Marketing Strategy Tips for Government Software Companies

November 29, 2021

In the SaaS industry, it's imperative to map out a clearly defined target market. This gives businesses a more acute sense of who they are trying to reach to tailor their products and digital marketing strategy towards this group.

Govtech companies can't market the same way B2C or even B2B companies do, as their customer base is in a completely different industry.

Acquiring government contracts for software can be difficult, but this is integral to business success and development if you are a B2G company. One thing that helps businesses looking to develop their online marketing to government customers is working with experts who understand digital marketing inside and out.

According to Gartner, global government spending on IT will increase by 5% in 2021. The government's willingness to engage with new software that improves processes is rising. Let's look at some marketing tips and strategy recommendations that business owners can utilize to better appeal to agencies, whether the local or federal government.


Market Intelligence is Critical

Very rarely are government organizations going to come to you. The sales cycle for government marketers is very different from other industries, which means the customer journey is unique. The standard way to acquire business in the B2G software space is by bidding on government contracts or direct marketing efforts. In either situation, finding government customers is going to require a significant amount of market strategy and intelligence.

Market intelligence research of the specific market you are trying to break into, including how target companies spend, competitors in the space, and much more. Market intelligence is something businesses across industries should prioritize. Market intelligence has defined value because it shows how to compete in a business's industry.

According to Evalueserve, 61% of companies strongly agree that they have benefited from Market Intelligence.

In the B2G industry, it is even more critical than the typical industry.

Much of government business runs on knowing when contracts are available, who companies have contracted with previously, and what they're looking for. There are many different subscription-based sources intended to help B2G businesses gather market intelligence. Both Bloomberg Government and GovWinIQ have built their business success around spotlighting opportunities for government contractors in local, state, and federal government. Having digital tools that provide crucial market intelligence will save time and provide essential information.


Tailor Your Bids and Outreach Based on Personas

Once you’ve gained some understanding of the industry and the players within it, you are likely ready to start developing your outreach. Before you do that, you need to refine your marketing through the use of buyer personas. Buyer personas can help improve marketing content and lead to more effective email marketing.

Whether your business model is built on outreach to contacts, outbound and inbound marketing, or bidding on contracts, buyer personas can go a long way towards shaping what you create to make it more personal and customized.

A buyer persona is a profile for a potential customer based on market research and some hypothetical thinking that should be as grounded in reality as possible. Buyer personas should be created for the key decision-maker being targeted. They should encompass things like the size of the agency/office, experience level, budgetary restrictions, goals, values, and more. They should be in-depth and specific to yield the best results.

According to HubSpot, using buyer personas made websites 2 - 5x more effective and easier to use for targeted customers.

Creating buyer personas for the government official or other decision-maker your business needs to reach will personalize your outreach to a significantly higher degree. Using market intelligence to research the agencies you need to target, understanding how they conduct business, and then turning those findings into personas will significantly improve processes. Whether the decision-maker is new to their job or over a decade in business, everyone prefers a more personal and targeted outreach.

Optimize Your Software Website for Federal Government Targets

The first thing a government agency is going to do when evaluating your business is look at your SaaS company's website design. Your business success is based on having a website that will appeal to the government.

According to TargetGov, a website is the primary research tool end-users and contracting offices use when researching sellers. This means your website has to be heavily optimized, so it shows up in searches, and it has to be built to appeal to government insiders.

A successful active business in the B2G industry will commit significant time to search engine optimization and website enhancement. It is vital to access SEO tools that will provide important keywords to target your specific government niche.

According to BrightEdge, 53.3% of website traffic comes from organic searches, and SEO drives 1000% more traffic than organic social media.

This would be more pronounced with government agencies, as they are less likely to be driven by social media content.

Once your lead has arrived on your website, having customer engagement strategies in place tailored to the government entity types you are trying to reach will lead to a better buyer experience. Your website should display prominently industry-specific experience, certifications, and benefits. It must appeal to your customer preferences. Rely on your market intelligence and buyer personas to guide you on this.


Stand Out from the Inbox

The typical government worker is going to have an incredibly crowded inbox. Constituents and citizens are very active in voicing their complaints and general opinions to government offices, so finding a way to stand apart will require a strong email marketing strategy. Once you've identified who to contact within a specific government office, there are several ways you should try to stand out if you are reaching out in a cold email.

One way is to build your email around solving the specific agency’s pain points. Many areas of government focus on financial management and cost-effectiveness as their number one priority. If this is the case for your target, market how your software tools will cut spending, or that you have a low price compared to the average costpoint for government contractors. Pain points should be a primary focus for your marketing because they show your business's value.

Another way to stand out from the inbox is through video in email. There is general feedback across marketing that video is a medium that stands out. A product demo or showcase in your email to a government agency decision-maker will make it stand out and contribute to a higher open rate.

According to Super Office, just the word "video" in a subject line increases the email open rate by 6%. The same report showed that video in email increases clicks by 65%.

 Finding a way to differentiate yourself is essential with email marketing. Whether you are using an email marketing platform or creating each email yourself, make sure to find ways to stand out in a crowded inbox. This is even more important for cold outreaches.


Ready to Launch An Effective Government Agency Marketing Plan for Your SaaS?

Marketing to the government has its difficulties. Relationship building is not as easy, the marketplace is entirely different, and your business has to be structured a certain way. A government project-based business will have to find a way to penetrate the industry with a strategic marketing plan.

There are several different ways to appeal to government management, many of which are connected. Using market intelligence to understand the industry better, building buyer personas to target customers more personally, optimizing your website specific to your industry, and making your email outreach stand out will help your pursuit of government buyers.

Customer satisfaction will ultimately determine your business' success, but customer acquisition is also integral. When it comes to customer acquisition, partnering with a leader in marketing and business intelligence for the SaaS industry is an undeniable asset.


Ready to learn what Insivia can do for you? Get in touch with us today to find out.

Insivia is an experienced team that has created and implemented marketing growth plans for businesses across industries. We work with businesses to create custom data-driven, actionable strategies that generate demand and lead to conversions.

With high-level B2G experience, a devoted customer service team that’s with you every step of the way, and proven marketing and sales expertise, Insivia is the right partner for your government software business.

About Insivia

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