How VideoTouch got 240 paying customers in 3 weeks using a Lifetime Deal
How VideoTouch got 240 paying customers in 3 weeks using a Lifetime Deal
How to scale a SaaS service using offers
The times when it was possible to create a useful service, wait for people to find it themselves and start using it, are long gone. Now companies spend a lot of effort, time, and money on finding new customers, engaging them, and collecting feedback.
This is how VideoTouch came up with a way to get more than 240 users interested in their product by using a Lifetime deal (LTD).
LTD (Lifetime Deals) for SaaS services: what is it?
The offer is simple: the buyer pays for the service once with a discount and can use it without a time limit, while others would pay less, they would have to pay every month to continue to use the service.
It is normally run as a temporary promotion in the early days of a business to boost customer uptake and generate revenue into the business. In addition to the discount provided, there is a good chance that the SaaS service will only get better over time; at the same time, all changes for the user of the LTD plan will remain free of charge.
Why do services offer LTDs?
SaaS projects usually lack customers early doors and have the same issues as other businesses in terms of brand awareness and reach. If the business is ‘bootstrapped’ and doesn’t have money for paid promotion, deals like this can attract customers.
In this case, LTD can be a great way to raise initial capital, which can be spent on further improvement of the service or further promotion. There is an audience of early adopters and it’s a great way to get high-quality feedback and understand how to further develop and promote your service.
What platforms can you choose for a listing your offer?
There are several platforms that can be used for listing a deal for a SaaS product:
VideoTouch chose AppSumo due to its popularity and willingness to actively promote successful listings on its own platform with paid ads (they have fixed commissions from every sale and are interested in the promotion).
What do you need to get ready for when selling an LTD?
The main reason for offering an LTD is to generate revenue and get feedback to improve the product. You need to be prepared there could be a quick uptake of new customers and this doesn’t impact the quality of the service.
The vast majority of AppSumo users are people who genuinely enjoy checking out new products and giving feedback. It is worth being attentive to their feedback, but don’t feel overwhelmed to respond to all the received requests. Not all ideas are good ideas and it’s important to stay your course and use the feedback wisely.
Should a young project offer LTD for its users?
My experience says that it is definitely worth it. One thing that is worth mentioning is that you should get ready for honest feedback from people who do not always fully understand the field in which you work, direct comparisons with competitors, and questions like why are you better than X service, why is your service so expensive, and whether you could make some extra features for a good review 🙂