Technology is now one lucrative field presenting many business opportunities for entrepreneurs. If you have dipped your toes in the water and have the right tech product or service ready, the next aspect is to turn into a profitable business. You will need to drive sales and turn your venture into a success. You might wonder what sales strategies would be the most effective and place your startup in an ideal position in the market. Well, here are seven proven sales strategies for tech startups.
Focus on existing customers
Naturally, most startups are always on the hunt for new clients who will expand their reach and open up their horizons for more growth. It is easy to get caught up in the pursuit that you forget about your current customers, who are actually keeping your business afloat.
Nurturing your current clients has proven to be one of the most effective sales execution strategies for tech startups. Remember, the cost of getting a new customer can cost five times more than retaining an existing customer. So, understand your existing customer needs so you can tailor your products and services to ensure they are satisfied. You could also deploy techniques like upselling and cross-selling to boost sales.
Understand your customer in and out
A crucial mistake you could make while launching your tech startup is to give your target audience what you think they want or operate based on how you think they behave. Like any other business, you ought to understand user behavior if you want to drive sales.
If you are in a position to understand their needs and fill a gap in the market, you will be swimming in sales before you know it. The best way to understand user behavior is to have a 360-degree view of their psychographics and demographics through proper market research.
Stop offering freebies!
Don’t get it wrong. Freebies are a nice way to attract and keep customers. It does work particularly well for businesses in niches like the cosmetic industry, where you might give a potential client a small tube of lip gloss to try before they buy the product. However, when you give your clients a plethora of free trials that fulfill all their needs, they won’t see a reason to invest in your business. It might end up hurting your sales and revenue.
Offer on or off-site demos
As an alternative to freebies, consider using demos to show your potential clients what they stand to gain once they invest in your business. The first step is to set some funds aside in your budget to cater to reaching out to clients and creating the demos. Once they see your product in action, they will be more inclined to do business with you. Demos also help create long-lasting sales relationships with your client, leading to perpetual revenue.
Invest in lead generation services
Someone once said that today’s leads are tomorrow’s clients. This is why deploying bespoke lead generation strategies will go a long way in getting you the quantity and quality of leads that will make your sales grow! This is an excellent option if you are struggling to generate leads that convert.
It is best to outsource to a dedicated team that is able to work with you at every stage of the lead generation process. They can help you find the right contacts by working in tandem with your sales team. This will get you more sales and ROIs.
Use real metrics to measure your sales execution strategy
Your sales might skyrocket so high that you think your sales strategy was successful. However, when you get into the nitty-gritty of things, you might realize your achievement could have been more impressive. The only way to truly measure how well your sales execution strategy works is through quantifiable metrics.
You could use metrics like user churn, the length of the customer lifecycle, and cost per acquisition. You could also analyze the average cost of closed-won and compare it to closed-lost sales to determine where your strategy failed you and identify critical areas of improvement.
Use content-based digital marketing to drive sales
Social media is a powerful tool and an avenue you can use to grow your business. As a tech startup, you should be frontline and center, ready to harness all the benefits of leveraging social media to drive sales. Start by selecting the social media platform you will use based on where you will most likely find your clients.
You can then create curated content and digital marketing to reel the masses into your business. It is also vital to keep an eye on your competitors and assess how they use social media to drive sales. However, it wouldn’t be a great idea to copy exactly what they are doing because your main goal is to stand out from the rest.
Wrapping up
As we wind up, it is worth noting that sales strategies are not a one-size-fits-all. You ought to keep working to develop an effective strategy to boost sales and take your tech startup to the next level.