In selling to business customers virtually every SaaS/XaaS company claims to be pursuing a land and expand strategy, to make their subscription and/or consumption business model generate the growth and profits that their investors and executives are expecting. Some companies are already demonstrating emerging best practices in this area though most startups and fast-growing companies still struggle to make their “strategy” pay off. Why is it such a struggle, and what can they do to crack the code?
Until quite recently, the only customers adopting cloud-based technologies to solve mission-critical problems were small businesses or fast-growing startups, many of them online companies themselves. Things have changed dramatically in the past few years, leaving vendors with a lot to learn – or re-learn, in the case of older companies transitioning their technology and business model to the cloud – as they race to engage larger customers in more complex implementations.