In today’s business climate, technology buyers are looking for a clear return on investment (ROI) when they make a purchase. As a seller, you need to be able to show them in a clear way how their investment in your technology will impact their bottom line in either a cost-saving or money-making way, ideally both.
However, many software companies struggle to demonstrate their product value, often too focused on features and buzzwords. I recently met with a Financial Tech as a service company. The demonstration had decks that showed buzzwords like “Be a bank,” “Transfer Bitcoin,” and “Disruptive Technology.”
I was able to get a quote on the first demo, and the price was around $10,000 USD per month. What I didn’t understand was the ROI of the software investment. I had no idea how investing $10,000 USD monthly would help our customers and partners improve our bottom line.
ILeaders need to remember that buyers are not buying from you because you raised an A round or somehow ran out of money and raised a B round, or if you’re building the “future”.
Buyers of B2B software need to see the financial impact that purchase and adoption would do and sellers need to take buyers through that process and hold their hand when it comes to buying technology about $USD 50,000.00 and more.
With Interest rates rising and a restrictive growth environment, buyers need to worry about technology companies with high egos that have raised large amounts of money in the last 5 years. Those companies will most likely resort to pushing buzzwords and contracts that are not to the buyer’s benefit.
One of the biggest reasons why software companies struggle to build a strong business case is that they don’t fully understand the cost of not having the right software. Many businesses operate without understanding how much their current technology costs them in terms of lost productivity, efficiency, and even revenue.
As a result, they don’t see the value in investing in new software.
On the other hand, businesses that do invest in the right software often see significant benefits. The right software can save businesses money by increasing productivity and efficiency. In some cases, it can even help businesses make money by generating new revenue streams.
When you’re trying to build a business case for your software, it’s important to show buyers how their investment will impact their bottom line. To do this, you must first understand the cost of not having the right software and then articulate the benefits of investing in your technology.
Only then will you be able to convince buyers that your product is worth the investment.
Here at CloudTask we work with our Partner ValueCore.ai to help our buyers build a better business case for the procurement of B2B Sales Services; check“ out our example below.