How to Create a SaaS That Markets Itself

Why Some SaaS Products Spread Like Wildfire and Others Don’t
Turn Your Users Into Your Best Marketing Channel
Frequently Asked Questions About Building Virality
Turn Users to Evangelists

Why Some SaaS Products Spread Like Wildfire and Others Don’t

Imagine your SaaS growing without spending a fortune on ads. Users telling their friends. Your product spreading like wildfire. That's the power of organic growth.

But here's the challenge: Many SaaS businesses build amazing products, yet struggle to get users talking. They're missing an important ingredient: engineered advocacy.

I’m not talking about marketing tricks. I'm talking about baking virality into your product…

Building features that users want to share…

Creating viral loops that fuel organic growth.

Let's dive in.

1. The Mechanics of Virality

Virality isn't magic; it's science. Three core principles drive it:

Network Effects: Your product becomes more valuable as more people use it. Think of messaging apps – the more friends you have on the platform, the more useful it becomes.
Incentives: People are more likely to share if there's something in it for them. This could be a discount, a free feature, or even just recognition.
Frictionless Sharing: Sharing needs to be easy. The fewer steps involved, the more likely people are to do it.

Ever heard of viral coefficients? It's the difference between fighting for every acquired user and effortlessly gaining one in your sleep. This metric predicts how many new users will each existing user bring in.

2. How To Engineer Shareable Experiences

Let's get technical. Here are some ways to build shareable features:

API Integrations: Seamless social sharing through APIs. Make it easy for users to post about your product with just a few clicks.
Embeddable Widgets: Offer widgets or tools that users can easily embed on their websites or blogs. This expands your reach and provides social proof.
Customizable Referral Links: Give users unique referral links they can share with their network. Track the results to see what's working.
Gamification: Introduce badges, points, or leaderboards to encourage friendly competition and sharing.

3: Incentivize Advocacy

Rewards are a powerful motivator. Consider these examples:

Tiered Reward Systems: Offer increasing rewards for referring more users.
Double-Sided Incentives: Benefit both the referrer and the referred user. This creates a win-win situation.
Intrinsic Rewards: Don't just focus on discounts. Offer recognition, community status, or exclusive access to make users feel valued.

4: The Dropbox Blueprint (and Beyond)

Dropbox's referral program was legendary. They offered extra storage space for both the referrer and the referred user. It worked because it was simple, valuable, and easy to share.

Now, you can see a lot of companies are doing it.

But Dropbox isn't the only example. Other SaaS businesses have found innovative ways to engineer advocacy:

Typeform:

Typeform uses a different method. They have a "Typeform Community" where users can showcase their creations, share templates, and get recognized for their creativity. While they also have a referral program with extrinsic rewards, the emphasis on community and recognition creates a sense of belonging and encourages users to become advocates for the platform.

This works because it taps into users' desire for recognition and their need to connect with others who share their interests.

It builds a loyal fanbase that goes beyond just wanting free stuff.

Notion:

Notion's success is partly due to its strong community and emphasis on user-generated content. While they have a referral program, their organic growth is fueled by users sharing their workspaces, templates, and use cases.

Notion's flexibility allows users to build incredibly diverse systems, which they then showcase online. This organic sharing acts as powerful social proof and attracts new users.

The psychology here is about demonstrating value and inspiring others. Users see what's possible with Notion and want to create similar systems for themselves.

There's no one-size-fits-all. The best strategy depends on your product, your target audience, and your overall marketing goals. The important thing is to be creative, experiment, and constantly iterate.

Turn Your Users Into Your Best Marketing Channel

Now let's get practical. What would make your current users excited to share your product with their network?

Think beyond just slapping a "share" button on your site or app. What would truly incentivize them? What would make sharing feel natural and rewarding?

How can you make sharing effortless? Think of specific features you could build. Maybe it's a seamless integration with popular social platforms. Or a tool that allows users to easily showcase their work or the value they're getting from your SaaS. Maybe it's a gamified system that rewards advocacy.

Also think of the technical challenges involved. What APIs would you need to integrate with? How would you track referrals and measure the effectiveness of your program? What are the scalability considerations?

Brainstorm and build a SaaS ecosystem where advocacy is baked into your product itself. This way, you turn your users into your most powerful marketing engine.

Frequently Asked Questions About Building Virality

What are the best tools and technologies for building referral systems?

Dedicated referral software: Platforms like ReferralCandy, Friendbuy, and Talkable offer pre-built solutions for managing referral programs.
Marketing automation platforms: Tools like HubSpot, Marketo, and Pardot often have referral program features or integrations.
Custom development: For complex needs, you might need to build your own system using APIs and your development team.

How do I track the effectiveness of my advocacy efforts?

Tracking is just as important as implementing. Monitor metrics like:

Referral conversion rate: How many referred users become paying customers?
Viral coefficient: How many new users does each existing user bring in?
Customer acquisition cost (CAC): How much does it cost to acquire a customer through referrals compared to other channels?
Return on investment (ROI): Is your referral program generating a positive return?

Incentivized sharing can kickstart growth, but organic word-of-mouth is the holy grail.

Focus on building a great product that users naturally want to talk about. Use incentives strategically to amplify organic sharing, not replace it.

Personalization. Segment your users based on factors like demographics, behavior, and engagement. Tailor your messaging and rewards to resonate with each segment.

What are some common pitfalls to avoid when building referral programs?

Overly complicated programs: Keep it simple and easy to understand.
Unattractive rewards: Offer rewards that are genuinely valuable to your users.
Lack of promotion: Make sure users know about your referral program.
Ignoring fraud: Implement measures to prevent abuse.

Turn Users to Evangelists

We've covered a lot of ground. Building advocacy into your SaaS product is powerful when done right. You basically fuel organic growth and turn your users into your most effective SaaS marketing engine.

But you need a blend of technical know-how, strategic thinking, and a deep understanding of what makes your users tick.

So remember, we're not just talking about marketing tactics. We're talking about engineering virality. Building features that make sharing easy, rewarding, and natural. Creating a product that users want to talk about.

So, here's your challenge: Identify one specific feature you can implement in the next sprint to encourage user advocacy. It doesn't have to be a complete overhaul.

Even small changes can make a big difference. Think about how you can make sharing more frictionless, more rewarding, and more integrated into the user experience.

Get to work, and start turning your users into evangelists!