Module 3.4: From Product To Service (aka From Features To Value)

June 22, 2024 3 mins read

If you can’t broadly see how revenue per user grows over time, then you are building a product, not a service. SaaS is about perpetual relationships, continuous value, and holistic integration of all business elements.

The Product To Service workbook helps founders understand that sustainable growth doesn’t come from subscription pricing on a stagnant product. It’s the relentless pursuit of delivering accretive value to your customers, every single day. Value that compounds.

What’s Inside:

  1. Today: Your current support model is likely reactive, focusing on addressing issues as they arise rather than proactively preventing them.
  2. The Problem: This approach often leads to high churn rates, low customer satisfaction, and limited opportunities for upselling and cross-selling.
  3. Shifting To Service: Transition to a proactive customer engagement model, anticipating customer needs and driving adoption and value throughout their journey.
  4. Question: How can you take one customer and consider how you can serve them, deliver them better value, assist them in yielding a better result.
  5. Product Development & Iteration: Your product development process may be heavily influenced by customer requests and competitive pressures, resulting in a feature-driven approach.
  6. Revenue Model & Pricing: Your current pricing model may be one-size-fits-all, with a primary focus on acquiring new customers rather than retaining and growing existing ones.
  7. Sales & Marketing Strategy: Your sales process may be transactional, emphasizing product features and benefits rather than customer outcomes.
  8. Operations & Scalability: Your current operations may rely on manual processes, ad hoc decision making, and reactive scaling.
  9. Metrics & Growth Levers: You may be focusing on vanity metrics and prioritizing top-line growth over profitability.

Download the Product To Service workbook and start building a business focused on customer success and value creation.

Product To Service, Download the template

Access the Product To Service workbook:

    Why Founders Should Care:

    • Struggling to retain customers and grow revenue per user over time?
    • Worried that your product development efforts are too feature-driven and not focused on delivering real customer value?
    • Unsure how to transition from a transactional sales model to one focused on customer success and long-term partnerships?

    The Product To Service workbook helps you:

    1. Adopt an outcome-driven development approach, focusing on features that measurably drive customer value and align with their goals.
    2. Implement value-based pricing, offer tiered packages, and identify expansion opportunities within your existing customer base.
    3. Adopt a consultative selling approach, focusing on understanding customer needs and delivering solutions that drive their success.
    4. Develop documented processes, embrace data-driven decision making, and engage in proactive capacity planning.
    5. Identify actionable metrics, focus on unit economics, and prioritize sustainable growth levers.

    What You’ll Learn:

    • How to shift from a reactive, issue-based support model to one focused on proactively anticipating and addressing customer needs.
    • Techniques for aligning product development with customer outcomes and measuring the impact of new features on key metrics.
    • Strategies for implementing value-based pricing and identifying opportunities to grow revenue with existing customers.
    • Approaches for reframing your messaging around customer value, and what partnerships can you forge to expand your reach and credibility.
    • Methods for documenting key processes, leveraging data to drive decisions, and proactively planning for scale.
    • Frameworks for identifying North Star metrics and balancing growth and profitability in your decision making.

    By completing this module, you’ll gain the mindset and tools to shift from building a product to delivering a service. You’ll learn to obsess over customer success, focus relentlessly on value creation, and build a business designed for sustainable, long-term growth. Most importantly, you’ll understand that true SaaS success lies not in subscription pricing, but in your ability to continuously deliver increasing value to your customers, every single day.

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