For Software Businesses:

How we tripled a software's traction while reducing churn by an extra 4%?

Background on the company & product?

This software was solving an integral problem for startups & enterprises in regard to closing leads. It was a bit low on the "solution needed?" scale, but that's where we come in to influence the scale towards the company's benefits :)

The pricing was a monthly fee of INR 700($9.50) with an annual fee option rewarding a 10% discount. The average retention rate of monthly subscribers was 7 months; you could use a range of 6-8 months. This asserts the lifetime value of a customer to be INR 4900($66.50).

Transition to transformation, not features.

Truth be told, softwares are boring to most people. Nobody gets excited by softwares unless they're a geek for technology or data. This presents an additional problem alongside scaling up financials - how do we get people excited for our product?


We had to transform the positioning of the brand into a customer transformation rather than just a software to improve conversion rates.

We sat down with the core team behind the product, and did a 2-day message resonance consult with them. During this, we do a deep-dive behind the brand's core deliverables & more importantly: "why those deliverables?". This gets us to know how to position the brand's messaging in a way that appeals to the majority of the target audience, if not the entire audience.


We built out a model of what the brand's 2.0 version would look like, and instantly after testing it on few audiences, we found that our engagement quality rose from below average to above average. Our cost-per-click(CPC) become 40% cheaper. And our message was able to reach a higher quality of prospects/leads.

Paid & organic objectives?

Our end goal with every company is simple - scale to the moon while being lean, streamlined, and wildly-profitable.


Since this was our first time working with a software company, we had to brainstorm a bit on our paid traffic & organic content objectives. We decided on putting all our paid traffic efforts on selling annual subscriptions, since it increases the lifetime value of a customer, plus gets a short-term inflow for the company since customers are paying upfront for an entire year.


We also opted for some organic content driving through to build out PR references & build loyalty through social audiences & existing customers. That being said, our major focus was on paid traffic.


We installed a paid traffic funnel including a sales video demo of the product & the benefits to existing customers. The frameworks, scripts, pages, and systems were developed by our product & marketing team.


This funnel had two major objectives:

  • Convert cold prospects into interested leads.

  • Convert those leads into paying customers.


And all paying customers coming from that funnel would pay an annual subscription fee, giving them a 10% discount, as well as some other bonuses that incentivize their purchase decision with urgency, so we don't waste much time in getting huge inflows of revenues in the company(to further use that capital to scale up on all department ends).

Reducing the churn rate.

Churn rate represents the annual percentage rate at which customers stop subscribing to the particular product/service. The average churn rate for software products is about 5-7%. But for this product, the churn was at 12% which was just insanely bad and there had to be something wrong with either the product experiences(UX) or the way it was being marketed to customers.


Thankfully, the product UX was good enough where we didn't need to make additional expensive changes to it. But we did have to improve the promises of the ads that were running to them.

The major reason for the churn rate being so high for this product was because the customer expectations were being raised too high by the brand. Sure, their product did solve the problem & get the result. But quality & convenience of getting the result also matters to a certain degree.

We reduced the churn rate to 8% within 3 months of marketing simple messaging to a niche audience. Because the messaging was resonating with the audience so well, they didn't care much about the convenience of using the product, as long as it was understandable and it got the result.

Building outreach systems for enterprises.

Different audiences are on different platforms. For our paid traffic funnel we used Facebook, Instagram, & Google as advertising placements. For enterprise sales, we used Email & LinkedIn cold outreach.

The problem with cold outreach is:

  1. The messaging doesn't resonate to get a quality reply.

  2. The efforts aren't tracked well enough to convert into results.

For the first problem, we attacked it during the 2-day consult itself.

The second problem was our major focus, we didn't know the numbers! We didn't know how many are converting to leads, how many are converting to customers, what are the percentages, etc. and without knowing these numbers/metrics, we can't scale up our results.

So we created a duplication of our paid traffic funnel & made few small changes to suit the enterprise audiences. We sent all our outreach traffic to that funnel, and tracked every single action using pixels & tags. This allowed us to do an end-of-month review of:

  • How many emails/messages were sent?

  • How many responses?

  • How many landing page visits?

  • How many leads?

  • How many (sales call) appointments booked?

  • How many accounts converted?

Accordingly, we figured out sufficient data on our conversion rates, which we then used to turbo-charge our outreach efforts. If our conversion rates weren't up to the mark, then we would have to split test on the messaging of the outreach efforts. But after sufficient testing is done, we would have definitely landed up on a system that can be scaled up.

The results?

We were able to close 3x more revenue in the first month of launching these systems. We reduced churn by 4% within the first 3 months, and our target is to reduce it by a further 3% over the next year by testing small product changes. We'll update this case study as soon as we accomplish that :)

First-month revenue from paid traffic funnel.

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