Is PLG right for my SaaS business?
How to figure out if PLG based GTM is right for my SaaS business?
Details:-
We're a US focused SaaS and right now target mid-sized businesses only. We have a little EU footprint too but that is an open opportunity to be explored later. We are very early stage and have a few paying clients only.
ACV is low - $4K to $10K per year. My product can be used by 1 person teams as well as by 20 person teams.
My understanding of my product is that there are a bunch of functionalities that are freely available in the market so we cannot and do not charge for those. But there are a few (2-3) totally unique features for which our clients are willing to shell out the bucks. The free features are cost saving and time saving features. The premium features are revenue increasing features.
Right now, our GTM is high touch sales led. We have no self-onboarding and self-serve flows at all. But it is definitely possible to build these flows for the product.
Given these details, how do I figure out if a PLG based GTM or even a hybrid PLG + sales GTM makes sense for us?
Usually the starting point of PLG is how customers are discovering your product. Again, depends on the TG you are focusing in US/EU.
My sense from your current inputs (High-touch sales led and low ACV) is offline businesses and crowded space. If that’s true, I think best approach would be hybrid. Think it of this way, even the best SaaS players have to go through sales-led (or via channel partners).
One more parameter we should see is - Payer & user of the product. If both are different, surely it has to go through sales led channel.
Those are fantastic points - both the reasoning behind hybrid as well as the payer-user relationship. I learnt good things today, thank you!
I did a ton of research around this for my current company. Can connect and share some notes. Let me know how we can chat.