What Is a SAAS Proposal?

Software as service proposal or SAAS proposal is a business document that details the worth of new products or software. The construction of the SAAS proposal often comes from the sales department or a sales representative. It exhibits how a company benefits from the proposed software, including relevant information on its functionality. A well-written SAAS proposal brings in numerous customers to software vendors by identifying the needs of the consumer market. Sales representatives promote problem-solving capabilities rather than emphasizing the product. The software vendor must find a way to make their buyers aware of the possible problems they currently face and identify the source of demand. The objective of the SAAS proposal is for a seller to market their subscription plans to potential customers and current enterprise consumers. Writing the SAAS proposal often follows a client showing interest in the solution provided by the vendor.

According to the statistical data provided by Gartner about the trends surrounding cloud-related services, the global cloud adaption continues to evolve and expand rapidly for the next years. The forecast states that end-user spending on these services will reach an estimate of 482 billion US dollars by 2022 from 396 billion US dollars in 2021. It shows a growth rate of over 21 percent.

Components of a SAAS Proposal

There are different ways to accomplish a sales proposal, and the SAAS proposal is no different. Writing the document for the first time appears challenging and lengthy. However, after doing one or two, the process becomes more manageable. The length of the proposal must be sufficient enough that the reader understands its contents and keep their attention. When writing the SAAS proposal, assume that the audience is not present during the product presentation or demonstration. Below are the necessary components of a SAAS proposal for a business deal.

Cover page or folder: The cover must have a professional design to start. After all, it is the first thing that the reader sees when handling the proposal. Whether the company plans to use a folder or page, providing an eye-catching design to communicate professionalism and expertise is crucial. Take the time to be creative and deliver what you can. The cover page must indicate the logo and company name of the client, along with the name and title of the individual handling the proposal. It must also include the name of the solution and its purpose, the contact information of the vendor, the present date, and the expiration date of the proposal. Cover letter or introduction: The proposal cover letter serves as the introductory section. It is similar to the cover letter that applicants use. It must be one page in length with a high-level introduction to the company and the resources or actions it can provide the client. It must include the date, client address, contact, title, and company name. The first paragraph must inform the reader about the company and the purpose of the document. The second paragraph notifies the client of the proposed SAAS solution and its benefit to their company. The last paragraph must indicate the advantages of working with the company vendor. Sign the letter with the name, title, and contact information coming from the selling company.Client background: Any sales proposal must stand on its own. Meaning whoever holds the document acquires all the essential information about the project and the offering of the vendor. The introductory detail is helpful to add context to the proposal. The client background must indicate information about the client that contributes to the proposed solution, including their industry, site location, number of employees, and users list. It must also state the software and hardware currently available to the organization and whether or not it affects the proposed solution. It must also highlight the reasons behind considering the solution and an explanation of their accomplishment plan.Vendor background: The section introduces seller information through a brief description. It is a way to build trust and establish credibility as a software vendor. When introducing the seller company, indicate the name of the organization, its headquarters, and the year it was founded. The section also highlights the services that the company provides its clients. If the company is already a large-scale business, it must indicate the number of employees currently employed. Adding statistical information also helps, including the number of serviced clients, installed license count, and other metrics that provide positive information about the organization. It must highlight the advantages of clients working with seller company and what makes it different from the others. This is called the unique selling proposition or USP.Client problems and pain points: In this section of the SAAS proposal, the seller company organizes, prioritizes, and clarifies the problems the client is currently experiencing. Indicate information, including the struggles the client is facing, directly affected departments, teams, and individuals, the effect of the issues toward the organization, the results of the problem analysis that the client fails to recognize with its corresponding explanations, and additional resources in different media channels, including traditional and social media, that make a stronger pitch. Vendors must be aware of how businesses relay their issues. Effectively communicating this section of the proposal enables clients to find positive solutions to their problems.Solutions: This section of the SAAS proposal describes the solution of the vendor and the technique of improving the company and user experience. It includes the solution and its benefits, most beneficial features addressing the problem highlighted in the previous section according to its relevance, role of the firm in achieving organizational goals, company stature with the installed system, employee livelihood improvements, and client future after successful initiation of the program. Indicate sub-headings to highlight various processes of the application and describe the application features that develop into a benefit. Implementation and milestones: In this section of the proposal, the vendor indicates the procedures and methods to implement the solution from beginning to end. It is also crucial to include the obstacles and hindrances faced in the project timeline. The section also solidifies the expertise and experience of team members working on the project.Training, technical support, and customer service: The section demonstrates that the team members from the selling company are there to guide and support all operations in solving the issues. It describes the content of training sessions, means of instruction, length of the training program, and impact on employee workload. The section also indicates different channels employees can reach the software provider in case they need further assistance. It must cover the methods of getting customer service, service level agreements and response times, and escalation processes.References: Indicate two to three previous clients that can speak for the company and its products on its behalf. Include customers that belong in similar industries, locations, and significant reputations. Sign off with clients before writing them on the reference list, including their contact information.Pricing: As part of the SAAS proposal, the vendor includes a pricing proposal. Companies check this section to guarantee that the prices align with their budget plan, further reading into the proposal contents. In writing the pricing section, include all information in the project presentation. If an activity or action requires a third-party vendor, the price list must also indicate all associated costs. Make sure to indicate the expiration date of the proposal. About the team: The section highlights the team members working on the project. It includes the names, titles, skills, expertise, roles, and responsibilities, similar to a professional resume. If they have involvement in previous projects similar to the current program, highlight these details. The section must also incorporate professional headshots from the team members.Summary and sign-off: The summary section must include a compelling argument that inspires and persuades the client to take necessary actions. It must remind the customer of the reasons behind seeking solutions, highlight the significance of dealing with the vendor, provide examples for the next step, describe the possible future of the client after implementing the program.Attachments: In the attachment section the vendor includes significant literature, including case studies, testimonials, specs sheets, and datasheet. The attached documents to the SAAS proposal are those that add substance and enhance the project.

How To Create a SAAS Proposal

When writing the SAAS proposal, keep in mind that the principal purpose is to attract potential clients to avail of the services you offer. The document must be straightforward and convincing, redefining the value proposition of company services and their benefits to clients. Various factors influence the creation of the SAAS proposal. Below are helpful tips in writing the document.

  • 1. Focus On the Prospects

    Make the SAAS proposal in a way that the potential client wants to give it a read. Assuming that they took the time to scan the document means that they put some thought into its contents and your company offerings. Ensure that you and the client are on the same page by emphasizing the benefits of SAAS systems to reduce work hazards and develop business needs through innovation. Focus on the problems that the prospect needs to address and highlight the features of the software that the company sells. Stress the importance of the services you offer to answer client issues, cope with obstacles, and support existing organizational systems.

  • 2. Provide Various Options

    When it comes to consumer behavior, prospective clients show interest in purchasing or acquiring goods or services when there are various options available. Design the SAAS proposal as such to entice the customer into buying from your company. Incorporate flexible terms and conditions when presenting various options through packages, deals, and plans. These selections give the convenience of the choice that benefits them the most. The chances of prospects to purchase services are higher if they are presented with multiple options. A company can also provide a trial period for particular software to increase purchases then offer a premium package once the free trial is over.

  • 3. Emphasize Points by Using Comparisons

    The software industry contains different organizations that compete with each other. For a business to stand out, there must be distinguishable factors that they must highlight to set them apart from the rest. These comparisons are better approaches to convince prospective clients that your organization is the better choice instead of listing down all the services you can offer. Introduce these contrasts by establishing additional features that the software provides that are not available in others. The proposal is the best medium to set your product apart from others.

  • 4. Customize the Perks You Offer

    Software services vary from one user to another, depending on the issue or problem that they want to address. Indicate the different features that the software offers to a variety of users, categorize these services, and create a proposal that fits the needs of a client. It becomes easier to convince consumers to buy a particular product if they believe that it is specifically for them. Word selection is also critical in this situation. The quality of the proposal greatly influences the sales abilities of the software they are promoting. If the proposal does not attract or convince a client to make the purchase, it is ineffective. Being wary of what you include in the proposal makes or breaks future deals with companies.


What are the contents of a sales proposal?

There are several essential items or components in a sales proposal. It includes the cover letter, customer motivations, executive summary, possible outcomes, price tables, sales action plan, social proof, usability, and accessibility.

How do you develop a proposal for acquiring new equipment?

You must identify the equipment you need to purchase, detail equipment use, list the benefits of acquiring the equipment, identify the person responsible for equipment maintenance and handling, indicate possible individuals with equipment access, verify the installation timeline, and list reasons for insufficiency, undersupply, or expiration.

What are the elements of a sales message?

A sales message refers to a sales pitch or sales piece. There are five fundamental elements of a sales message, including the audience, message, offer, voice, and lingo.

The SAAS proposal allows software companies to attract customers to purchase their products or systems. Clients who buy the products plan to address the issues and problems faced by respective organizations. A software company needs to tailor the contents of its proposal to improve the daily activities and operations or solve the concerns of prospective clients. For a SAAS proposal to attract the attention of prospects, they must highlight their strengths by indicating add ons or features to their initial software propositions. Create an effective SAAS proposal for your company by downloading the samples available in the article today.