May 9, 2019

Use A Self-Service Demo

2. Activation  >  Use A Self-Service Demo

Use a self-service product demo to reduce SaaS churn

A product demo lets users explore your software without having to pay for it. This increases engagement, conversions, and reduces churn. It gets convenient for users to find how they can derive value from it.

INTUITIVENESS

CoSchedule

CoSchedule offers both a demo and a free trial. It gets easier for users to choose the option that’s right for them.

Bynder

Bynder uses a self-service product demo that helps them increase the speed of sales.

How to use the technique

  • Personalize the product demo. Not all users need your software for the same reason. Personalize demo based on persona. It doesn’t hurt to ask a few preliminary questions for optimization. Our free churn optimization framework has all the information you need to do research.
  • Identify key features. Prioritize core features of your app that deliver extreme value and start the demo with them. Ensure users don’t go without exploring core features. This will increase conversions and lower churn rate.
  • Add dummy data to make it easier for users to explore all the features. Don’t expect users that they will add their own data in a demo account rather make it a ready-to-use app.
  • Focus on benefits. Clearly show them how core features benefit them. A benefit-driven demo is more likely to activate users.
  • Offer in-app help. Self-service doesn’t mean you should leave them all alone. Offer all the support and help they need to stop them from churning.
  • Give access to the full version of your software. Let users explore every bit of your app. Don’t restrict them. That’s how you'll deliver value.
  • Track activation. Monitor success by tracking events including activation. Use this data for tweaks and for sending reminders. Tracking will become easier with our free churn optimization framework.

Mistakes to avoid

  • Not offering support during the demo. It’s a big mistake that SaaS companies make. Users still need help. Self-service product demo doesn’t mean you don’t have to give support. Be available to offer help and guidance.
  • Not focusing on conversions. The purpose of the product demo is to persuade users to convert to a customer. If they don’t convert, follow up, get in touch, and try to address issues they're having.

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Research evidence

According to SaaS Metric Report by Totango free trials are a common practice in the SaaS industry but they don’t always do well in terms of conversions. Only half of SaaS businesses that use free trials or freemium generate 25% of conversions. The product demo is an alternative that you might test if your application depends heavily on the entred data and free trials don't convert well.

A/B

The self-service product demo is a great alternative that you might test if free trials don't convert well for you.


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May 9, 2019

Use Concierge Onboarding

2. Activation  >  Use Concierge Onboarding

Use concierge onboarding to reduce SaaS churn

Concierge onboarding is when you get in touch with users and offer them personalized guidance and suggestions. This type of onboarding is a great way to engage users, reduce churn, and increase conversions.

INTUITIVENESS

Customer

Customer.io doubled its conversion rate when it switched to concierge onboarding.

Groove

Groove sends its news users multiple messages in the inbox. As much as 80% of users convert to paid customers.

Content_Marketer

Content Marketer (now Mailshake) used manual onboarding to increase conversions. Around 55% of people who spoke to an agent converted.

How to use the technique

  • Understand your audience at a persona level. Does your ideal customer prefer a personal touch? What are the buyer personas that you should target? Having a clear understanding of your audience’s needs and expectations upfront will help you create a better concierge onboarding experience. Check our free churn optimization framework to get started. 
  • Send a welcome email and introduce your concierge onboarding experience. Give users a brief overview, and tell them they will get a personalized experience. This is for engagement and to reduce churn.
  • Ask users how they prefer to get in touch. Not all users like talking on the phone. Give them different options (email, live chat, phone, etc.).
  • Encourage users to get on the phone. In order to create a perfect human experience, encourage users to talk to an agent over the phone. Explain the benefits. Describe what they will miss.
  • Train your agents. Assign a separate concierge to each user. Train your team. The first contact is critical for reducing churn and boosting engagement.
  • Measure success and performance. How different concierges are performing? Does phone has a better conversion than email? Measuring different success metrics get easier with our free churn optimization framework

Mistakes to avoid

  • Not qualifying users. Offering full-fledged concierge onboarding to all the users without pre-qualification will cost you a lot of resources and will result in high churn. Qualify users via email or through a short survey.
  • Not following up. One call, a single email, or a Skype call isn’t enough. Follow up to increase conversions and to persuade users to move on.

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Research evidence

Gao, Lu, and Qian published a paper in Asia Pacific Journal of Management where they empirically found that the relationship between business and client is a mutual relationship. The two parties share responsibility and cooperate which leads to new sales via word-of-mouth. Engaging with clients at a personal level and incorporating human touch in business yield positive results.

<3

Business friendship between the client and the supplier significantly impacts the sales to the client, and this impact is further moderated by how the two parties share responsibilities in achieving common goals.


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May 9, 2019

Encourage Users To Invite

2. Activation  >  Encourage Users To Invite Teammates

Encourage users to invite teammates to reduce SaaS churn

Why not ask current users who activate and have experienced Aha moment to invite their friends, teammates, and colleagues? This is a perfect way to get new users and retain existing users. Once they have friends, they're least likely to churn.

INTUITIVENESS

Evernote

Evernote gets 13% of new users from its referral program. It grew to $1 billion SaaS with its referral program.

Airbnb

Airbnb used a referral program to increase bookings by a whopping 25%.

Dropbox

Dropbox increased its users from 100K to 4,000K with referral program in 15 months. It generates 35% of new users from its referral program.

How to use the technique

  • Know when to ask for an invitation. You cannot ask new users to invite friends’ right after they sign up. It is best to persuade them to invite others when they activate and experience the Aha moment. Our free churn optimization framework has actionable insights on how to do it. 
  • Choose happy moments. Users are more likely to invite others when they're happy with your app and have achieved a milestone. Allow them to invite friends after they achieve milestones.
  • Reward your users for inviting others. It is least likely that new users will invite others right away even if they're satisfied with your software. Rewarding your user and the people they invite is a great way to reduce churn and increase engagement.
  • Use personalized messages. Keep your messaging highly targeted. Refer to buyer personas and link copy to one big problem that your app can solve for the new users.
  • Create a referral program. A two-way customer referral program is the best way to make it work for your brand.
  • Monitor and analyze for better insights. Is there are specific buyer persona that actively invites new people? Is there are specific action after which a major chunk of users invites new users? Find out how to analyze data for decision-making in our free churn optimization framework

Mistakes to avoid

  • Not making it smooth for users to invite others. If users have to take several steps to invite a friend, they won’t do it. Make it simple. Reduce friction. Create a one-step invitation program.
  • Asking at the wrong time. This can be lethal. Not only that you won’t get new users but you might lose current users. Find the best time to ask for the invitation.
  • Not asking multiple times. Asking your users just once to invite others to your software is least likely to work. Remind them via multiple channels (email, in-app messages, etc.).

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Research evidence

A research article published in the Journal of Marketing Research by Bulte, Bayer, Skiera, and Schmitt found that businesses can leverage their existing customers to bring new customers. This lets businesses increase the lifetime value of both the referral and referrer. The referral won’t churn as long as their referrer is with the company.

+1

Leveraging existing customers to bring new customers lets businesses increase the lifetime value of both the referral and referrer.


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May 9, 2019

Create Detailed Support Docs

2. Activation  >  Create Detailed Support Docs

Create detailed support docs to reduce SaaS churn

An onboarding process is incomplete without support documents and actionable guides. Support documents are a great way to increase the activation rate and reduce churn as they provide all the help new users need to get started with your software.

INTUITIVENESS

Webflow

Webflow has created several support documents for its users including videos, tutorials, and community forum.

Mailchimp

MailChimp offers its customers with actionable guides on every single feature. There isn’t anything that you won’t find in their library.

Twilio

Twilio has added a link to its documents in the primary menu so that it is visible right away and users can access it instantly.

How to use the technique

  • Target buyer personas and integrate it into the customer journey. You cannot create support documents that will suit your entire market. Target specific personas based on lifecycle stage. This free churn optimization framework is all you need to get started. 
  • Choose documentation type. It is best to create multiple support documents like tutorials, step-by-step guides, how-to articles, etc.
  • Offer multiple formats. Some personas prefer videos while others like actionable guides. Create multiple formats that users will love interacting to so they don’t churn.
  • Focus on content. The actual content of the support documents should be well-written, informative, easy-to-read, easy-to-scan, and should be user-friendly. What you write and how you present it are two critical aspects to be considered. This is critical for reducing churn.
  • Make it easy for users to find these documents. Don’t let them sit on your website. Share links. Send links via email. Incorporate links in the onboarding sequence. That’s how you'll engage them and reduce churn.
  • Regular updates are essential to keep documentation current. Add, remove, and tweak content as per need. We have a free guide that will help you in analyzing how your support documents perform. Read more on the analysis techniques in this free actionable guide.

Mistakes to avoid

  • Poor UX can ruin your investment and efforts. Don’t make it a pain for users to find, read, and understand support documents. Keep it simple and user-friendly.
  • Unnecessary documents with unnecessary details. Do you have right support documents that users need or you’re just following industry trends? Don’t make the mistake of creating support documents that users don’t need. Refrain from adding unnecessary details. Keep it short and actionable.

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Research evidence

According to a report by Coveo on helping customers help themselves, businesses having self-service programs retain 40% of their customers. Businesses experience 16.2% improvement in customer satisfaction with self-service programs.

40%

According to a report by Coveo, businesses having self-service programs retain 40% of their customers (which is a lot!). 


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May 9, 2019

Progress Bar In Onboarding

2. Activation  >  Use Progress Bar In Onboarding

Use progress bar in onboarding to reduce SaaS churn

Use of progress bar indicating the steps (actions) left in the onboarding process has a magical effect on conversion, activation, and churn. Customers expect to see an indication of their progress and how they're advancing in the process.

INTUITIVENESS

Growth_Hackers

Growth Hackers has a really institutive and engaging checklist onboarding process.

Ghost

Ghost created a checklist onboarding experience that increased conversions to 26% from the previous 7%.

Quora

Quora uses a partially completed progress indication to make users realize they're already halfway through.

How to use the technique

  • Use progress indication for most crucial actions in the customer flow. Identify actions that lead to activation, and add them to the progress indicator. We have a free churn optimization framework to help you get started immediately. 
  • Select appropriate timing. If there are several steps involved in the activation, its best to use progress indication towards the end with half-filled.
  • Choose an attractive design. There are several ways to show progress to the new users during the onboarding process. For instance, you can use a straight bar, checklists, reward checklist, tutorial progress, partially completed checklist, quick-wins, etc. It is recommended to opt for a partially completed progress indication.
  • Don’t start progress from zero. Starting progress indicator from half-way perform better as it gives a sense of achievement to new users and it reduces churn significantly.
  • Keep it short. Long and lengthy progress indicators will make users churn. Keep it short preferably under 5 steps.
  • Try different progress indicators. Use different sequence, actions, and types of indicators based on user engagement. This will help you split test and figure out what works best for your audience. Read more on the analysis techniques in this free actionable guide.

Mistakes to avoid

  • Misleading progress indication. When progress doesn’t represent the actual progress, the user is more likely to churn. Keep it fair and show real progress. If it is a progress bar or percentage, give different weight to tasks based on their importance.
  • Actions aren’t challenging. Don’t let users’ complete useless actions. Missions that users have to complete should be challenging to keep them engaged and to develop their interest.

Research evidence

Lars Kaczmirek conducted an in-depth review of how progress indicators impact completion rate. He found progress indicators that represent true progress of the user in percentage perform better than indicators that move one step with each completed task. Use of progress indication improves response rate and accessibility.

2/5

To maximize the effectiveness of your progress indicators try to incorporate the progressbar instead of steps indicator (like above)


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May 8, 2019

Optimize Your Pricing Plans

1. Acquisition  >  Optimize Your Pricing Plans

Optimize your pricing plans to reduce SaaS churn

Adjusting your SaaS business’s pricing plans has a significant impact on sales, revenue, and churn. How to make your offer affordable for all types of customers should be your top priority.

●● INTUITIVENESS

Salesforce

Salesforce offers four different pricing plans and it has a recommended plan that makes selection easier.

Evolve

Evolve increased its revenue 40x by decreasing price by 75%.

Unbounce

Unbounce moved pricing plan CTA above the fold which increased conversions by 41%.

How to use the technique

  • Create a pricing strategy for your product. Link pricing strategy with buyer personas: How much your ideal customers can afford to pay for your software? Learn everything about conducting actionable research for your SaaS from our free churn optimization framework.
  • Keep pricing simple. If users can remember prices and plans, you’re on the right track. Don’t offer too many plans.
  • Highlight your best value or recommended plan. This helps buyers with decision-making and repeat buyers are least likely to churn if they get recommendations.
  • Limit pricing plans. It boosts conversions. Don’t offer too many plans and pricing strategies.
  • Allow customers to pay in their preferred currency. Most customers are afraid of conversion rates, so offering multiple currency options is a better option.
  • Offer a free trial. It reduces risk and lets customers explore your software before paying for it.
  • Don’t hesitate to decrease price. Reducing price doesn’t always mean a decrease in revenue. It increases sales, repeat sales, and reduces churn. Learn to explore more about variations and tests in our churn optimization framework.

Mistakes to avoid

  • Not increasing the price. Increase in price is a viable option especially if you have can justify it.
  • Hiding your price. It’s the worst mistake your SaaS company will make. Don’t hide pricing details. In fact, it stands out from the crowd.
  • Not having a plan. If you have a one-off price for your software without any upgrades (or premium plans), you won't have any repeat customers. It is best to create multiple plans (at least 2) for your software that you can then upsell in order to maximize LTV.

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Research evidence

A study by NN/g found that potential buyers are interested in knowing the price of the product and it is their number one priority. It is the most critical information that visitors want to see on any website. Businesses that don’t reveal pricing details on their website aren’t liked by potential buyers.

$$$

Potential buyers are interested in knowing the price of the product. Provide them with this information!


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May 7, 2019

Optimize Your Forms

1. Acquisition  >  Optimize Your Forms

Optimize your forms to reduce SaaS churn

Forms are an essential part of every SaaS business. That’s how you generate leads (and sales). Creating a perfect form that will persuade visitors to fill it is desirable. Conversions and churn depend on various characteristics of the form.

●● INTUITIVENESS

Animoto

Animoto removed captcha from its sign up form which increased conversions by 16%.

Canva

Canva has a dead simple form with two fields. It only asks for a name and has a dropdown menu which means you can fill and submit this form in 10 seconds.

Expedia

Expedia removed the Company field from its form during A/B testing which resulted in a profit increase of $12 million in a year.

How to use the technique

  • Forms with 3 fields convert better and don’t add to churn because such a form is easy-to-fill and doesn’t require a lot of time. We have created a free churn optimization framework to help you with the necessary research for optimization.
  • Start forms with easier fields such as title, name, email, etc.
  • Use easy-to-understand and descriptive labels. Put labels above the field instead of putting them as placeholders inside the input box.
  • Smartly use radio buttons and dropdown menu. Radio buttons work best when choices are less than 5 and dropdown box if choices are more than 5.
  • Pre-select fields when possible. It makes it easier for users to fill the form. For instance, pre-select country based on users IP, using the postal address as billing address, etc.
  • Address fears by letting users know how you'll use the information and how you'll not use their information. For example, let users know you have a SPAM policy and add a link to it right under the CTA button.
  • Clearly describe error messages and provide feedback that helps them solve the errors. Highlight error fields so users can identify them and take necessary action based on the feedback.
  • Remove captchas from your forms as they reduce form submission rate by 30%.
  • Use multi-step forms if you have to ask several questions. Multi-step forms with guidance on what happens next is a perfect combination.
  • Reduce the number of selection boxes and text areas to improve conversion rate and reduce churn.
  • Use a descriptive CTA. It is best to clearly describe the benefit of filling the form to the users via CTA.
  • Place form above the fold. This is a perfect spot for a form where it will get all the due attention.
  • Optimize forms for conversions and churn by testing different variations on different landing pages. Don’t miss our churn optimization framework tailored specifically for SaaS companies

Mistakes to avoid

  • Assuming short forms will always outperform long forms. It depends on the purpose of the form as well as the target audience. Again, test variations and see what works.
  • Not using conditional logic to make forms easier to fill. Not all users need to fill all the fields. When a user doesn’t have to fill a field, hide it.

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Research evidence

Dan Zarrella analyzed 40,000 forms on different landing pages and found that form conversion rate depends on the number of fields, text fields, number of text areas, and number of select boxes.

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Form conversion rate depends on the number of fields, text fields, text areas, and select boxes.


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May 7, 2019

Optimize Your Typography

1. Acquisition  >  Optimize Your Typography

Optimize your typography to reduce SaaS churn

It's essential to ensure your typography follows best-practices for readability to make it easy to perceive. Right font style and size will improve overall user experience and reduce churn in the long run.

●● INTUITIVENESS

Numara_Software

Numara Software changed its font size and increased line spacing. This reduced bounce rate by 10%, exit rate by 19%, increased page per visit by 24%, and the conversion rate was increased up to 133%.

Trello

Trello has perfect typography that is easy-to-read and is consistent with their brand and logo.

WhoAcceptsAmex

WhoAcceptsAmex increased its external clicks (32%) by identifying the most suitable font size.

How to use the technique

  • Decide with the typography of your website based on buyer personas. Conduct research. Ask your ideal customers what font they prefer. Our churn optimization framework has step-by-step instructions on how to conduct research.
  • Choose a typeface consistent with your brand. Use one or maybe two typefaces throughout your website. You don’t want to confuse visitors when they visit your website next time with a different typeface.
  • Use standard fonts. Your best bet is to use Google Web Fonts. Standard fonts are familiar which makes reading easier.
  • Font size and line height are the two vertical dimensions of typography that should be taken care of and should be consistent throughout the landing page. Recommended font size is 16 pixels and line height should be 1.5.
  • Line width is the horizontal dimension that needs your attention. Keep the line width suitable enough to improve readership and comprehension. Readers prefer short line width 8 to 10 words or 40 to 60 characters long.
  • Test different variations. Optimizing typography is only possible with A/B testing. Run tests and see how typography impacts churn, conversion rate, readership, and interest. This guide will help you perform split tests with ease.

Mistakes to avoid

  • Not taking typography seriously. This is a lethal mistake. A small typographical change can have a notable impact on conversions. Don’t ignore its importance.
  • Relying on best practices. While it’s good to follow best practices, don’t rely solely on other people’s experiences. Figure out what works for your target audience with continous testing and move from there.

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Research evidence

Errol Morris conducted an experiment to measure if a typeface has any impact on the credibility of the written text. The results revealed that people respond to typefaces differently. Some fonts had a high degree of acceptance while others had a high degree of disagreement.

!?!

According to the research, some fonts are responsible for the high degree of acceptance while others cause disagreement


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May 7, 2019

Use Breadcrumbs

1. Acquisition  >  Use Breadcrumbs For Orientation

Use breadcrumbs for orientation to reduce SaaS churn

Breadcrumbs are an exceptional way to increase user experience and reduce churn. Using breadcrumbs let visitors know where they're on your website and how to switch between pages easily.

●● INTUITIVENESS

Mailchimp

MailChimp uses breadcrumbs on its help section clearly guiding visitors where they're now and how they got here.

Shopify

SurveyMonkey smartly uses breadcrumbs right at the top of the page under primary navigation to boost user experience.

SurveyMonkey

Shopify uses navigation breadcrumbs creatively with a sidebar to make it easy for readers to jump from one page to another with just one click.

How to use the technique

  • Use breadcrumbs to display current location. The location should be relevant to the website’s structure or it should be attribute-based. Conduct research to figure out which type will work for your website. Read our churn optimization framework on how to do research like a pro. 
  • Start breadcrumb trail with a link to the homepage and the last trail should be the current page and it shouldn’t have a hyperlink.
  • Reduce breadcrumb for mobile. Use trail for the previous level instead of showing complete trail (which looks messy).
  • Use a recognizable symbol for separators. The greater than sign (>) is the best and universally acceptable symbol. Any symbol that users cannot understand will make them churn.
  • Test breadcrumb styles and designs. Yes, you should test different variations for conversion optimization. Breadcrumbs can have a significant impact on user engagement, churn, and user experience. Our churn optimization framework is your best resource for this.

Mistakes to avoid

  • Using breadcrumbs as a replacement of primary navigation. Don’t use these two interchangeably. Primary navigation is a must and should never be replaced.
  • Always using breadcrumbs. There are certain website designs (like flat design) and certain pages (like landing pages) where using breadcrumbs do more harm than good.

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Research evidence

Nielsen Norman Group research revealed that there are multiple benefits of using breadcrumbs while there are no drawbacks. Using breadcrumbs on a website improves navigation, makes it user-friendly, and improves the user experience.

>>>

Integrate breadcrumbs without thinking. When implementing correctly, there are absolutely no major drawbacks.


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May 7, 2019

Main Action Above The Fold

1. Acquisition  >  Main Action Above The Fold

Have your primary action above the fold to reduce SaaS churn

The top of the page gets a lot of eyeballs as compared to the middle or bottom of the page. Moving your primary CTA and UVP above-the-fold will reduce churn and boost conversions.

●● INTUITIVENESS

Asana

Asana has smarty utilized above the fold by putting their UVP, offer description, and a clear CTA.

Allocable

Allocable increased its conversion rate by 211% with a website redesign which mostly focused on above the fold section.

Yotopo

Yotopo tweaked their website’s design, content, and a lot of other elements including above the fold area which resulted in an increase in conversion rate by 93%.

How to use the technique

  • Move CTA above the fold. Your primary CTA should be placed above the fold so visitors know what action they're supposed to take as soon as they land. Read our churn optimization framework on how to do research to identify best performing CTA. 
  • Publish your best content above the fold. It could be a headline, UVP, a video, customer testimonial, emotional trigger, or any other content type that has the potential to keep visitors hooked.
  • Use appropriate tools to track how visitors react to different elements above the fold (e.g. heatmap analysis).
  • Grab attention. The content, design, and elements above the fold should have the potential to grab visitor’s attention right away.
  • Encourage scrolling. Ask visitors to scroll down and use persuasive copy so visitors scroll down and read more of your amazing content.
  • Test multiple variations. Split test multiple variations of above the fold content. Conversion optimization gets easier with testing. Here is a link to our free guide on split testing. 

Mistakes to avoid

  • Putting a lot of content above the fold with an intention to provide as much information as possible. This doesn’t work, instead put your best content above the fold and provide users a reason to scroll down. Don’t make it messy.
  • Not considering abandoners. If a visitor doesn’t scroll, he should get the necessary message. Optimize above the fold for visitors who leave without scrolling. They shouldn’t leave empty-handed, ensure they at least remember one thing about your brand.

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Research evidence

Nielsen Norman Group research found that visitors treat content above and below the fold differently. The content above the fold gets 84% more views as compared to the content below the fold.

84%

This is how much more views the content above the fold gets in comparison with the content below the fold.


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