We all know that marketing in the web hosting industry is tough. You are forced to fight constantly with market leaders and their huge marketing budgets. And yes, you guess it right, they can always lower their prices even further to squeeze you out.
1. Ask the right question!
Is your goal really getting new customers? Or is to more about growing your revenue? There are less and less “net new” hosting customers. So, if you want to grow your customer base you have to take them from a competitor with is even more difficult.
This is precisely why before you start asking yourself, how to attract new customers you should be 100% sure that you did everything you could to generate extra revenue from the existing ones.
2. Harvest the lowest hanging fruits
We all like the songs we already know. That’s why it is 5x easier to sell to the existing client than to get a new one. You can always increase the price of your core hosting product, right? But obviously this would generate some outcry and make some of your customers leave. Remember the last time you have seen an influx of customers from another hosting company? That was when they were raising their prices.
So instead, offer them additional products and earn commision on that. It’s called cross-selling. If you look at the biggest players in the hosting industry, you’ll see, that they cross-sell as much as they can. Starting with SSLs, through Office and AntiVirus program ending at mobile plans, insurance, and even legal services. As you can see the range is pretty broad, but does everything they try to sell actually make sense? Well, that’s the next thing on the list.
3. Get to know your customers
Do you know who your customers are? What do they use the website for? What are their current struggles? Are they bloggers? Is it a small e-commerce with handmade jewelry? Alternatively, maybe they are web professionals who live off creating the websites for other people? If so, are they freelancers or did they found an agency? Do they love or hate WordPress?
If there is one thing I’ve learned in while running a startup, it’s that you can never overdo on talking to your customers. So go and schedule some customer interviews. You will be surprised what you will learn.
4. Pick the products carefully
Once you know who you sell to, it’s much easier to pick the right products to cross-sell. Is a commercial SSL still a thing or are they satisfied with Let’s Encrypt? Is SEO, local listings or social media something they even think about? Are they afraid of getting hacked?
We have seen much higher adoption of our WordPress AutoUpdater in hosting companies which has done a proper customer discovery beforehand. So, to cut a long story short, you need to sell products or service, which your customers actually need. Only then the investment in the integration of the new product and marketing will pay back in a predictable future.
5. Figure out how to sell it
Once you know not only who do you sell to, but also what you sell, it’s time to deal with how to make a compelling case for the product. It means basically doing three things.
- Find out what could motivate your customers to buy the product – is it fear? (of getting hacked) Greed? (they want to make more money) Or maybe l
azinessefficiency? (they want to work less).
- Craft the messaging in the simplest way possible – show the pain (their motivation) and the cure (your product). If you identified the pain correctly and if the product is affordable, you are very likely to succeed.
- Figure out the channels – Create a product page on your website displaying the carefully crafted messaging. Think of the series of the quality-content emails, educating them about the problem (for example content about automated hacking of WordPress websites has done miracles for us), which will generate the pain and show the cure. Consider remarketing, which is basically one of the most efficient way of reaching your existing customers all around the internet – news portals, Facebook, YouTube and so on.
6. Start doing that! And make extra money!
I’m not going to lie to you. Doing all these things can be time-consuming and probably will cause some extra hours spent in the office. But hey, it is very rare to get extra money without any additional work, right?
I encourage you to go down that path by yourself, but if you really don’t feel like doing it, check out our Cross-selling as a Service, where we utilize AI and big data to match your customers with pre-integrated SaaS products they need.