaaS model
Free Trial Time Limit (Zoom)
40minutes
optimal
Freemium SaaS model
Minimum ACV for Sales Person
2000$
lowest practical point
Sales hiring decision
Minimum Customer Count for Sales Hiring
10customers
recommended entry point
Early-stage SaaS