Product-led growth (PLG) doesn’t mean anti-sales strategies. It just means different sales strategies. Mass growth requires personalized, targeted sales accompanied by product adoption.
A product-led growth sales strategy means acquiring new revenue primarily through the product itself. It involves lead generation, expansion, and conversion. This article aims to discuss how you can adopt a product-led sales strategy to exceed your competition and achieve greater PLG monetization.
Why is PLG important?
Since buyers’ journeys are now more complex, PLG businesses’ sales teams need to adapt. End-users now have more options, so you need to deliver value before demanding financial commitment from them.
There has been a change in product knowledge. Traditionally, only the salesperson had access to all the information needed to sell the product. But now, it’s the opposite. Websites that include articles, peer reviews, and comparisons can provide users with all the information they need before making a decision. If you want to generate more leads for your product, you need to incorporate these factors.
Customers want to try before they buy. For example, would you subscribe to Netflix without using its trial period? Would you want to see and experience the Spotify app before buying a premium subscription? This also applies to businesses and software.
How to increase sales through PLG?
PLG monetization requires endless efforts; however, you can try out these strategies to boost your sales:
Let customers know the product
It is difficult to know how the product will be without trying it out. Therefore, it is necessary to implement PLG in your SaaS marketing strategy to attract more customers and lead them to subscribe to your services.
But, How to do it? You might have heard about OTT platforms and other paid services such as YouTube Premium and LinkedIn Premium offering free trials for a month before charging you. This is known as PLG marketing. They offer their complete service for 1 or 2 months in the belief that users will willingly subscribe to them once they understand the value of the platform.
However, if you aren’t providing any valuable experience to your customers unless they enter their credit card details, they will be more likely to move on to an alternative platform.
Non-committal pricing
‘Freemium’ pricing models are most commonly used to achieve product-led growth. It helps users engage with your product without getting forced to subscribe to your services. They would like to do it whenever they feel like it. PLG offers value to your customers before they adopt your services, whereas the process doesn’t work the other way around.
Offering cross-sells
The PLG industry typically has multiple product lines and is attempting to boost the sale of new products. Monitoring product usage allows you to determine which users are trying out new features. You can reach out to existing or trial customers based on that information.
Conclusion
A PLG strategy is more than just a cost-effective way for startups to move to market; it’s also an approach that aligns well with today’s customer’s preference to buy the software. The bottom-up approach of PLG allows functional experts within an organization to choose the best tools without requiring additional approval levels. It is important to track results as you refine your strategies – the more you do so, the more possibilities you will find.
