1. What is SaaS?
SaaS, which stands for Software-as-a-Service, means “software services over the web”. SaaS platform providers set up application software on their own servers, and customers can purchase and use these services according to their actual needs.
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2. SaaS Market Overview in China
Since 2020, more and more Chinese enterprises are using SaaS tools to improve their internal management efficiency, and SaaS services such as cloud office and cloud communication are very popular. Data shows that the market size of the China SaaS industry has reached RMB 32.26 billion in 2021 and is expected to reach RMB 55.51 billion in 2023.
SaaS companies that can probe into various scenarios and meet clients diversified needs are bound to gain a high market share in China.
3. Why is digital marketing important for SaaS products in China?
SaaS products do not have a physical presence. SaaS providers need to continuously prove to their existing or potential users the value of subscribing or renting their SaaS services. Considering the time cost, input-output cost and rapid technology update, the best way for SaaS to expand brand exposure is in the field of digital, taking full advantage of multiple channels’ influence to reach target clients.
4. How to sell SaaS in the Chinese market?
1. Aim at SaaS products’ target client
SaaS products customers mainly work in the medical, technology, accounting or education industry. Precise content marketing and audience segmentation are of priority before content creation. Defining a target SaaS client helps SaaS providers direct resources to clients with interest in the product and high potential for sales increase.
2. Select a platform for SaaS content marketing
Content marketing can attract potential customers to SaaS products’ websites and increase brand awareness. Valuable, relevant, and insightful content can lead you years ahead of competitors when it comes to selling SaaS. And content distribution for SaaS products should be on multiple platforms at the same time to ensure continuous growth of content traffic.
In China, SaaS companies should make full use of the following platforms for content marketing:
WeChat public website
With the largest and most powerful user base, WeChat is the most important social software in China. It is used by every Chinese person every day. For SaaS providers who want to enter the Chinese market, creating their own WeChat public account is of utmost importance.
The marketing and sales of Saas products must ensure a close connection with customers and answer their queries in time. Creating a WeChat official account is capable of realizing almost all marketing activities of Saas products such as product & industry introduction, news release (lottery draw, free trial, issuing discount coupons, etc.), live streaming, online meetings, experience sharing, customer service and after sales. WeChat’s official account is indispensable for Saas providers to build reliability, increase conversion rates and increase customer adherence.
As the largest premium Q&A platform in China (just like Quora), Zhihu is able to provide SaaS providers enormous traffic and high-quality users. Zhihu owns more than 400 million total users in 2021, 66% of which live in first-tier city users, 80% of which have undergraduate degrees and work in state-owned enterprises, traditional industries, manufacturing, and Internet companies, etc. There are a large number of technology KOLs and KOCs on Zhihu, Zhihu is an ideal platform to introduce and promote SaaS products.
Clients hope to know what solutions SaaS products can provide in different industry scenarios. Therefore, a regular output of industry-related articles is important for SaaS providers. Baidu Bajia is the best platform for SaaS providers to publish such articles. Baidu Bajia is a content creation & publishing platform of Baidu (Baidu is the largest search engine in China).After publishing, SaaS articles will be recommended to Baidu mobile app and ranked in the top of Baidu search. Find out more about this by checking out the 2022 Baidu Baijia trends.
Chinese Saas product customers are used to using search engines to ask questions directly when they encounter problems. Saas providers can use Baidu Baijia account to publish Saas product demo videos or Saas product operation tips; it can not only help customers use the software, but also improve users’ confidence and increase the probability of purchasing the Saas product at the end of the trial.
Xiaohongshu/ RED/ Little Red Book
Little Red Book / Xiaohongshu is currently the hottest UGC (user-generated-content )platform in China. Its users are young, well-educated, having high income and living in first/second tier cities. In terms of digital marketing strategy, Saas providers have many choices and gameplays on Xiaohongshu (little red book). Brands can look for kocs and kol in the same category as their products, or create insightful content, share videos/tips videos/creative videos related to the usage scenarios of saas products, etc.
To successfully sell Saas products in the Chinese market, Saas providers should first be familiar with each segmented business scenario, find the product “selling point” and satisfy user needs. In addition, SaaS companies can use WeChat, Zhihu, Baidu Baijia, Xiaohongshu and other Chinese social platforms to expand their brand influence, and of course, SaaS companies need to pay attention to review product data continuously for improvement.
If you want to learn more about how to sell SaaS products in China, please contact STAiiRS!
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