This Upselling Process for SaaS Companies from Process Street has been designed to guide an account or customer success manager through the process of upgrading an existing customer to a premium tier pricing plan for a subscription SaaS product.
The process is designed to be integrated with a subscription payment processing platform like Chargebee so that the completion of the process automatically changes the subscription status of the client.
Upselling customers is one of the most valuable approaches a SaaS company has to both increasing revenue and increasing customer satisfaction. A successful upsell reveals new value to the customer and wins a greater extent of their growth.
The Pacific Crest SaaS Survey provides us with 5 key stats about upselling in the SaaS ecosystem:
- It’s 68% more expensive to acquire $1 from a new customer than it is to upsell current customers
- For SaaS companies, the median cost of acquisition of $1 from a new customer is $1.18. The median cost of acquisition of $1 from an upsell is $0.28
- It’s 9x more expensive to acquire new customers than to retain current ones
- 70-95% of revenue comes from upsells and renewals. Only 5-30% come from the initial sale
- The median SaaS company generates 16% of its revenue through upsells.
Ready to give it a go? Let’s get started.