Customer onboarding, or SaaS onboarding, is the process of helping new users get started and stay engaged. It\u2019s a series of steps and resources that help make incorporating a SaaS product into the user\u2019s routine as easy as possible. <\/i><\/p><\/div>\n\n\n\n
Implementing SaaS onboarding best practices can significantly enhance the onboarding process, ensuring that new users quickly understand the product’s value and achieve their desired outcomes efficiently.<\/p>\n\n\n\n
Onboarding isn\u2019t just about teaching new users which buttons to click to use your app, though. The best customer onboarding strategy considers true customer goals<\/a>. That is, what is it that users want to achieve, and what does \u201csuccess\u201d mean to them?<\/p>\n\n\n People care more about outcomes than features, and it\u2019s your job to help them reach those outcomes as easily and predictably as possible.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n Onboarding is made easy when it:<\/p>\n\n\n\n Onboarding is made predictable when it:<\/p>\n\n\n\n In addition to the positive aspects of onboarding, such as a user\u2019s definition of \u201csuccess,\u201d you also need to consider the challenges. Onboarding is all about helping a user build a new habit, which means they\u2019ll face roadblocks. To counteract this, you\u2019re going to have to figure out how to keep motivation high, and barriers to maintaining momentum low. <\/p>\n\n\n\n SaaS onboarding is used any time a user is new to your platform, and it is especially critical for SaaS companies to ensure user retention and satisfaction. This happens most often with free trials. However, you might need a smaller onboarding process when a user upgrades to a new product or tier that has additional features.\u00a0<\/p>\n\n\n\n While we\u2019ll be exploring a full-blown, multi-channel approach below, customer onboarding isn\u2019t something to start considering once you hit a certain threshold. <\/p>\n\n\n Onboarding is essential for every user, even your first.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n While it may take time to build up your process, there needs to be some form of support from the get-go. <\/p>\n\n\n\n Truthfully, onboarding should last as long as it takes for a user to become comfortable and confident using the tool. However, you\u2019ll focus your planning within the bounds of your free trial. Even a freemium product should focus on the first few weeks of a user\u2019s account. <\/p>\n\n\n\n A positive onboarding experience is crucial in increasing customer retention and ensuring that users find value in the product quickly.<\/p>\n\n\n\n In addition to considering how long an onboarding process should last, you need to limit how much information you\u2019ll cover. It\u2019s tempting to show every user every feature you\u2019ve worked so hard on, but relevance is more powerful than quantity. <\/p>\n\n\n\n Every habit you\u2019ve ever stuck with has had a moment that solidified itself in your routine. <\/p>\n\n\n\n You think \u201cah, so THAT\u2019S what meditation can do for me\u201d when you react calmly to an unnerving situation. Or you feel a little more pep in your step when you try your new running shoes. <\/p>\n\n\n\n Successful SaaS users have these moments, too, and they\u2019re called \u201caha moments.\u201d<\/p>\n\n\n The aha moment is the point that the value of your product finally clicks for a user.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n While it may seem like an elusive moment, you can use data to uncover it. You can read a great guide about the aha moment here<\/a>, but I\u2019ll summarize. <\/p>\n\n\n\n By comparing the actions and engagement of retained users versus churned users, the moments that contribute most to a user\u2019s success begin to float to the surface. <\/p>\n\n\n\n By analyzing user behavior, you can identify the actions that lead to the aha moment and optimize the onboarding process accordingly.<\/p>\n\n\n\n When a new user follows the path to an aha moment, they understand how your product can help, and they want to keep getting the results. Without an aha moment, a user will feel lackluster about their success and lose motivation to keep going.<\/p>\n\n\n\n The lasting effect of customer onboarding will surface as either rising monthly recurring revenue or rising churn<\/a>. Therefore, it\u2019s critical to monitor onboarding metrics that signal whether a user is succeeding or sinking. <\/p>\n\n\n\n The ultimate goal of onboarding is to carry users into a paid plan. Therefore, you\u2019ll measure your conversion rate from free trial to paying subscriber. Pinning down a single \u201cgood\u201d conversion rate for an industry is tricky. So I always suggest comparing your rates now to your rates in the past. Looking at industry benchmarks are interesting, but the only real test is tracking your company\u2019s progress over time.<\/p>\n\n\n\n While conversions are an essential metric, they don\u2019t tell us much about the details of the onboarding process. Therefore, the main customer onboarding metric<\/a> to measure is customer engagement. Focus your investigation on:<\/p>\n\n\n\n Another powerful tool to have in your inboarding analysis toolbox is cohort analysis<\/a>. <\/p>\n\n\n\n These graphs may look confusing at first, but they help you monitor the evolution of users via their churn rate. Implementing a cohort analysis alongside your onboarding process updates gives you insight into whether or not your changes are helping (or hurting).<\/p>\n\n\n\n We\u2019ve explored SaaS onboarding from a high-level, but there\u2019s truly no one-size-fits-all strategy. <\/p>\n\n\n\n The first factor that impacts your SaaS onboarding process is your product. The length and format of onboarding will vary based on:<\/p>\n\n\n\n In addition to considering user segments<\/a> and goals, you need to choose between a high-tech or high-touch user onboarding process.\u00a0<\/p>\n\n\n\n High-tech onboarding uses more automated messages and self-service information or product tours. This is ideal for simpler products or single users. <\/p>\n\n\n\n High-touch onboarding incorporates more one-on-one assistance or touchpoints with a Customer Success Manager. This approach may be helpful for very technical products or user accounts with multiple team members.<\/p>\n\n\n\n If everything we\u2019ve covered so far has felt abstract, don\u2019t worry. It\u2019s time to look at specific tactics you\u2019ll use in your customer onboarding strategy.<\/p>\n\n\n\n I know what you\u2019re thinking: \u201cyou said onboarding is for people who have signed up, not for people signing up<\/i>.\u201d The signup process is part of the journey, though.\u00a0The signup process is a critical part of user onboarding, setting the stage for the user’s journey with the product.<\/p>\n\n\n\n Basecamp<\/a> uses the signup process to help set up the product (click to view full-size image).<\/p><\/figcaption><\/figure>\n\n\n\n During sign up, you begin to set expectations and gather useful information about user goals and priorities. For example, Basecamp uses the signup process to get information that sets up the product. Rather than making a user start from scratch and create their own teams and projects, they offer a selection to choose from during signup. Then, that info is auto-filled as soon as a user completes registration. <\/p>\n\n\n\n Best practices:<\/strong><\/p>\n\n\n\n How to create it: <\/b>Think about what information is absolutely critical. For most products, this is probably just a name, email, and password. Beyond the \u201cneed to know\u201d are the \u201cgreat to know\u201d elements. These could be self-segmenting questions that help autofill data. Add on questions or segments carefully, and number it so that they know when they\u2019re getting close. <\/p>\n\n\n\n How to improve it:<\/b> If not many people are getting through your signup, you may be asking too much. Consider scaling back fields or reducing any back-and-forth steps.<\/p>\n\n\n\n After the signup comes the welcome email. Think of it as a celebration or kick-off! The welcome email is important since it\u2019s your first contact with the customer once they\u2019ve created their account. It\u2019s also the first true email you\u2019re sending them, and therefore needs to set communication expectations. <\/p>\n\n\n\n A well-crafted welcome email can significantly enhance the SaaS user onboarding experience by setting clear expectations and providing valuable resources.<\/p>\n\n\n\n The welcome email from FreshBooks is a great example. First, they state their value prop with the intro \u201cWelcome to the World of Easy Invoicing.\u201d They\u2019re also celebrating the user\u2019s action, and adding a little social proof. Next, they reiterate the outcomes to expect. Finally, they offer a few next steps.<\/p>\n\n\n\n Best practices:<\/strong><\/p>\n\n\n\n How to create it: <\/b>Think about the context in which someone is signing up. What are they going through or struggling with that led them to sign up today? Address the outcomes they want and give them the first step to get started. <\/p>\n\n\n\n How to improve it:<\/b> If you have a few links in the email like FreshBooks does, monitor which are most popular. If one consistently gets ignored, delete it in favor of a simpler email. If the welcome email isn\u2019t getting them into your app at all, you might need to change positioning. <\/p>\n\n\n If any of the links in your welcome email are constantly getting ignored, delete them in favor of a simpler email.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n The first login is a user\u2019s first impression of the app. If you want to reduce churn, take a look at your first login experience. It will either get the ball rolling or interrupt the experience. <\/p>\n\n\n\n A smooth user onboarding flow during the first login can help users quickly understand the product and start seeing its value.<\/p>\n\n\n\n Mention uses a pop-up at first login to welcome users, as seen above. Once again, there\u2019s a summary of the benefits and use cases. Then, the CTA is to \u201ccreate your first alert.\u201d<\/p>\n\n\n\n Best practices:\u00a0<\/strong><\/p>\n\n\n\n How to create it: <\/b>What\u2019s the first step? This could be the first hurdle to overcome or a quick win. Give them a welcome and a place to start. <\/p>\n\n\n\n How to improve it:<\/b> Do people take the step you put forward? If yes, did it have a positive impact on onboarding and retention? If not, is there a more logical first step?<\/p>\n\n\n\n Many B2B tools require customers to import their data (or connect data sources) to use them. For example, Buffer<\/a> needs you to connect a social account, and ChartMogul needs you to connect a billing system. This is one of the major barriers to the whole onboarding process \u2013 customers will generally not see any value from the product until they complete this step.<\/p>\n\n\n\n There are a few ways you can approach data import, including:<\/p>\n\n\n\n Notion<\/a> chooses to offer data import during sign up, but their design could be used after the first login, too. <\/p>\n\n\n\n No matter how essential importing data is to customer success, you should always allow users to skip if they want. Notion includes a progress bar to let users know the setup is almost finished, but there\u2019s still a \u201cskip\u201d button in the upper right corner. <\/p>\n\n\n\n Interestingly, Notion has chosen to make importing data more worthwhile by offering a $5 credit when importing from Evernote. They may have identified this step as an \u201caha moment\u201d contributor and want to really entice users to do it. <\/p>\n\n\n\n Best practices:\u00a0<\/strong><\/p>\n\n\n\n How to create it:<\/b> You probably know what that essential piece of data is. If you don\u2019t, look to what people skip over who eventually churn. Make importing data as seamless and as few steps as possible. <\/p>\n\n\n\n How to improve it:<\/b> Can the connection or import be even easier? Can you prep them before they get to that point so that they have the info they need? If they don\u2019t import, can you remind them?<\/p>\n\n\n\n After the initial welcome email, you have a great opportunity to keep your new customers engaged and educated by sending them emails. This is your best chance of getting the customer to really use all the features of your product.<\/p>\n\n\n\n There are many different types of onboarding emails you can use, too. You can call attention to single features at a time, or group them together as a \u201cuse case\u201d or a unique way to take advantage of your app. <\/p>\n\n\n Content is also a great way to bolster the onboarding journey. Case studies and testimonials are useful for re-energizing users.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n Finally, make sure you\u2019re sending reminders and CTA emails toward the end of the trial. <\/p>\n\n\n\n In the Evernote example above, the company is calling attention to the \u201cuse case\u201d of collaboration. They mention a few features, such as sharing notes and collecting feedback but group them together as a general way to use Evernote. <\/p>\n\n\n\n Best practices<\/strong><\/p>\n\n\n\n How to create it:<\/b> Refer back to your \u201caha moment\u201d and determine what steps lead up to that. This will help you prioritize what features to call attention to, and which content is most relevant. <\/p>\n\n\n\n How to improve it:<\/b> Look at which emails are driving the most and least engagement.<\/p>\n\n\n\n Based on your top performers, what can you learn about what catches a person\u2019s eye and motivates them to act? <\/p>\n\n\n\n A welcome message during the first login is great, but you\u2019re here to support users in the long run. Product tours and tooltips give your community on-demand lessons on using your app. <\/p>\n\n\n\n As with every onboarding component, there are different ways to present product tutorials. These include:<\/p>\n\n\n\n GoToMeeting<\/a> chooses to use an onboarding checklist that\u2019s always available for review, shown below. It clearly lays out a roadmap for new users and tracks their progress. Anyone who has ever added a task to their daily to-do list just to cross it off understands how enticing a progress bar is. <\/p>\n\n\n\n Other companies, such as Google Drive<\/a>, insert videos or animations to take users step-by-step. <\/p>\n\n\n\n Best practices:\u00a0<\/strong><\/p>\n\n\n\n How to create it:<\/b> Prioritize product tutorials for either a) core first steps or b) tasks where you see engagement drop off. Product tutorials are useful for showing users how easy or how helpful a given action is. <\/p>\n\n\n\n How to improve it:<\/b> First, look at whether or not people are using the tutorial, and if so, when? A tutorial that is more \u201cin the way\u201d than helpful may need to be scrapped or shown at a different time. <\/p>\n\n\n\n Documentation isn\u2019t an entirely exciting prospect, but it\u2019s an important element of any onboarding experience. If everything goes well, perhaps it\u2019s not needed at all. But you want to be sure that when users are really stuck, they can get the guidance they need \u2013 and that it\u2019s easily accessible and understandable.<\/p>\n\n\n\n In the example above, Mailchimp splits their \u201cknowledge base\u201d across different categories. The more you empower a user to self-service, the better. Having various types and levels of support casts the widest net for users to overcome their issues and continue using your app. <\/p>\n\n\n\n Best practices:<\/strong><\/p>\n\n\n\n How to create it:<\/b> Need to start creating documentation from scratch? It may seem counterintuitive but start with the pieces of the \u201caha moment\u201d puzzle. You want to bolster your critical moments first, to capitalize on the strengths you already have. Then, move onto the topics or features that users are struggling with. <\/p>\n\n\n\n How to improve it:<\/b> Once you\u2019ve covered all of the documentation bases, go back and recreate some in different formats. Everyone has learning preferences or formats that are more accessible to them.<\/p>\n\n\n\n Depending on the nature of your SaaS product, notifications will have a varying impact on the onboarding experience. Regardless of how many notifications you push to users, they remain a key contact point, with a strong potential for re-engaging disengaged users.<\/p>\n\n\n\n You can use in-app engagements<\/a> to:<\/p>\n\n\n\n Best practices:<\/strong><\/p>\n\n\n\n How to create it:<\/b> Your priority during onboarding is reinforcing prime features. Start with in-app messages that keep users on track. <\/p>\n\n\n\n How to improve it:<\/b> Experiment with different frequencies, amount of information, format, and segmentation. <\/p>\n\n\n\n This can have a huge impact on the overall onboarding experience of your customers. Why? Because it\u2019s a touchpoint with a human being. The power of simply picking up the phone and having a quick chat with a new customer to check-in can out-rank almost any other element listed here. And the best thing is, it\u2019s two-way \u2013 you get a ton of valuable feedback at the same time! Win-win.<\/p>\n\n\n\n You can either send a message specifically offering a checkup call, or incorporate the offer into your onboarding emails. Customer.io chooses the latter, as seen below. <\/p>\n\n\n\n Best practices:<\/strong><\/p>\n\n\n\n How to create it:<\/b> Your customer success management program<\/a> is unique to your company. When in doubt, keep it simple, and personally reach out to users offering help.<\/p>\n\n\n\n How to improve it:<\/b> Your customer success, marketing, sales, and product teams should be talking about what you\u2019re finding out, and what you\u2019d like to learn.<\/p>\n\n\n\n Everyone loves swag! Startups are always finding more innovative ways to wow users with ever-more elaborate swag packs. There are even services such as StartupThreads, which manage sending swag boxes to customers.<\/p>\n\n\n\n You can also turn high-quality swag into an incentive. ConvertKit sends users a free t-shirt IF they complete the onboarding checklist during your trial. Genius. <\/p>\n\n\n\n Best practice:<\/strong><\/p>\n\n\n\n How to create it:<\/b> Be very intentional about what you send, when, and to who. Sending pointless or low-quality swag could damage your brand. Think about what you\u2019d want to receive and use, and then how you can make it personal or memorable.<\/p>\n\n\n\n How to improve it:<\/b> You could send special swag to your most engaged segments for an extra \u201cwow\u201d factor. <\/p>\n\n\n\n We\u2019ve covered what customer onboarding can do when it\u2019s going well. Now, let\u2019s address a hard fact. <\/p>\n\n\n Your entire onboarding process is only as strong as your weakest component.<\/p>\n Tweet this quote<\/a>\n <\/blockquote>\n\n\n\n If there\u2019s a spot for new users to slip through a crack of engagement and let their free trial come and go, some will inevitably fall victim. Even an onboarding experience that results in someone converting to a paid plan isn\u2019t exempt from scrutiny. <\/p>\n\n\n\n After all, poor onboarding leads to churn. Without the proper foundation and support, a user may fail to see value in the long run and choose to cancel their account. You may be able to lure some users back after churning, but it will be tough. <\/p>\n\n\n\n I don\u2019t say this to scare you, though. We review onboarding so that these things don\u2019t happen. You can use a churn-informed onboarding review<\/a> strategy. <\/p>\n\n\n\n First, you need to identify red flags. Start by asking yourself:<\/p>\n\n\n\n\n
\n
\n
When do you need a customer onboarding process?<\/h3>\n\n\n\n
\n
How long does onboarding last?<\/h3>\n\n\n\n
What is the \u201caha moment\u201d?<\/h3>\n\n\n\n
\n
How do you measure SaaS onboarding?<\/h3>\n\n\n\n
\n
![\"Cohort](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/cohort-analysis-1024x508.png\")
Tailoring the customer onboarding process for your company<\/h2>\n\n\n\n
Product considerations<\/h3>\n\n\n\n
\n
Customer considerations<\/h3>\n\n\n\n
Elements of SaaS customer onboarding (and what you can do to improve them)<\/h2>\n\n\n\n
![\"Elements](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/SaaS_Customer_Onboarding_Elements.png\")
<\/figure>\n\n\n\nSignup process<\/h3>\n\n\n\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Basecamp-Sign-up-step-1-1024x567.png\")
<\/a><\/figure>\n\n\n\n![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Basecamp-Sign-up-step-2-1024x566.png\")
<\/a><\/figure>\n\n\n\n![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Basecamp-Sign-up-step-3-1024x565.png\")
<\/a><\/figure>\n\n\n\n![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Basecamp-Sign-up-step-4-1024x563.png\")
<\/a><\/figure>\nWelcome email<\/h3>\n\n\n\n
![\"Welcome](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/FreshBooks-Welcome-Email-472x1024.png\")
\n
First login<\/h3>\n\n\n\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/mention-login-969x1024.png\")
Data import<\/h3>\n\n\n\n
\n
![\"Data](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Notion-Data-Import.png\")
Other emails<\/h3>\n\n\n\n
\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Evernote-additional-email-use-case.png\")
Product tutorials<\/h3>\n\n\n\n
\n
![\"Checklist](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/GoTo-Meeting-checklist.png\")
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Google-Drive-Tutorial.jpg\")
Documentation<\/h3>\n\n\n\n
![\"MailChimp](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2020\/02\/MailChimp-Knowledge-Base-1024x548.png\")
In-App Notifications<\/h3>\n\n\n\n
\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Harvest-in-app-576x1024.png\")
Checkup call<\/h3>\n\n\n\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/Customer.io-checkup-call.png\")
Swag<\/h3>\n\n\n\n
![\"SaaS](\"https:\/\/chartmogul.com\/blog\/wp-content\/uploads\/2015\/11\/ConvertKit-Form-and-Page-Creator-1024x561.png\")
The difficult truth about customer onboarding<\/h2>\n\n\n\n
\n