Why Proximity to Clients Matters for SaaS Companies

SaaS, or software as a service, is a business model that has become increasingly popular in recent years. In this model, companies provide access to software applications to clients on a subscription basis, allowing clients to use the software without having to install it on their own devices.

SaaS providers tend to run their digital services online-only. Even though this is very cost efficient, it’s becoming important to re-evaluate this strategy and consider moving closer to clients and markets.

As a VR SaaS company, EXP360 understands the importance of proximity for the success of our products and services. With offices in multiple countries throughout Europe and Australia, and running a global network of reselling partners, we have carefully considered the benefits of proximity in terms of communication, collaboration, trust-building, and support.

In this post, we explore why proximity matters for SaaS companies like EXP360, and how it can help to ensure the success of products and services.

One of the key benefits of proximity to clients for SaaS companies is communication and collaboration. If a SaaS company is located close to its clients and partners, it is much easier for them to meet in person, discuss their needs, and work together to find solutions to their challenges. Additional services like in-house maintenance, customisations, or upselling possibilities are easier arranged.

Vice versa, a close proximity can help clients to better understand the features and capabilities of the SaaS offering, and can provide Saas providers with feedback.

In contrast, if a SaaS provider runs its services online only, it may be more difficult to schedule meetings and collaborate effectively, which can hinder the success of its products.

Besides facilitating better communication and collaboration, proximity to the markets and clients can also help to build trust and strengthen relationships. When clients and partners can easily meet with a company in person, it can help to build a sense of familiarity that can be difficult to establish over long distances.

Face-to-face interactions can help to build trust and establish a rapport between the different parties, which can be critical for building long-term relationships.

Proximity can also be important for a SAAS company when it comes to providing support and assistance to its clients and partners. When a company is located close to its clients and partners, it can more easily respond to their needs and provide timely support and assistance. This can be critical for ensuring the success of a SAAS company’s products and services.

A close proximity, for example if business partners share the same timezone, can help clients to better understand the features and capabilities of the company’s products, and can provide them with the assistance they need to use the products effectively.

Cultural affinity, or the shared cultural norms and values between a company and its clients and partners, can be important for the success of SaaS companies like EXP360. For global companies, it’s important for the success to be able to share, understand, and incorporate the cultural norms of clients.
By sharing similar cultural backgrounds, SaaS providers can better understand needs and preferences. Support and assistance is tailored to specific requirements, and embarrassing mistakes in 1:1 human interaction can be avoided. Besides, if a service provider and its clients speak the same language, communication runs much easier.

Cultural affinity can also help to foster a sense of partnership and collaboration between EXP360, its partners as well as its clients. By sharing similar cultural backgrounds, EXP360 and its clients and partners can more easily work together to develop tailored solutions. This can help to build stronger, more collaborative relationships that are essential for the success of a SaaS products.

Establishing a global network of reselling partners can be beneficial for SaaS companies in several ways.

First, it can help to expand the reach of a SaaS company’s products and services to new markets, regions, and clients.

Second, a global network of reselling partners can also help to increase the expertise and knowledge of a SaaS company’s products and services. By partnering with resellers specialise in specific fields, a SaaS company can gain access to a wealth of knowledge and expertise that can help to improve its products and services. This can be crucial for a SaaS company that is looking to expand into new industries or markets.

Third, a global network of reselling partners can also help to build trust and credibility for a SaaS company. By partnering with resellers who are well-respected and trusted in their respective fields, a SaaS company can gain credibility and trust among its clients and partners.