Customer Psychology and the Wasted Power of Surveys


This post is by Lincoln Murphy from SaaS Growth Strategies


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Customer Psychology and the Wasted Power of SurveysSurveys can be dangerous if used wrong, but can be super-powerful if used correctly!

Whether it’s the Net Promoter System to gauge customer satisfaction, doing pre-launch customer development work for your startup, or one of the myriad methods we use to interact with and learn from our customers, prospects, and other people, surveys are by far the easiest to implement and most effective feedback mechanism at scale.

The problem with surveys, aside from all the ways that people generally mess them up (too many questions, leading the witness, not specific enough, poorly targeting / segmenting the audience, etc.), is that the underlying psychology of surveys is rarely taken into consideration.

Now I’ve said before that I’m not a big city psychologist, but I spend a lot of time studying psychology and human behavior as I try to figure out why people do what they do and also how to get them to do what I want them to do.

And some of that studying led me to realize that many of the behaviors we employ around surveys – especially in the Customer Success world with the use of NPS surveys – can have a very negative impact that does the exact opposite of what we’re trying to do.

In this article I explore how we use surveys and suffer the often-unintended consequences.

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Trends In Startup Acquisition Market in 2015


This post is by Tomasz Tunguz from Tomasz Tunguz


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This time last year, I analyzed the state of the startup acquisition market. Two key trends surfaced. First, the larger acquisitions were becoming larger. Second, that the total number of acquisitions in 2014 would achieve a 5 year high. As of mid-2015, the first trend continues while the second seems to have faltered. The median acquisition price for technology companies in Crunchbase’s data set is plotted above, bucketed by size.

Trends In Startup Acquisition Market in 2015


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




This time last year, I analyzed the state of the startup acquisition market. Two key trends surfaced. First, the larger acquisitions were becoming larger. Second, that the total number of acquisitions in 2014 would achieve a 5 year high. As of mid-2015, the first trend continues while the second seems to have faltered. The median acquisition price for technology companies in Crunchbase’s data set is plotted above, bucketed by size. For example, the $500M bucket marked in yellow includes all acquisitions between $100M and $500M. Startups haven’t seen any increase in the median value an acquirer pays over the five year period. However, at the top end of the spectrum, companies sold for $500M or more, has increased 40% over the last five years from $1.25B to $1.75B. Premium startups are fetching higher premiums than in recent history. Many technology incumbents possess substantial cash balances , which enable
Continue reading "Trends In Startup Acquisition Market in 2015"

Three Data Points on Email List Unsubscribe Patterns


This post is by Tomasz Tunguz from Tomasz Tunguz


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Ultimately, the goal of most content marketing campaigns is email address capture. When a reader decides to receive content consistently via email, a content marketer knows they’re developing a deeper relationship with that person. Whether the marketers selling software or venture capital, retaining an email address is a victory. In the last 18 months, this blog has grown its email subscriber list from zero to roughly 8000 subscribers, and lost about 1000, meaning the current distribution list is about 7k.

Three Data Points on Email List Unsubscribe Patterns


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




Ultimately, the goal of most content marketing campaigns is email address capture. When a reader decides to receive content consistently via email, a content marketer knows they’re developing a deeper relationship with that person. Whether the marketers selling software or venture capital, retaining an email address is a victory. In the last 18 months, this blog has grown its email subscriber list from zero to roughly 8000 subscribers, and lost about 1000, meaning the current distribution list is about 7k. Over the weekend, I tried to understand the general behavior of unsubscribes. The chart above that over the last 18 months, 1064 people have unsubscribed. 24% unsubscribe within the first 30 days, 40% within the first 60 days, 50% within the first 90 days. I’m not sure why people unsubscribe within the first 90 days, but it’s probably worth surveying them to get a better sense of the cause. If
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From Social Networks To Market Networks


This post is by James Currier from SaaS – TechCrunch


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shutterstock_173525351 Most people didn’t notice last month when a 35-person company in San Francisco called HoneyBook announced a $22 million Series B. What was unusual about the deal is that nearly all the best-known Silicon Valley VCs competed for it. That’s because HoneyBook is a prime example of an important new category of digital company that combines the best elements of networks like Facebook… Read More

The SaaSing Of The Music Business


This post is by Ethan Kaplan from SaaS – TechCrunch


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micandsoftware The music business is about to undergo another seismic shift. And Apple’s streaming service is the tsunami that will force the industry to rebuild. Again. It was around 2005 when I joined Warner Bros. Records as their new head of technology. I was the 20-something-year-old kid who was supposed to have every answer about all things digital. Read More

How Social Proof Actually Works in Marketing


This post is by Lincoln Murphy from SaaS Growth Strategies


Click here to view on the original site: Original Post




How Social Proof Actually Works in MarketingI’m not a psychologist, but I play one every day as I try to figure out why people (users, customers, visitors, etc.) do what they do… and how to get them to do more of what I want them to do.

I spend a lot more time reading books about – and otherwise studying – human psychology and the way our brains operate, than I do on specific marketing techniques, growth hacks, or the latest viral sensation.

Those things are fleeting, but the way our brain works is much slower to change.

One of the people I’ve learned the most from when it comes to human behavior is Dr. Robert Cialdini, starting with his game changing book Influence. He and others from his Influence at Work group have released other books that provided real-world examples of how to leverage the principles of Influence – or avoid them – but Influence is still my go-to resource.

Dr. Cialdini has posited that there are six principles of persuasion – Reciprocation, Liking, Consensus, Authority, Consistency, and Scarcity – each of which has the power to elicit certain behaviors (simply due to how our brains work) in those at whom the principle is focused.

In this article I want to explore the Principle of Consensus, otherwise known in marketing as “Social Proof” and in Customer Success as “Advocacy.”

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Startup Best Practices 14 – Slash and Burn Your Calendar


This post is by Tomasz Tunguz from Tomasz Tunguz


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When startups achieve hyper-growth, many of the key internal processes begin to fail under the strain of a newer, larger organization. So they must be reinvented. One of the most important internal processes, but least considered, is scheduling meetings. As Anne Dillard wrote, “How we spend our days is, of course, how we spend our lives.” Most of us spend our days in meetings. Meetings, like a snowball rolling down a mountain, develop ever greater inertia, roll down a path of their own - different from their initial purpose - and ensnare increasing numbers people as a business grows.

Startup Best Practices 14 – Slash and Burn Your Calendar


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




When startups achieve hyper-growth, many of the key internal processes begin to fail under the strain of a newer, larger organization. So they must be reinvented. One of the most important internal processes, but least considered, is scheduling meetings. As Anne Dillard wrote, “How we spend our days is, of course, how we spend our lives.” Most of us spend our days in meetings. Meetings, like a snowball rolling down a mountain, develop ever greater inertia, roll down a path of their own - different from their initial purpose - and ensnare increasing numbers people as a business grows. To counter this effect, James Reinhart and the team at ThredUp, a clothing marketplace metamorphosing through hypergrowth, slashed and burned their calendars. On a chosen weekend, everyone at ThredUp deleted every standing and recurring meeting in their agendas. During the next few days, the team questioned what meetings should Continue reading "Startup Best Practices 14 – Slash and Burn Your Calendar"