Zendesk, one of the most prolific SaaS companies, achieved a remarkable milestone of $1 billion in revenue a few years ago and has continued to maintain its relevance and drive revenue growth by effectively implementing a proven go-to-market (GTM) strategy.
I will analyze and break down their entire strategy from start to finish, allowing you to learn from their approach and successfully launch your own SaaS product.
Zendesk has a market-first Product Framework where they introduce new products and features based on the latest trends. This is a very popular framework used by nearly all top SaaS companies. You can see it in the graphic below.
The idea is to introduce new products and features based on market trends and continuously innovate to stay relevant and up to date with evolving microtrends. Failure to do so can lead to being overtaken by competitors.
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Zendesk does not target any particular niche, industry segment, or company size. Instead, it strives to be a general helpdesk and CRM solution suitable for companies of all sizes and industries.
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One of the most important aspects of product positioning is differentiating your offerings from those of your competitors. As you can see in the table below, it quickly becomes clear where Zendesk sits in the competitive landscape and who they cater to.
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One of the best aspects of the Zendesk product suite is its clear and concise product messaging. While the Sunshine platform’s name might not immediately convey its purpose, Zendesk for Service and Zendesk for Sales clearly indicate their functionalities.
One of the most unique aspects of Zendesk is its readily available demo on the homepage. This contrasts with most major SaaS companies, which require users to sign up before experiencing the product. This readily available demo likely contributes significantly to Zendesk’s low churn rate.
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Even the benefits are very simple and easy to understand, immediately resonating with heads of customer experience and business owners. While details about each benefit are missing here, Zendesk makes it incredibly easy to grasp the value proposition of using their platform.
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Ultimately, any business wants to save money and time. Zendesk understands this well and highlights the ROI of using their services on their website’s front page. This effectively justifies the software’s cost and its benefits for customers.
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One of the most powerful tools to boost conversion rates on a homepage is incorporating specific customer testimonials and case studies that resonate with your ideal customer. Social proof has been extensively studied in marketing and remains one of the most effective strategies to drive revenue and build trust.
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Zendesk organizes its content using a topic cluster model. This model allows you to organize all your content around a main topic and subtopics.
Each topic cluster has 3 components:
- Pillar Pages
A pillar page discusses the content in general, providing a high-level overview of the subject.
- Subtopics
Subtopics delve deeper into the content of the main pillar page. Each pillar page can have up to 25 subtopics.
- Hyperlink
Pillar pages and subtopics should each have links to each other, effectively interlinking them.
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Utilizing the topic cluster strategy, Zendesk drives 4 million views to its website per month purely via SEO and ranks for over 700,000 organic keywords.
Notably, Zendesk ranks first for industry category keywords relevant to their software. This strategy not only enhances their brand value but also attracts targeted prospects to their website.
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Interestingly, many companies leverage the Zendesk documentation tool, creating brand awareness by proxy through its use by companies like Zillow, Nearpod, and Khan Academy. By driving approximately 200,000 organic website visitors per month, Zendesk not only benefits from SEO clicks to its domain but also builds its reputation by showcasing its adoption by other top companies.
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Zendesk utilizes approximately 7,200 keywords, generating roughly 154,400 visitors per month and incurring a monthly cost of approximately $1.5 million.
In conjunction, they run approximately 4,200 advertisements, with some targeting industry-specific keywords like “customer service,” “chatbots,” and “VoIP calls.” These ad copies effectively communicate the primary benefits of Zendesk tools, as exemplified by statements such as “Turn every opportunity into a potential sale with Zendesk support tools” and “Increase ROI with cost-saving tools that require fewer agents to operate.
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They mainly target two types of keywords:
1. Competitors: Zoho, Freshworks etc
2. General Industry Software terms: Chatbot, helpdesk, customer service.
Prospective customers typically research software and tools through online reviews before making a purchase decision. Recognizing this, Zendesk actively seeks positive reviews on review websites to subliminally enhance its brand value. This strategy leverages the natural tendency for people to be more inclined towards options with a higher volume of positive reviews.
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Zendesk recognizes the power of events in fostering community and industry belonging. They leverage a combination of live and pre-recorded (on-demand) events to deliver industry updates and educate customers on business-related topics. This content strategically builds trust with customers over the long term. Each piece can be updated with recent developments and repurposed to drive further engagement.
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Ultimately, marketing and sales success hinges on your authority within your niche or industry. One of the most effective strategies to build authority is to establish yourself as a trusted institution by providing certification and training programs. While this approach may not be optimal for smaller SaaS companies, it becomes increasingly necessary and impactful for large organizations.
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