ux/ui, product design ⁕ 29 nov 2024
ux/ui, product design ⁕ 29 nov 2024
The SaaS landscape is more competitive than ever, with users demanding intuitive, seamless experiences from the moment they sign up. Yet, 8 out of 10 users abandon apps because they don’t know how to use them (source). This statistic highlights a crucial truth: acquiring users is only the beginning. Success lies in converting those signups into loyal, engaged customers—and that’s where SaaS onboarding shines.
SaaS onboarding is more than just a welcome tour or a series of emails. It’s the art and science of guiding users to their “Aha! moment”. Whether you’re designing a mobile app onboarding process or creating a flow for a complex B2B SaaS onboarding, the goal remains the same: deliver value, quickly and efficiently.
At INSAIM, we know this inside out because we specialize in UX/UI design for startups and IT companies. The following is drawn from our experience.
In this guide, we’ll explore SaaS onboarding best practices, highlight common mistakes, and provide actionable strategies. Whether you’re starting from scratch or refining an existing SaaS onboarding process, this comprehensive guide will help you create an onboarding experience that drives retention, revenue, and satisfaction.
At its core, SaaS user onboarding is about guiding new users through your platform in a way that helps them achieve their goals. 63% of customers consider the onboarding experience a deciding factor when subscribing to a SaaS service. It means that your onboarding isn't just a nice-to-have; it's a crucial part of your sales funnel. Onboarding is about showing users your product’s value and turning them into loyal customers.
“Aha! Moment”: The heart of customer onboarding SaaS lies in achieving the moment, where users experience the product’s value firsthand.
For example, based on the user's answers during onboarding, Opal immediately calculates how much life time they will save by using the application. This creates the "Aha!" moment for the user, because who wouldn't want to save 6 years of their life?
Time to Value (TTV): The faster users see value, the better. A smooth SaaS customer onboarding process minimizes the time it takes for users to reach their “Aha!” moment.
For example, when using Motion, a productivity AI tool, users immediately see the value after completing the onboarding process – their Google Calendar integrates seamlessly with Motion, displaying their tasks instantly and allowing them to start using the tool right away!
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Some SaaS services demonstrate value early in the onboarding process by providing actionable insights or showcasing functionality right away. For example, Grammarly analyzes a sample document during onboarding, highlighting errors and suggesting improvements, which immediately demonstrates how its features enhance writing. Similarly, Google Analytics offers an overview of a sample dashboard during the setup process, showcasing the types of insights users can unlock with their data. By adopting this principle to your onboarding you accelerate TTV and enhance user engagement.
Here’s how to get it right.
Avoid overwhelming users with information. Instead, break the SaaS onboarding process into manageable, actionable steps. Mobile app onboarding can use tooltips or checklists to guide users gradually.
For example, Otter.ai avoids overwhelming users with its onboarding process by providing a simple four-step guide using tooltips.
Show users only what they need to know to activate. Features that don’t serve immediate goals can wait.
Notion personalizes its onboarding by asking users whether they plan to use the tool for personal projects, team collaboration, or school purposes. Based on this input, it tailors the features and setup guides presented, creating a more relevant experience for each segment.
Acknowledging user achievements builds positive momentum.
Wellfound uses a simple yet effective method of celebrating users' completion of onboarding by acknowledging their achievement and making them feel accomplished.
Asana project management tool celebrates milestones by displaying animated creatures, like unicorns, when users complete tasks. This gamified approach keeps users motivated and creates a sense of accomplishment
Consistency in visual design, tone, and branding across onboarding flows ensures a seamless experience. This is especially important in mobile app onboarding design.
Offer a “skip” option for onboarding steps. This respects users’ time while giving them the freedom to revisit the onboarding SaaS process later.
Even the best intentions can lead to bad outcomes. Here are the biggest pitfalls:
Overloading Users: Too much information at once causes cognitive overload.
Ignoring Feedback: Many users won’t vocalize their frustrations unless asked.
Generic Messaging: Personalization is key; avoid impersonal greetings like “Dear Customer.”
Lengthy Onboarding: Users are less likely to finish onboarding if it feels like a chore.
It must be noted that long onboarding is not always a bad idea. Lengthy onboardings can be beneficial for complex SaaS products. Tools like Miro and Asana guide users through detailed workflows, ensuring they fully grasp the software’s capabilities, which boosts Conversion to Paid Plans. Specific domains, such as Enterprise solutions, HealthTech and FinTech rely on detailed onboarding to build user confidence, engagement, and loyalty.
Perfect for grabbing attention with a welcome message or key call to action.
Asana uses modals to provide in-app guidance, such as notifications or prompts for completing specific tasks. For example, when a user sets up their first project, a modal walks them through adding tasks, assigning teammates, and tracking progress, ensuring a smooth introduction to the platform.
Remote uses modals to help users get acquainted with the tool, grabbing their attention and making it easier for them to see the value of the product while simultaneously learning how to use it.
Offer contextual help where users need it most, such as highlighting new features.
Klarna uses tooltips with illustrations that grab attention and explain the functions of the application.
Break complex tasks into smaller steps, creating a sense of progress.
Monzo and Monarch successfully use checklists to provide small dopamine boosts for users each time they complete an item on the list.
Subtle cues to draw attention to key features without overwhelming the interface.
Feedly uses hotspots during onboarding to guide users through key features ensuring users quickly understand the tool's core functionalities and value
Grammarly uses a step-based progress bar to guide users through its onboarding, such as setting writing goals and installing browser extensions. The visual indicator clearly marks each step completed, making the process straightforward and satisfying
Airtable uses a progress bar integrated with its customization process, such as setting up a workspace or importing data. The visual progress helps users stay on track and gives them a sense of accomplishment as they complete each stage
Activation Rate: Tracks the percentage of users reaching the activation moment.
Churn Rate: Measures how many users drop off during onboarding.
Retention Rate: Indicates how many users stay engaged over time.
Completion Rate: Tracks the percentage of users who finish the onboarding process.
Engagement Rate: Shows how actively users interact with your app post-onboarding.
Conversion to Paid Plans: A key metric for understanding how well onboarding communicates value.
Here’s a tip: many successful SaaS products offer better deals to users who at first decline to buy a subscription. This strategy is called a "win-back offer". It gives users an extra chance to reconsider buying a subscription. For example, products like Spotify and Dropbox often provide discounts or extended free trials after a user shows hesitation to subscribe. By implementing a win-back strategy you can boost Conversion to Paid Plans.
Onboarding Metrics Optimization
Identify drop-off points and refine those areas.
Use A/B testing to compare onboarding flows. Present two or more variations of an onboarding process to different groups of users and analyzing what performs better: shorter steps versus detailed guides, this or that greetings phrasing, etc.
Collect feedback via surveys to uncover hidden bottlenecks.
When setting up SaaS onboarding, businesses must choose between building a custom solution or using a third-party tool. Each option has its own benefits and challenges, and the right choice depends on your company’s needs, budget, and goals. Here’s a simple breakdown to help you decide.
Building In-House
Pros: Full control, tailored to your needs.
Cons: High development costs and time investment.
Buying a Tool
Pros: Quick deployment, built-in analytics, and lower upfront costs.
Cons: Limited customization compared to in-house solutions.
In 2025, the SaaS customer onboarding experience is more important than ever. With the right strategies, tools, and a user-first approach, businesses can craft onboarding flows that convert, retain, and delight users.
By applying these SaaS onboarding best practices and tracking the right metrics, your SaaS onboarding process can evolve alongside your users’ needs. Whether you’re designing a mobile app onboarding flow or tackling B2B SaaS onboarding, remember: great onboarding doesn’t just introduce users to your product — it turns them into loyal advocates.
Ready to optimize your onboarding process? Schedule a call, and let us perform a UX/UI audit to showcase your strengths and uncover growth opportunities. Your users—and your bottom line—will thank you.
