It’s no secret that SaaS companies need to be agile. They need to be able to change their product, features and offer quickly and without losing customers. However, there are some questions that arise when you’re looking at this question in particular:
Is product development first? Or is packaging? Which should come first? In this post we’ll explore both sides of the equation so that you can make an informed decision about how best to develop your own SaaS product!
Product Development
Product development is the most important step in the SaaS business model. It’s what determines whether or not a company succeeds and how much money they make.
If you’re building a product that doesn’t work, you won’t make any money. You might as well go out of business right away!
You need to be sure that your product is going to be successful before starting sales or marketing campaigns—and that means making sure it works well enough so people will want it enough for them to pay for it (and buy into its value).
Packaging
Packaging your software product is one of the most important aspects of building your product. It is a major driving force for your prospects to choose you over your competitors.
Research shows that in the majority of situations, it is not the pricing or lack of features that are hampering your sales process but it is your lack of product packaging design that is not meeting your customers’ requirements.
Where to Start?
Building a product with all the features you think will solve your target audience’s challenges and then packaging it before you release it into the market is a bad idea. Every product should have a vision and you should be on a mission chasing to achieve that vision. A purpose-built software packaged with the use cases of customer requirements can easily communicate your value proposition to your customers.
Therefore it is always a win situation if you design your software packaging first that is aligned with your vision and then build the product. We also see some successful companies repackage their product based on the industry changes but they would not move away from their vision.