Clouded Judgement

SEPTEMBER 29, 2023

As a reminder - the average software multiple from 2010-2020 was ~7.8x, and the average 10Y over that same period was ~2.3%. What’s been most surprising to me is how resilient software valuations have been in the face of pretty massive moves in rates. The current median multiple is ~5.7x. So what’s going on?

Cloud 190

Cloud Government Banking Software Review 190

Clouded Judgement

JANUARY 13, 2023

As a reminder - from 2010 - 2020 the average 10Y rate was ~2.3%. That was more broadly a period of ZIRP, and it’s interesting that today the 10Y isn’t hugely different from where it was in the period of 2010 - 2020 Morgan Stanley CIO Survey Everyone is eagerly awaiting 2023 forecasts to be “de-risked.”

Cloud 130

Cloud Forecasting Payment Features Subscription 130

Clouded Judgement

DECEMBER 22, 2023

The median projected growth rate today is 14% The piece left out of the analysis is interest rates, which are obviously higher today than the period of 2010 to 2020. During the period where the long term average multiple was 7.8x, the median projected growth rate was 27%.

Cloud 184

Cloud Payment Features Subscription Revenue 184

Clouded Judgement

OCTOBER 21, 2022

And to get ahead of some questions, the long term average I’m using is from 2010-2020 (so excluding the crazy multiples of Covid). The average 10Y in the period of 2010 - 2020 was ~2.3%. I don’t think it goes back to ZIRP, but I think it looks closer to the average from 2010 - 2020 than what it does today.

Cloud 130

Cloud Software Review Payment Features Subscription 130

Clouded Judgement

SEPTEMBER 27, 2024

Microsoft launched Azure in 2010, and Google launched GCP to the public in 2011 (they launched a preview of Google App Engine in 2008, but made it publicly available in 2011). Subscribe now Foundation Models Are to AI what S3 was to the Public Cloud Many people look at 2006 as the birth of the public cloud - the year Amazon launched AWS.

Cloud 176

Cloud GCP(Google Cloud Platform) AWS Azure 176

Intercom, Inc.

MAY 10, 2018

Those working in growth and retention must continually seek “fresh powder.”. When I think about growth and Dropbox, Drew Houston’s classic talk from the 2010 Startup Lessons Learned Conference immediately comes to mind. The interesting early story there is that they had amazing retention but not a lot of top-line growth.

Acquisition 224

Acquisition Marketplace as a Service Retention Startup 224

Clouded Judgement

NOVEMBER 3, 2023

This growth adjusted premium also comes at a time when the 10Y is nearly double what it was from 2010 to 2020. So what’s holding up software stocks valuations?? Companies with negative NTM FCF are not listed on the chart Scatter Plot of EV / NTM Rev Multiple vs NTM Rev Growth How correlated is growth to valuation multiple?

Software Review 167

Software Review Cloud Software Azure 167

Clouded Judgement

JUNE 16, 2023

Said another way, the median NTM revenue multiple is ~23% below it’s historical average, but forward growth expectations are the lowest ever (~40% below historical average), and the 10Y is ~40% higher than it’s historical average (from the period 2010-2020). Median NTM Growth Rate was ~25% Median 10Y was ~2.3%

Cloud 130

Cloud Software Payment Features Subscription 130

Clouded Judgement

FEBRUARY 24, 2023

So today, the median multiple is ~25% lower than where it’s longer term average (pre 2010 we don’t have much data on cloud software multiples as there weren’t many public cloud software companies). It makes sense the median multiple today is lower than the 2010-2020 average given the difference in rates.

Cloud 130

Cloud Payment Features Subscription Revenue 130

Buffer Resources

JUNE 12, 2023

Data Retention Buffer stores all your data for as long as you need it, regardless of your plan and how long you've used Buffer (some customers have used us for over 10 years). Data retention limits with Agorapulse 11. This makes historical benchmarking and analysis challenging.

Social Media 108

Social Media Artificial Intelligence Management AI 108

Intercom, Inc.

JANUARY 18, 2023

And we see how that has a very good impact on learner retention and success. This was all the way back in 2010. And one of the things I got very wrong was that, in 2010, I thought the road of educational systems in the United States was going one-to-one, one device to every student. I thought my job was going to become easy.

Scale 205

Scale Education VP of Engineering Technology 205

SaaStr

NOVEMBER 19, 2019

We have 99% customer retention. Nancy Ham : We have over 100% MRR retention. We hit a million dollar run rate by 2010. In 2010, we decided to go out in Phoenix to do an angel round of funding. In enterprise software, it’s all about contracts, long term contracts. They said, well trying to be nice to the new CEO.

Scale 187

Scale SMB VP of Engineering Leadership 187

SaaStr

JULY 16, 2019

Kind of based on the first say 15-20 customers we were able to raise another Angel Round in 2010. Based on that, sitting with kind of a couple hundred corporate customers, really high retention rates, good growth in our revenue, we decided to raise our first Institutional Round in 2014 and expand our product line. It took a long time.

Scale 154

Scale Product Marketing Scaling Marketing 154

Intercom, Inc.

JULY 11, 2019

Since 2010, he’s helped the company grow to more than 40,000 customers and helped scale the support team to more than 500 employees to assist those users. That tends to have metrics that are maybe tied more closely to the product: things like usage, adoption, retention, etc. You need to measure the whole thing in some other way.

Scale 188

Scale Scaling Sales Hiring Underperforming Technical Team 188

Baremetrics

AUGUST 6, 2021

mostly referred to as Stripe) was founded in 2010. Growth Retention Subscriber Information Product Information Collections Information What is a Stripe Custom Report? The metrics are included under the Growth, Retention, Subscriber Information, Product and Collections Information categories. Stripe, Inc.

Payment Services 98

Payment Services Payments SaaS Payments Payment Methods 98

Stax

NOVEMBER 20, 2023

TL;DR Founded by American Express in 2010, Small Business Saturday encourages consumers to shop at local small businesses. It was established by American Express in 2010 and gained official recognition from the US Senate the following year. Offer loyalty rewards and discounts to foster retention. Small Business Saturday , a.k.a.

Payment Methods 88

Payment Methods Merchant Services Payment Services Stax 88

Intercom, Inc.

JUNE 7, 2018

Adam: “Growth hacking” is a term you coined in 2010, but since then a lot of alternative definitions have sprung up. If users had a great first experience, retention improved at ton. There’s a lot of misinformation out there (about growth hacking), and we’re trying to show people how to approach it correctly.

VP of Engineering 196

VP of Engineering Growth Hacking Underperforming Technical Team Onboarding 196

SaaStr

APRIL 30, 2022

And account management, which is basically around for retention and also upsell of different products. When Patrick and John in 2010 were at Y Combinator and spend their days doing office hours with the whole Y Combinator and a little water in the valley. These are fundamentally different models. Again, there’s no rule here.

SaaS Payments 246

SaaS Payments Metrics Payment Methods Scale 246

FastSpring

JANUARY 26, 2024

The realization of value in the product by meeting customer’s goals will endear the product and the company to customers, increasing retention and therefore ARR. But the the, I suppose the proper answer would be that this was probably back in 2010. And as a result, increased productivity, increase staff retention, etc.

Customer Success 158

Customer Success VP of Engineering Payments Payment Methods 158

ChurnZero

JANUARY 13, 2022

As the lynchpin to customer retention, his history in providing best-in-class customer experience will elevate the customer journey and drive continued ComplySci growth. Ellen joined Forescout in 2010 and has been instrumental in driving cross-functional efforts between sales, product, and engineering to deliver on customers’ technical needs.

VP of Engineering 98

VP of Engineering Customer Success Outsourcing Services Technical Review 98

Baremetrics

FEBRUARY 6, 2022

Always consider the seven Rs of customer retention - simply because it’s more cost-effective and profitable to retain an existing customer than attract a new one. The important thing to remember is that while you will always have customers who leave, knowing why they abandon you is vital.

Metrics 106

Metrics Social Media Scale Churn 106

Frontegg

MAY 27, 2021

Product-Led Growth (PLG) is a consumer-centric scaling, conversion, and retention philosophy that uses the product itself as the primary growth driver. Founded: 2010 Known customers: Okta, Knewton, Study.com, Doodle, Percona, Freedom Price starts at: $249/month. #7 Best For: Customer Support Services.

Payment Solutions 98

Payment Solutions SaaS Payments Payments Scale 98

Neil Patel

SEPTEMBER 8, 2020

If you’re running a restaurant, for example, you may want to pay attention to your customer acquisition costs, repeat visits, customer retention, and the offers that brought customers back. In 2018, Google rolled out 3,200 changes to its search algorithm, up from just 400 changes in 2010. Up-to-date education and training.

Technical Review 128

Technical Review Sales Hiring Software Review Mobile 128

Casey Accidental

NOVEMBER 28, 2023

Retention decreases. (-) 2015: Data network effects kick in (+) While friend graph ceases to work, Pinterest now has the scale of content to recommend great content just based on users’ interests. Retention improves again. (+) Pinterest pauses all U.S. billion exit, Grubhub made a lot of mistakes.

Payments 63

Payments Scale Payment Methods Underperforming Technical Team 63

OpenView Labs

JANUARY 19, 2022

Imagine what you’d search for in 2010 to find Slack. Predictive of user retention. So, how can you level up your retention? However, there are some tremendous present day examples of how these tactics have driven retention for companies such as HubSpot and Asana. . How could they have scaled keyword advertising?

Scale 72

Scale Underperforming Technical Team Sales Hiring Marketing 72

OpenView Labs

MAY 1, 2019

Similarly, Sean Ellis , who coined the term “Growth Hacker” in 2010, suggests that “Growth is not just a concern of sales and marketing, but of product, engineering and support too. Product teams often concentrate on usage metrics that align with retention and expansion.

Sales Hiring 56

Sales Hiring Scale SaaS Payments Growth Hacking 56

SaaStr

NOVEMBER 21, 2019

Since 2010 we’ve seen more startups, funds, and capital than ever before, but with this drastic increase, investors are seeing unexpected new trends reshaping the future of the industry. That’s also retention and upsell. So that is … you know that company has built something that the company values.

New CTO 182

New CTO Sales Hiring B2C CTO Hire 182

ChurnZero

JANUARY 10, 2020

Lisa will be responsible for Forcepoint’s customer capabilities, overall customer experience from acquisition to retention, as well as sustainable growth of the global portfolio. Prior to Zuora, Tom was Vice President and GM at Convio, playing a key role in the company’s 2010 IPO. Who else would you add to the list? . .

VP of Engineering 52

VP of Engineering Customer Success Scale Cybersecurity 52

SaaStr

SEPTEMBER 12, 2019

At Twilio, I think my entire job there my first two years was throwing t-shirts at people, because everyone had a Twilio t-shirt I think in the developer community in 2010, and that was our marketing strategy. Its product drives the acquisition, retention and expansion. But it worked. They wanted to tell their friends about it.

Investment 113

Investment Underperforming Technical Team Sales Hiring Software Review 113

SaaSHolic

FEBRUARY 6, 2023

Good customer success software will help you identify red flags and maintain successful customer retention. Totango Guy Nirpaz founded Totango in 2010. You may also find that cheaper plans have much fewer interface options, making it harder to make educated decisions pertaining to customer satisfaction and retention.

Customer Success 52

Customer Success Software Payment Features Subscription 52

SaaSHolic

DECEMBER 9, 2021

Good customer success software will help you identify red flags and maintain successful customer retention. Guy Nirpaz founded Totango in 2010. You may also find that cheaper plans have much fewer interface options, making it harder to make educated decisions pertaining to customer satisfaction and retention.

Customer Success 52

Customer Success Software Payment Features Subscription 52

Natalia Luneva

JANUARY 7, 2023

free with key password free хороший with email archiving, content search, basic audit, manual retention policies and sensitivity labels. Enable Firstline Workers and their managers to manage schedules and keep in touch using their mobile devices. Facilitate legal что adobe pagemaker 7.0

Payment Services 52

Payment Services Payment Features Payment Solutions Payment Methods 52

Intercom, Inc.

APRIL 7, 2022

Businesses quickly realized they were spending a bit too much on awareness and customer acquisition and not nearly enough on retention. And that, according to Catherine Blackmore , was the dawn of customer success. With over 20 years of experience, Catherine is an industry powerhouse.

Customer Success 118

Customer Success Technical Review Sales Hiring VP of Engineering 118

Neil Patel

MARCH 30, 2021

Site speed has been a ranking factor since 2010 and it’s good for users, too. That’s why Google pays attention to your web pages and measures the engagement, bounce rate , retention rate , and social shares. 47% of end users expect a web page to load in two seconds or less. You control 98% of what happens within your site.

Social Media 144

Social Media Engineering Sales Hiring Branding 144

OPEXEngine

NOVEMBER 22, 2022

In 2010, athenahealth results showed a ~10,500 Average ARR and a revenue mix weighted toward subscription at 97%. Revenue retention also reflects the Customer-Centric model framework. This is a typical result for an SMM SaaS business.

Business Model 52

Business Model Business SaaS Scale 52

OpenView Labs

MARCH 24, 2020

That said, it isn’t hard to see that retention plays a role in growth, profitability and CLTV. In opposition to that, Datadog’s net dollar retention is 146% (the highest among public SaaS companies). Logo Retention. Logo retention as a metric doesn’t provide that level of nuance to anyone evaluating a PLG company.

Metrics 43

Metrics Scale SaaS Sales Hiring 43

OpenView Labs

FEBRUARY 23, 2021

Datadog was founded back in 2010 on the idea that operations teams and developers needed a common language. The community grows and not only guides the product, but becomes a highly credible form of marketing, recruiting, and retention. Related read: An Inside Look at How Datadog Reached $500M in ARR (and Counting).

Sales Recruiting 54

Sales Recruiting Scale Software Engineering Development 54