SaaS Tattler Issue 44

January 30, 2015 Paul Philp

Top SaaS Obsessions:

What do you obsess over in your SaaS business?  Hear are a few things some SaaS entrepreneurs are obsessing over right now.  Let us know what your favorite obsession is.

SaaS Product Management

Searching for Product-Market Fit is the new holy grail.  It is one of the topics that we obsses over at Amity.  Brad Feld has an excellent post this week called The Illusion of Product/Market Fit for SaaS Companies.  He identifies the four myths of product-market fit:

  • Myth #1: Product market fit is always a discrete, big bang event
  • Myth #2: It’s patently obvious when you have product market fit
  • Myth #3: Once you achieve product market fit, you can’t lose it.
  • Myth #4: Once you have product-market fit, you don’t have to sweat the competition.

Read the whole thing!

SaaS Product Management

Deciding how, when and why to add product features is another area all SaaS companies should obsess over.  Back in the day, adding features was always seen as a value creating activity.  Now, we understand that our products are complex systesms, and new features can throw the system into flux with uncertain outcomes.  Marcelo Calbucc discuss one of these systemic risk in a wonderful post: ATTENTION CANNIBALIZATION.

The reality is that in a system, looking at the production value of a single component is worthless to understand the value of the whole system. But wait, it could be worse than that. It could be a new feature took attention away from a higher value feature. Maybe you added a new way for users to customize their avatar and that choice was enough to justify some folks from not upgrading to the premium version of the product. Revenue starts to dip, slowly and given the noise in the revenue signal and the fast speed in which new features are released, it can become quite harder to figure out the root cause of a drop in revenue, or a drop in overall conversion, engagement, virality or retention.

SaaS Cash Flow

Another topics every SaaS executive obsesses over is Cash Flow.  I know I work on cash flow at least once every day.  OpenView partners has a insightful interview with the founder of ToutApp, Tawheed Kader.

“It takes at least three years to do a startup and then understand there’s something there, and even longer for a great outcome — for most cases. So unless you’re really passionate about that need you’re solving for, you’re just not going to last.

Super SaaS Fundings:

Datadog – $31 Million Series B on January 29, 2015.

Tune -$26 Million Series B on January 28, 2015.

FullContact -$7 Million Series B on January 26, 2015.

Volusion – $55 Million Series B on January 26, 2015.

Newest SaaS Services from Product Hunt – Level up your communication with proven advice, case studies, and resources .

Tailor – Email tracking, instant scheduling, surveys, and more.

ProWritingAid – A simple tool to improve your grammer, spelling and write better.

Paperwork – An open source Evernote alternative.


Infographic of the Week:


Other Great Weekend Reads:

Three great pricing optimization services for SaaS companies. Three More Price Optimization Software Options.

How big will cloud computing and SaaS be in a few years?  Here are the forecasts.  Roundup Of Cloud Computing Forecasts And Market Estimates, 2015.

Letting someone go is hard to do, but the costs of not doing it could crush your business. Firing.  The hardest thing to do as an entrepreneur.

Planning for 2015 underway? The Guide to Developing a Business Case for Customer Success will help you achieve your customer success mandate in the coming year.

Want something added to the SaaS 2.0 Tattler – let us know! And let us know your take on the SaaS 2.0 Tattler in general – we’d love your feedback.

Curated by the team at Amity using the outstanding tools provided by Product Hunt, BetaList and CrunchBase. We encourage sharing and subscribing!

#SaaS Tattler - Top SaaS Obsessions w/ articles by @bfeld, @calbucci, @OpenViewVenture and more!
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