SaaS is a fast growing sector and will be the biggest unicorn incubator. This framework is about the introduction and advantages of SaaS. Further more, comparisons and best practices are made to elaborate how to make use of SaaS. Because toB SaaS has recursive revenue and has advance payments, it is also the best way of bootstrapping.

1 Fundraising Seed Angel A B C D E F
2 Validating Validate idea Validate product Validate market Validate city Validate  cities Validate nationwide Validate  countries Validate globally
24 Explanations SaaS is the acronym of Software As A Service. It is a software licensing and delivery model. It is licensed on a subscription basis and is centrally hosted. It is sometimes referred to as "on-demand software". It is typically accessed by users using a thin client, e.g. web browser. It was formerly called Application Service Provider. It is considered to be part of the nomenclature of cloud computing. Global sales of SaaS was expected to be $80B in 2018.
25 Classification General(functional management tool) Vertical(store tool) Platform(transactional portal of supply chain)
26 Comparisons Between Traditional Software & SaaS Company value: Recursive revenue of SaaS can result in exponential growth. Functions & features: SaaS product can be upgraded timely with central deployment. Service model: SaaS can improve service level for expectation of renewal. Sales mode: New customer cost of SaaS is relatively higher, but renewal has more profit.   Price model: Traditional is one-off fee plus 20%  annually. SaaS by month or year. Customer requirement: SaaS can release a major version monthly or quarterly on demand. Storage: SaaS on cloud, and traditional on local. Flexibility: SaaS has personalization built-in to be general.
27 Comparisons Between 2B & 2C Business 2B customers are rational , yet 2C customers are perceptual.  2B customers are value sensitive, yet 2C customers are experience sensitive. 2B customers have high service requirement and non-standard need. 2B customers have long decision chain and multiple stakeholders. 2B focuses on short board, 2C focuses on long board. 2B has a very long lead-to-cash cycle, yet that of 2C is very short. 2B only focuses on pain points, yet 2C can focus on both pain & cool points. 2B needs vary according to location, scale & boss quality.
28 Comparisons Between Payware & Freeware Free customers are easy to quit because they have no investment. Free customers are more impulsive to make fake deals which vendor will lose later. Vendor can't collect deep requirement from free customers.  Free is quick to acquire customers, but pay has more active users. Free customers have to pay time cost of analysis, decision & training. Sales reps can easily cheat with free for incentives from vendor.  Free trial can't involve customers deeply for not taken seriously. Free is not a good choice for 2B SaaS vendor.
29 Metaphor Of Soccer Coach - CEO Team doctor - Administration Goalkeeper - Customer Support Defender - Product Defensive midfielder - Customer Success Management Central midfielder - Marketing Attacking midfielder - Marketing operations Forward - Sales
30 Competitive Edges Of SaaS Vendor Deep insight of customer pain points. First-mover advantage after validating critical hypotheses. Customer relationship that forms loyalty. Fast penetration of market that forms trend. Brand awareness that has occupied customer mind. High switch cost that prevents customers from migrating. Reach 15% of market share which is explosion point. Form ecosystem which is hard to copy.
31 Tips Of Penetrating Industrial Customers Industrial penetration decreases CAC and increases competitor entry barrier. Investigate market and estimate TAM. Validate generality and intensity of pain points of industry. Know the IT environment and cost of market education. Do the competitor analysis. Distill industrial commonness and usage trend from SaaS backend. Add personalization function in accordance with industrial features. Involve sales through guidance, not imperative order.
32 Value Escalation Product nurturing. Increase new customer. Increase conversion rate. Add paid seats of existing customer. Add paid functions or modules. Increase unit price through A/B test. Promote relevant 3rd party cross-sell. Reduce churn.
33 Mistakes Enter a market by imitation without innovation. Enter a hot market segment backed by hot money. Irrationality out of ignorance & heat of entrepreneurship. Revenue oriented, not profit oriented. Free or low price expansion destroys the whole industry. Homogenization of products leads to inevitable price war. Use BD to acquire batch customers at startup phase. Distracted by too many choices.