Next generation business model
Posted: Thu Feb 06, 2025 6:41 am
The good news is that if you can monetize your customers at a rate higher than it cost to acquire them, you probably have a pretty good business on your hands.
Because some smart entrepreneurs realized the importance of reducing CAC, they created new business models such as open source, SaaS, freemium, etc., which directly solved the problem of customer acquisition. Some of the early B2B pioneers in this field were companies such as JBoss, SolarWinds, ConstantContact, HubSpot, etc. Once others started to see the success these companies achieved, they started to copy these techniques.
These new business models focus primarily on how buying australia mobile database behavior has changed due to the power of the web. Think about your own behavior: If you’re like me, you hate dealing with salespeople and really enjoy doing your own research starting with search engines and taking advantage of free trials, online videos, blogs, reviews, and your social networks. To accommodate this, new business models leverage a variety of technologies described below:
Use the web extensively to drive lead flow. In particular, best practices include using inbound marketing to drive traffic rather than paying for it through search advertising.
Use a free product or service to attract web visitors and aim for virality when they tell their friends. Examples of free products include open source software, services like HubSpot’s Website Grader, free versions of SaaS services with a limited but still valuable feature set, etc.
With a free trial, customers can easily download or use the SaaS version of the full product to see if it's right for them.
Whenever possible, leverage the power of your customers’ social networks to achieve viral growth.
Because some smart entrepreneurs realized the importance of reducing CAC, they created new business models such as open source, SaaS, freemium, etc., which directly solved the problem of customer acquisition. Some of the early B2B pioneers in this field were companies such as JBoss, SolarWinds, ConstantContact, HubSpot, etc. Once others started to see the success these companies achieved, they started to copy these techniques.
These new business models focus primarily on how buying australia mobile database behavior has changed due to the power of the web. Think about your own behavior: If you’re like me, you hate dealing with salespeople and really enjoy doing your own research starting with search engines and taking advantage of free trials, online videos, blogs, reviews, and your social networks. To accommodate this, new business models leverage a variety of technologies described below:
Use the web extensively to drive lead flow. In particular, best practices include using inbound marketing to drive traffic rather than paying for it through search advertising.
Use a free product or service to attract web visitors and aim for virality when they tell their friends. Examples of free products include open source software, services like HubSpot’s Website Grader, free versions of SaaS services with a limited but still valuable feature set, etc.
With a free trial, customers can easily download or use the SaaS version of the full product to see if it's right for them.
Whenever possible, leverage the power of your customers’ social networks to achieve viral growth.