Instead of just selling software, Spectora offered paid SEO audits and website building. This generated early revenue and built deep relationships with initial customers, with five of the first ten converting from agency clients to SaaS users. This service later became 10% of their revenue.

Related Insights

SaaS companies scale revenue not by adjusting price points, but by creating distinct packages for different segments. The same core software can be sold for vastly different amounts to enterprise versus mid-market clients by packaging features, services, and support to match their perceived value and needs.

To land its first skeptical customers like Drada, Merge offered its platform for free for two months without a contract. This de-risked the decision for the customer and allowed Merge to prove its product's value and the team's responsiveness before asking for a financial commitment.

To achieve rapid, bootstrapped growth, don't choose between a service or a product. Start with a hybrid: a product with a service aspect. This allows you to generate immediate cash flow and validate the market with the service, while using that revenue to build the more scalable product asset.

Buyers pay a premium for predictable income, not just high revenue. Even non-SaaS businesses, like a home builder, can create valuable "durable revenue" by adding contract-based services like lawn care, significantly increasing enterprise value.

Increase customer spending by analyzing their entire workflow, not just their interaction with your product. Identify products they purchase before using your solution. By offering these yourself (e.g., design templates for a marketing tool), you can increase your "share of wallet" and LTV.

eSentire used vulnerability assessments, a standard one-off service, as a wedge. By providing live monitoring and remediation during the audit, clients saw the value of a continuous service and asked to keep it, flipping consulting gigs into high-value recurring revenue contracts.

Enterprises are comfortable buying services. Sell a service engagement first, powered by your technology on the back end, to get your foot in the door. This builds trust and bypasses procurement hurdles associated with new software. Later, you can transition them to a SaaS product model.

The "stair-step method" mitigates the dual complexity of building and marketing a SaaS from scratch. By first launching a simpler add-on within a marketplace like Shopify or Heroku, founders can leverage a built-in marketing channel, allowing them to master the technical and product challenges of SaaS.

Move beyond selling features by offering a "Business Process as a Service" (BPaaS) solution. This involves contracting directly on the business outcomes clients care about, such as cost savings or revenue optimization. This model delivers an end-to-end capability and aligns your success directly with your customer's, creating a powerful value proposition.

Co-founder Kevin Wagstaff started a separate blog teaching home inspectors marketing and SEO a full year before Spectora's launch. This built trust, credibility, and an audience, giving them a significant advantage when they eventually introduced their SaaS product.