Behind The Scenes of Software Marketing: Guarantees, Math, and Educated Guess

Keep Reading Only If You Care about Lead Cost

(otherwise, skip my boring calculations)

For SaaS, it’s all about the lifetime value of a customer. If a product is goodenough as founders say it is, they will have a paying customer for at least one year.

Say, the average monthly subscription is $100. Then, revenue per customer will be $1,200/year.

If you are ready to invest ⅓ of potential customer revenue into acquiring a new client ($400 in this case), $40 per lead resulting from 10% industry average trial-to-customer conversion rate will be the cost you can afford.

Behind The Scenes of Software Marketing: Guarantees, Math, and Educated Guess: Software Marketing: Guarantees, Math, and Educated Guess