Why SaaS isn’t the best approach to selling to the NHS
When it comes to selling Digital Health products to the NHS I’ve discovered that most businesses make this mistake. They focus on selling on a SaaS basis. It’s a mistake because isnt
1. The majority of NHS organisations still buy from their capital budgets.
2. Most NHS organisations struggle to buy from their operating budgets.
3. All NHS organisations have to budget, so flexible pricing can be a struggle when thinking about cost certainty.
4. Procurement frameworks generally favour capital expenditure.
The consequence of selling on a SaaS basis to the NHS is
1. You make it hard for the majority of your buyers.
2. This gives you less pipeline visibility and costs you more in time and effort.
2. The sales lifecycle extends because you are forcing your customers to buy the way you want them to buy, instead of the way they can easily buy from you.
Instead, turn your SaaS model into a “Tiered Volumetric Pricing Model”
The result will be faster sales (assuming you are providing a solution to a real problem that needs to be solved of course) because you make it easy for your NHS customers to buy from you.
Remember: We all should be focused on understanding our customers – that includes how they can and want to buy from you.
