Why PLG SaaS Firms Must Make the most of the Voice of the Buyer


On this planet of SaaS, a brand new technique has emerged that is turning conventional gross sales fashions on their heads.

This technique is known as product-led progress (PLG). It’s one of many hottest buzzwords on the market proper now, however many groups are battling tips on how to get it proper.

Firms like Atlassian, Notion, and Airtable are experiencing exponential progress, stepping forward of their competitors, and always scaling their income. These corporations, and plenty of extra like them, leverage a product-led technique.

On this article, we’ll discover:

  • What PLG actually means
  • How the voice of the shopper impacts product-led corporations
  • The advantages of incorporating buyer evaluations into suggestions loops
  • Finest practices for aligning groups and supercharging your progress

Understanding PLG corporations

Product-led progress is a technique that leverages the product itself as the first driving pressure of acquisition, retention, growth, and monetization. A product-led firm is a trailblazer on this planet of SaaS, disrupting conventional gross sales fashions and placing the ability within the fingers of the person.

An necessary level to say right here is that PLG just isn’t a product factor, it’s an organization factor. Each group and division is a part of the method and should work collectively.

These corporations prioritize the creation of a product so worthwhile and user-friendly that it sells itself. They imagine that if they’ll present a product that delights customers, these customers will inform others, leading to huge progress and virality.

On the core of PLG is a deep understanding that the end-user expertise is probably the most crucial consider driving long-term success.


Examples of PLG corporations

Product-led progress corporations embrace Canva, Figma, HubSpot, ClickUp, Slack, Calendly, and the checklist goes on. These all leverage a freemium mannequin and rely closely on person adoption and virality to drive progress.

These examples even have a strong onboarding journey that enables customers to expertise the worth of their merchandise nearly instantaneously.

Let’s dive into particular examples to exhibit the idea of PLG.

  • Slack leverages a strong freemium mannequin to permit potential clients to expertise the platform’s worth with out shopping for it. The software program prioritizes buyer success, and delivers a powerful optimistic end-user expertise. In the end, Slack upsells its energetic person base by selling a paid model with extra sturdy options, resulting in exponential income progress.
  • Calendly gives an excellent fast onboarding expertise that enables new customers to generate and share a gathering hyperlink inside seconds. These hyperlinks gas their user-generated content material (UGC) virality loop by selling the product each time they use Calendly.

Plus, all of them help the person journey by means of the PLG flywheel: Activate, Undertake, Adore, Advocate.

  • Activation is the method of enabling customers to expertise the worth of the product as shortly and simply as potential. To activate customers successfully, it’s good to present a seamless onboarding expertise.
  • Adoption is how corporations flip new customers into energetic, engaged customers who often use and profit from their merchandise. To drive adoption, it’s good to supply options and performance that assist customers obtain their objectives and construct habits inside the product.
  • Adore is the stage that refers back to the emotional connection customers have along with your product, constructing loyal followers who usually tend to proceed utilizing and recommending it to others. This implies going past simply assembly person wants and offering pleasant experiences that exceed expectations.
  • Advocate is the stage when your most loyal customers flip into champions and model ambassadors who actively promote your product to others. To construct advocacy, it’s good to create a tradition of buyer success and neighborhood.

PLG corporations prioritize person suggestions and utilization knowledge to always evolve, enhance their merchandise, and create an unbelievable buyer expertise that fuels their flywheel.

Advantages of product-led progress practices

Product-led progress practices prioritize the person expertise, resulting in a extra loyal buyer base and better retention charges. This strategy additionally focuses on the product’s skill to promote and market itself, closely decreasing gross sales and advertising prices.

Product-led progress fuels progress loops moderately than funnels.

The previous sample was for customers to be acquired solely by means of funnels. They’d uncover the product by means of gross sales or advertising after which must undergo a product demo or signal a contract earlier than they even expertise the product itself. The issue with this mannequin is that it fully depends on top-of-funnel efforts which have greater prices and doesn’t help environment friendly and scalable long-term progress.

In distinction, product-led loops equivalent to word-of-mouth, user-generated content material, and collaborative workspaces all create a system of cyclical utilization. This enables the product to market itself and act as an acquisition channel for present customers.

Different advantages embrace decrease buyer acquisition prices, highly effective suggestions loops, shorter gross sales cycles, and extra.

Why the voice of the shopper issues

The voice of the shopper is crucial within the software program purchaser’s journey.

As end-users have turn into the consumers (or not less than key gamers within the decision-making course of) in in the present day’s market, they’re extra than ever in what different customers are saying. The voice of the shopper offers worthwhile insights into the product’s strengths and weaknesses.

For instance, buyer evaluations supply social proof and supply potential clients with genuine suggestions from present customers. Folks belief different individuals far more than they belief advertising. These evaluations can strongly affect the customer’s buying determination, making them an integral part of the person journey.

One other fascinating level is that onboarding doesn’t begin when customers enroll. The journey begins with the very first interplay a possible person has along with your model. That could possibly be seeing an advert, visiting your web site, or listening to about you from a good friend.

That is the place the voice of the shopper performs an enormous position within the decision-making course of to offer your product an opportunity. Moreover, it additionally shapes their first impression of your model.

Product-led growth onboarding

How evaluations affect PLG manufacturers

Assessment websites like G2 are tremendous necessary for the success of PLG corporations as a result of they supply a platform for customers to share their experiences with the software program they use. Each optimistic and unfavorable evaluations will profit your product’s future.

Constructive evaluations can result in elevated acquisition, adoption, and virality. On the flip aspect, unfavorable evaluations can supply crucial suggestions for product enchancment.

G2 permits PLG corporations to showcase their optimistic evaluations throughout platforms, thereby bettering their total fame, driving further gross sales, and fueling their natural progress loops.

Critiques are a strong solution to empower customers within the “advocate” stage of the PLG flywheel.

The PLG flywheel

Incorporating buyer evaluations into suggestions loops

Finest practices for incorporating buyer evaluations into product iterations and company-wide discussions embrace:

  • Usually monitoring and responding to evaluations. Don’t overlook to point out appreciation for the customers that share their suggestions.
  • Analyzing suggestions for product enhancements. Be sure that these insights are being saved within the applicable place for them to be seen by all related groups/departments in order that they’ll affect the product’s roadmap and enchancment methods.

Each division must be aligned. They should perceive their particular position and the way they contribute in the direction of constructing a product that customers love and, extra importantly, want.

Poor group alignment will destroy your product-led progress engine, whereas sturdy alignment and highly effective suggestions loops will supercharge your progress. By leveraging buyer evaluations on this method, PLG corporations can constantly enhance their merchandise and design an expertise that their customers love.

Take it to the subsequent stage and get extra out of G2. Enroll in the present day in G2 College to study some greatest practices round making evaluations extra actionable. 


Please enter your comment!
Please enter your name here