''' I sold my first company for a few million dollars when I was 27. My second exit, RemoteTeam, was acquired by Gusto. I’ve invested in over 200 companies, including giants like Anthropic, OpenAI, and Scale AI. People see the success, the exits, the portfolio. What they don’t always see is the grind, the sleepless nights, and the one thing that I believe is the secret weapon for any startup, especially in the Vertical SaaS space: community.
I remember when we were building MovieLaLa, a movie discovery app. We were just a bunch of guys with an idea, trying to compete with giants like IMDb and Rotten Tomatoes. We had no budget for marketing. So, what did we do? We built a community. We found people who were as passionate about movies as we were. We talked to them, we listened to them, and we built the product for them. That community became our marketing engine, our feedback loop, and our biggest asset. It’s the reason Gfycat acquired us.
Now, I see so many Vertical SaaS founders making the same mistake. They build a great product, they have a clear target audience, but they neglect the community aspect. They think it’s a “nice to have,” not a “must have.” They are wrong. In the world of Vertical SaaS, community is not just a moat; it’s the entire castle.
Why Your Vertical SaaS Needs a Community More Than Anyone Else
Vertical SaaS is a different beast. You’re not building a tool for everyone, like a generic project management software. You’re building a solution for a specific industry, a specific niche. You’re building for dentists, or plumbers, or lawyers. These people have their own language, their own workflows, their own problems. A generic marketing message won’t resonate with them.
You need to speak their language. You need to understand their world. And the best way to do that is to build a community where they can connect with each other, and with you. A place where they can share best practices, ask for help, and feel like they belong.
Think about it. When you’re selling to a specific vertical, your target audience is limited. You can’t just burn through leads with a massive ad budget. You need to build relationships. You need to build trust. A community is the most scalable way to do that. It’s your unfair advantage.
The Actionable Steps to Building a Thriving Community
So, how do you actually build a community? It’s not about just creating a Slack channel and hoping for the best. It’s a strategic process. Here’s my playbook.
1. Start with Your "Why"
Before you even think about platforms or content, you need to define your "why." What is the purpose of your community? What is the mission that will unite your members? For RemoteTeam, our "why" was to help companies build and manage remote teams effectively. That mission resonated with our audience and gave them a reason to join our community.
Your "why" should be more than just "to sell our product." It should be about helping your members achieve their goals, both professional and personal. It’s about creating a sense of belonging.
2. Identify Your Ideal Members
Once you have your "why," you need to identify your ideal members. Who are you building this community for? Be specific. Create a detailed persona of your ideal member. What are their job titles? What are their pain points? What are their aspirations? The more specific you are, the easier it will be to find and attract the right people.
Don’t be afraid to be exclusive. A community of 100 highly engaged members is more valuable than a community of 10,000 lurkers. Focus on quality, not quantity.
3. Choose the Right Platform
There are a ton of community platforms out there: Slack, Discord, Circle, and many more. Don’t just pick the one that’s trendy. Choose the one that’s right for your audience and your goals. If your audience is already on Slack, then that might be the best choice. If you want to create a more structured learning environment, then a platform like Circle might be a better fit.
We used Slack for the RemoteTeam community, and it was great for real-time conversations and quick feedback. But for my angel investor network, I use a more private, curated platform. The platform is the container, not the content. The conversations are what matter.
4. Content is King, but Conversation is Queen
Content is important for sparking conversations, but it’s the conversations themselves that build the community. Don’t just broadcast content. Ask questions. Start debates. Encourage your members to share their own stories and experiences.
Here are some content ideas that work well for Vertical SaaS communities:
- Case studies: Showcase how your customers are using your product to achieve success.
- Best practices: Share tips and tricks for their industry.
- Expert interviews: Bring in industry experts to share their knowledge.
- "Ask Me Anything" (AMA) sessions: With you, your team, or industry leaders.
- Challenges and contests: To encourage engagement and friendly competition.
Remember, the goal is to get people talking to each other, not just to you.
5. Empower Your Champions
In every community, there are a few members who are more active and engaged than others. These are your champions. They are your biggest advocates. You need to identify them, empower them, and reward them.
How do you do that? Here are a few ideas:
- Give them a special role or title in the community.
- Invite them to exclusive events or webinars.
- Give them early access to new features.
- Send them some company swag.
- Simply thank them publicly for their contributions.
A little recognition can go a long way in making your champions feel valued and appreciated.
6. From Online to Offline
Online communities are great, but there’s something special about meeting people in person. As your community grows, look for opportunities to bring your members together in the real world. This could be a small meetup at a local coffee shop, a workshop at an industry conference, or even your own annual conference.
These in-person events will strengthen the bonds between your members and create a deeper sense of community. It’s an investment, but it’s one that will pay off in the long run.
Metrics That Matter: How to Measure Your Community's ROI
As a SaaS founder and investor, I’m all about the metrics. But when it comes to community, the most important metrics are not always the most obvious ones. Sure, you can track things like member growth and engagement rates. But the real ROI of community is in the impact it has on your business.
Here are some of the metrics I look at:
- Customer retention: Are members of your community more likely to stick with your product? (Hint: the answer is almost always yes).
- Expansion revenue: Are community members more likely to upgrade to a higher plan or buy more products from you?
- Customer acquisition cost (CAC): Is your community driving word-of-mouth referrals and reducing your reliance on paid advertising?
- Product feedback: Is your community providing you with valuable feedback that helps you build a better product?
These are the metrics that really matter. These are the metrics that will convince your board that community is not just a cost center, but a revenue driver.
The AI Angle: Your Community’s Secret Weapon
I’m a huge believer in the power of AI. I’ve invested in some of the biggest names in the space. And I believe that AI can be a game-changer for community building.
Here are a few ways you can use AI to build a better community:
- Sentiment analysis: Use AI to analyze the sentiment of conversations in your community. This can help you identify potential issues before they escalate and understand what your members are thinking and feeling.
- Content personalization: Use AI to personalize the content that you show to your members. This can help you increase engagement and make your community more relevant to each individual member.
- Automated moderation: Use AI to automate some of the more tedious aspects of community moderation, like removing spam and flagging inappropriate content. This will free up your time to focus on more strategic initiatives.
- Identifying champions: Use AI to identify your most engaged and influential members. This can help you find your champions and empower them to help you grow your community.
We are just scratching the surface of what’s possible with AI in community building. The companies that embrace this technology will have a huge advantage over their competitors.
My Final Word: Just Start.
Building a community is not easy. It takes time, effort, and a genuine desire to connect with your customers. But it’s worth it. A strong community will be your most valuable asset. It will be your moat, your marketing engine, and your secret weapon.
So, what are you waiting for? Stop reading this article and go start building your community. Start small. Be consistent. And most importantly, be human. Your future self will thank you for it. '''
Frequently Asked Questions
How long does it take to build a community around your vertical saas product?
The timeline varies depending on your starting point and resources. For most founders, expect 2-4 weeks for initial setup and 2-3 months to see meaningful results. I've seen teams move faster when they focus on one thing at a time rather than trying to do everything at once.
How do I measure success with this approach?
Pick one or two metrics that directly tie to your goal and track them weekly. Vanity metrics like page views or follower counts rarely matter. Focus on metrics that reflect real engagement or revenue impact.
Do I need technical skills to build a community around your vertical saas product?
Not necessarily. While technical understanding helps, the most important skills are clear thinking and the ability to break problems into smaller pieces. Many successful founders I've invested in started with zero technical background and either learned enough to be dangerous or found the right technical partner.