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CLOUD IBM Cloud Success Series Transformation Worldwide

Building your SaaS marketing strategy

Welcome to the seventh blog in our Cloud Success Series for Business Partner XaaS transformation.

Building your SaaS marketing strategy

To be successful with software as a service (SaaS), it is crucial to have a marketing engine in place to identify new leads and nurture existing clients, as well as expand your clients’ cloud/SaaS footprint. The cloud/SaaS business model requires a low-cost, high-volume client acquisition plan to generate the additional SaaS leads necessary to meet or exceed SaaS revenue objectives.

Today, only 30 to 40 percent of resellers have a dedicated resource focused on marketing. You may be wondering how much client acquisition focus is required in a cloud/SaaS business in comparison to an on-premises reseller of the same size.

Let’s compare an on-premise reseller and a cloud/SaaS reseller:

  • Each generates $5 million per year of net new business
  • Proposals are requested by 50 percent of the prospects generated
  • Close rate is 25 percent


The on-premise reseller generates $5 million per year based on 100 transactions with an average size of $50,000, and must produce 800 leads per year or about 15 leads per week.

The cloud/SaaS reseller generates $5 million per year based on 400 transactions with an average size of $12,500, and must produce 3,200 leads per year or about 60 qualified leads per week.

The cloud/SaaS-based business needs to generate four to six times the number of leads than the on-premises business to support the same sales volume. From a marketing cost perspective, the cloud/SaaS business must generate leads at 15 to 25 percent of the cost per lead generated by the on-premises business in this simple example.

In order to feed the sales force of a cloud or SaaS-focused business with a large number of leads, you will need to generate these yourself or work with a trusted partner with marketing capabilities that can produce large quantities of quality leads with relative ease in a cost-effective manner.

Here are three steps to generate more high-quality leads:

  1. Register for a Digital Marketing Workshop and get empowered to develop and execute a digital marketing plan for SaaS.
  1. Download the complete list of Cloud SaaS Campaigns, available at the IBM Digital Marketing Center, which map the stages of the buyer’s journey and offer digital assets to help you drive demand for the cloud SaaS offerings.
  1. Register for the webcast Engage Customers in SaaS Conversations and Differentiate IBM from the Competition for a deeper dive on how to make money selling SaaS. We discuss what’s in it for your clients, ways to engage them in SaaS conversations and strategies to address the competition. Leverage IBM SaaS differentiators and be prepared—even if a client is already on a competitor’s platform!


We hope you enjoy the valuable insights and information in the Cloud Success blog series, coauthored by IBM and Channelcorp. Please comment below if there are any topics you would like us to address in our series, and visit the Cloud SaaS page for the latest SaaS news.

Ann Saydah
Business Unit Executive
Global Channel Sales, IBM Cloud


View the entire series here: http://businesspartnervoices.com/category/ibm-cloud-success-series/

Ann Saydah is Business Unit Executive, Global Channel Sales, IBM Cloud. Ms. Saydah is responsible for driving XaaS and other Channel growth initiatives with IBM Resellers, Distributors and Solution Providers. Saydah provides leadership for a team of WW Channel Leaders missioned to help IBM Business Partners grow their businesses and innovate for their customers with IBM's as-a-Service offerings, as well as overall software opportunity growth.

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