Step-by-Step SaaS Onboarding: Drive Conversions with This Perfect Email Sequence

Onboarding is a critical phase in the customer journey for SaaS businesses. Effective onboarding can mean the difference between a trial user converting into a paid customer or abandoning your product altogether. I recently worked with a SaaS client called Flow XO, where we revamped their onboarding email sequence. The results were staggering: open rates jumped from a mediocre 18% to an impressive 40%. In this blog, I'll share the exact steps and strategies that led to this success and unveil the four essential rules of onboarding that you can replicate for your SaaS business.

The Goal: Turning Trial Users into Paid Customers

The ultimate objective of onboarding is to convert trial users into paid customers. To achieve this, your onboarding process must guide users to experience the value of your product by solving a problem they have. This crucial moment, often referred to as the "AHA-moment" or activation event, should be the primary focus of your onboarding emails. The faster users reach this moment, the more likely they are to continue using and eventually paying for your product.

Step 1: Identifying the Activation Event

Before you can design an effective onboarding sequence, you need to identify the activation event—the moment when a user first experiences real value from your product. Here are three methods to pinpoint this event:

1. Customer Interviews: If you already have customers, conduct interviews with recent users. Ask them to walk you through their initial experience with your product. Key questions to ask include:
   • What prompted you to start using [PRODUCT]?
   • What was the most frustrating aspect of [PROBLEM]?
   • At what point did [PRODUCT] click for you?
2. This final question helps identify the activation event, but it's crucial to ask it at the end of the interview, once the customer is warmed up.
3. Reverse-Engineer Actions: If you have a CRM or analytics tools like Mixpanel, analyze the actions that led to conversion for previous users. Identify the key steps that consistently result in users experiencing value.
4. Guesswork for New Products: If you're launching a new product and don't have user data yet, you'll need to hypothesize what the activation event might be. Consider the sequence of actions a user would need to take to realize the product's value, and test your assumptions through early user feedback.

Bonus Tip: Post-Conversion Emails

Once a user converts, send an automatic email 24 hours later, asking for feedback on the setup process. This not only improves user engagement but also provides valuable insights. Here's a template you can use:

"Hey {{customer.first_name}},
I saw you just became a customer of ours—thank you! My name is Yasen, and I’m working to improve our setup process.
Could we schedule a quick 20-30 minute chat sometime in the next few days?
You can book a call here, and I promise I'll make it worth your time!
{{insert calendly link}}"

Step 2: Designing the Onboarding Sequence

Now that you've identified the activation event, it's time to design the onboarding sequence that will guide users to that moment. I used an email strategy inspired by Dan Martell, which I’ll detail below. The Flow XO free trial lasted 14 days, giving us about 10 days to help users achieve first value and the remaining days to focus on converting them into paid customers.

Immediately: The Welcoming Email

What to Say: Confirm why the user signed up, usually to solve a problem. For example, if your SaaS product is a chatbot aimed at improving customer support, your welcome email might start with: "Hey [User], congratulations! You're one step closer to automating your customer support."

What to Cover:

• Confirm the problem they’re trying to solve.
• Explain what they can expect from your company.
• Provide helpful links.
• Outline the next steps they should take.

Day 2: Training

This is your chance to turn users into product experts. If you have a training resource that solves their specific problem, share it. If not, consider hosting a webinar, recording a training session, or offering weekly onboarding sessions.

What to Cover:

• Explain why they should watch it.
• Outline what they’ll learn.
• Include a CTA to watch the training.

Day 5: Case Study

By this point, you want to show users that others like them have achieved success with your product. Share a relevant case study to inspire them.

What to Cover:

• Describe the problem the client was facing.
• Explain how they used your product to solve it.
• Highlight the results they achieved.

Day 7: FAQs and Helpful Links

Address common questions users may have by this stage, as these could prevent them from moving forward.

What to Cover:

• Answer at least six of the most common questions you receive.

Day 10: Offer Help

By now, users should have experienced the value of your product. Offer them a chance to speak with you if they need any assistance.

What to Cover:

• A simple one-sentence email asking if they need help.
• Provide a link to book a call.

Day 12: Offer Professional Help

This is your upsell opportunity. Some users may see the value in your product but lack the time to implement it themselves. Offer done-for-you services.

What to Cover:

• Remind them that the trial is ending soon.
• Describe the service you offer.
• Explain how it works.
• Include a link to schedule a call.

Day 14: Final Offer

As the trial period ends, make a final push for conversion. This doesn’t necessarily have to be a discount; it could simply be a reminder of what they’ll lose if they don’t upgrade.

What to Cover:

• Recap what they’ve achieved so far.
• Explain what they’ll lose if they don’t upgrade.
• Remind them of the benefits others have gained from your SaaS.
• Include a CTA with a link to upgrade.

Day 15: Offer Another Free Trial

If the user hasn’t upgraded yet, consider offering them another free trial in exchange for completing a specific action that brings them closer to realizing your product’s value.

What to Cover:

• Ask if they want another trial.
• Offer the trial if they complete the action you specify.
• Include a CTA.

Step 3: Optimize the Sequence

After launching the sequence, track its performance closely. Initially, our open rates improved to 28%, but we wanted more. Through A/B testing—trying different subject lines, copy, images, and email structures—we gradually increased the open rates to 40%. It's essential to change only one variable at a time and test each change with 100-200 recipients to ensure reliable results.

Step 4: Optimize for Deliverability

One day, I noticed our open rates suddenly plummeted from 40% to 21%. The culprit? Our emails were landing in the promotions folder instead of the primary inbox. To fix this, I used a warm-up tool for our email domain, which gradually moved our emails back to the primary inbox. After just a week, our open rates recovered.

The 4 Rules of Onboarding

1. Be Personable: Write your emails as if you’re addressing a single person, not a crowd.
2. Have a Defined Outcome: Each email should help solve your audience's problem or guide them toward achieving it.
3. Daily Improvement: Continuously A/B test your emails to maintain and improve open rates.
4. Ensure Deliverability: Always warm up your sending domains to avoid the promotions folder.

To Summarize

To create the perfect email onboarding sequence:

• Define the moment of first value for your users.
• Design emails that guide users toward this moment.
• Optimize the sequence for high open rates through continuous testing.
• Warm up your domains to ensure your emails land in the primary inbox.

By following these steps and adhering to the four rules of onboarding, you can significantly improve your SaaS onboarding process and turn more trial users into loyal, paying customers.

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