Recently we had a company voice their objections to the pricing structure of ProWorkflow. Although we have many companies quite happy with the pricing, occasionally someone objects. It’s not the objection to price that is the issue here. It was more that customers often have a lack of education about the basis for the pricing – they simply think it’s a number, and don’t understand the justification.
About a year ago, I did a series of YouTube vids for a laugh and also to share some advice I’ve learnt along the way developing www.proworkflow.com . Although I’m a year older now, and a bit more wise and weathered, this advice still stands. Please excuse the poor quality of the sound – I was experimenting with a camera and got some lag. But I bet Twitter wished they’d listened to the first vid!
It’s a hard balance being in the Software/SaaS (Software As A Service) industry. We can put lots of time and focus into systems and development, but sales may suffer… or we focus on sales and then development suffers… ProActive Software (www.proworkflow.com) has bootstrapped (growth through no funding, and only sweat equity) to profitability thus far and this is fun to a point however if the intention is to bootstrap through to profitability as we’ve done, the issue is 100% correct allocation of resources between development, sales, systems and marketing.
We don’t have a truckload of resource, rather a smaller dedicated team and no massive flash offices (ProActive is largely a virtual team). There are a few contractors globally but we do A LOT with what we have.
We’re up to a good number of dedicated servers in California and one in NZ, and are in profit. So the years of hard work have paid off. Revenue is looking healthy and we all earn good salaries (founders work 16hr days).
The biggest problem I see in both the local and global market is the high number of software/SaaS co’s trying to scale, but using (old school) high inertia sales and marketing.
Check out the awesome new features added in the newly released version 6.0 of ProWorkflow!
Our SaaS business focuses on a project management solution we rent to a global user base (servers in the USA, the business is remotely run from NZ). No matter how hard we drive home the ‘Value & ROI’ message, there’s always a large number of ‘Price driven’ customers as we all know. The way to [...]
