Dear SaaStr: We’ve Only Raised $2m. Should We Sponsor Events Like SaaStr Annual?
Probably not—at least not yet. The expense isn’t working the stress on a tiny market budget.
You should go to the 2-3 leading events in your industry, at least. Maybe more. And sponsor the top ones when you can. But not if it will truly break the bank. And not if you don’t have some help on the team to staff them up properly.
Sponsoring SaaStr Annual can be a game-changer, but it’s also a significant investment, and with only $2M raised and a tiny marketing budget, it’s likely not the best use of your resources right now.
Here’s why, and what you can do instead:
1. Sponsorships Are Expensive—And ROI Takes Time
Sponsoring events like SaaStr Annual isn’t cheap. Even the smallest sponsorship packages can run into the tens of thousands of dollars, and that doesn’t include the soft costs—travel, booth setup, staffing, follow-up, etc. For a company with a limited budget, this can eat up a huge chunk of your runway without guaranteeing immediate ROI.
As you scale, the absolute expenses for events don’t — so in that sense, events and field marketing get “cheaper” as they consume less of your budget.
What to Do Instead: Focus on just coming and engaging. You don’t need a booth to make an impact. Attend SaaStr Annual as a regular attendee, network like crazy, and host a small dinner or meetup for potential customers or partners. These guerrilla tactics don’t drive new leads in the same way as a booth, but they do work.
2. SaaStr Annual Is Great for Scaling Companies
SaaStr Annual is packed with decision-makers—57% of attendees are VP-level or above. That’s amazing if you’re ready to scale and have the resources to close deals quickly. But if you’re still in the early stages, with limited bandwidth to follow up on leads or close deals, you might not see the ROI you’re hoping for.
What to Do Instead: Use SaaStr Annual to learn and build relationships. Attend sessions, meet other founders, and start building your network. You can always come back as a sponsor when your company is further along and has the budget to make the most of it .
3. Sponsorship ROI Requires a Strong Follow-Up Plan
The average SaaStr Annual sponsor gets 470+ qualified leadss. But turning those leads into revenue requires a strong follow-up process, which can be resource-intensive. If you don’t have the team or systems in place to handle that follow-up, you risk wasting the opportunity.
What to Do Instead: Focus on building your sales and marketing engine first. Once you have a repeatable process for turning leads into customers, you’ll be in a much better position to capitalize on a SaaStr sponsorship.
4. Build Awareness Without Breaking the Bank
At your stage, brand awareness is important, but it doesn’t have to come from a big sponsorship. SaaStr Annual offers plenty of opportunities to get your name out there without spending a fortune. For example, you could:
- Host a small dinner or happy hour for SaaStr attendees.
- Partner with another startup to co-host an event.
- Use social media to engage with the SaaStr community before, during, and after the event.
What to Do Instead: Focus on creative, low-cost ways to build awareness. For example, you could run a targeted LinkedIn campaign around SaaStr Annual or create content that aligns with the event’s themes.
Sponsor, But Next Year
Sponsoring SaaStr Annual is a great move for companies that are ready to scale and have the budget to make it work.
But for early-stage startups with limited resources, it’s often better to focus on joining the event and building your foundation first. Attend SaaStr Annual, network like crazy, and come back as a sponsor when you’re ready to go all-in. Next year.
You’ll be so bigger and strong then, and it won’t break the budget.
