SaaStr

MAY 22, 2023

The best of us kept growing , albeit with elevated churn through 2010: What Really Happened to SaaS in the ’08-’09 Recession And to those of us who have been doing SaaS a long time … 2023 just feels Like it Used to Be. Revenue multiples for public SaaS companies in 2023 IMHO are still too low. It’s still growing.

SaaS 314

SaaS Churn Sales Software 314

SaaStr

JANUARY 30, 2023

I know things can be tough out there but Gartner last week still predicted enterprise software would grow 9.3% in 2023 to $4.5 I know things can be tough out there but Gartner last week still predicted enterprise software would grow 9.3% in 2023 to $4.5 to $856 Billion in 2023. But Software?

Software 326

Software Enterprise Cloud Trends 326

Tom Tunguz

DECEMBER 17, 2022

Here are my predictions for 2023. The hangover from web3’s raucous 2022 extends into 2023. We exit 2023 with inflation below 2.5% We exit 2023 with inflation below 2.5% Forward software multiples touch 7.0x today, on the relatively strong growth rates of most public software. The Fed tames inflation.

Software Review 259

Software Review Technical Review Machine Learning Artificial Intelligence 259

Tom Tunguz

APRIL 28, 2024

In the last decade, the total number of venture backed software M&A by count has remained relatively constant. Nevertheless, there are huge differences between the total value created by software M&A annually. What drives the acquisition market of startups? It’s the big deals. X 2015 20.1% - 2016 43.0% X 2021 43.8%

Acquisition 304

Acquisition Startup Venture Capital Software 304

Tom Tunguz

FEBRUARY 2, 2023

I’m watching public company earnings to identify early weaknesses in the software market. Overall, given the trends we’re seeing, I expect cloud growth rates to fall into the 18-22% range for 2023, about of the growth rate of a year ago. Yesterday, Google & Amazon announced earnings which completes the picture.

GCP(Google Cloud Platform) 304

GCP(Google Cloud Platform) Cloud AWS Sales Hiring 304

Tom Tunguz

FEBRUARY 26, 2025

Many mid-market software companies price with the goal of revenue maximization, negotiating for the highest possible price in each sale. There are exceptions: Oracle’s database, Tanium’s security product, Workday’s human capital management software. Application software companies typically sell seats.

SaaS Payments 273

SaaS Payments Pricing Strategy Scale 273

Tom Tunguz

NOVEMBER 12, 2023

Recently, I was on the HR Heretics podcast and we talked about the increasing efficiency of software companies (in addition to other topics including the implications of AI for executives, how to diligence a candidate, & what board members expect of their people leaders). Company RPE 2013, $k RPE 2023, $k CAGR CRM 325 375 1.4%

Software Review 329

Software Review Trends Revenue Software 329

USIO

APRIL 4, 2025

For medical billing software providers, that means delivering more than just clinical functionality. With ACH payments and card acceptance integrated directly into the medical billing software, facilities can process transactions faster, reduce outstanding balances, and better predict cash flow.

Payments 130

Payments Payment Solutions Payment Services Payment Methods 130

Tom Tunguz

NOVEMBER 5, 2023

Six quarters ago, profitability became the most important factor to public software valuations. 14 public software companies have reported earnings in this quarter so far. These companies’ earnings surprise has been prodigious. Positive surprise means a better result than expected.

Software 307

Software Management Revenue Marketing 307

SaaStr

DECEMBER 27, 2024

.” The SaaS Market Has Turned a Corner According to Brian, who sees the market through multiple lenses as HubSpot’s Chairman and through his role at Sequoia Growth and Propeller VC, the SaaS downturn that dominated 2022-2023 ended recently. “It felt like we came out of the recession in Q3 of 2024,” Brian noted.

AI 284

AI Marketing SaaS Interviewing 284

SaaStr

SEPTEMBER 3, 2023

If your customers love and trust you, they buy more from you More products, more seats, bigger editions, more use cases Seen this in every single SaaS company I've ever worked with Few do everything they could here — Jason ✨Be Kind✨ Lemkin  (@jasonlk) August 27, 2023 In simpler times, this thinking is a positive.

Scale 293

Scale Market Segmentation Customer Success Pricing 293

SaaStr

DECEMBER 24, 2023

Rippling CEO Parker Conrad’s Theory of the Compound Startup: Disrupting How We Think About Software #5. Why You’re Unfundable in 2023: The Cold, Hard Truths About SaaS with SaaStr CEO Jason Lemkin #6. What the Future of SaaS Holds for 2024 with David Sacks, Founder & General Partner, Craft Ventures #4.

Acquisition 295

Acquisition Education Startup Scaling 295

Tom Tunguz

SEPTEMBER 14, 2023

Last week at Saastr 2023, I had the privilege of hosting a panel with Maggie Hott , GTM leader at OpenAI, Sharon Zhou , cofounder & CEO of Lamini, & Jordan Tigani , founder & CEO of MotherDuck talking about the implications of AI for the software industry broadly. Four themes resonated throughout the session.

Artificial Intelligence 293

Artificial Intelligence AI Technical Cofounder Education 293

SaaStr

SEPTEMBER 20, 2023

The Macro Impact On Public Cloud Software Over The Past Year Cloud stocks dropped in 2022 in a severe market pullback event that Bessemer Venture Partners call The SaaSacre. While 2022 was a gloomy year, the skies are parting in 2023. In 2021, the average multiple was 34x, decreasing to 30x in 2022, and 26x in 2023.

Cloud 306

Cloud Payments Software Review Payment Solutions 306

Tom Tunguz

JULY 4, 2023

In the past two months, high-flying software companies have seen 40-112% increases in valuation. In August of last year, public markets switched from valuing SaaS companies primarily on growth to primarily on profitability. I wondered if the public markets have begun to change the way they value these businesses.

Software 251

Software Marketing AI Metrics 251

SaaStr

FEBRUARY 7, 2025

In 2022, you could blame the markets In 2023, you could blame "macro" impacts In 2024, you could still claim we were in a "downturn" In 2025 — you've run out of excuses — Jason SaaStr 2025 is May 13-15 Lemkin (@jasonlk) February 4, 2025 The downturn is over in SaaS and B2B. Did you grab some?

Software Review 233

Software Review AI Search Venture Capital AI 233

Tom Tunguz

NOVEMBER 9, 2023

Vendr’s quarterly report on SaaS purchasing trends summarize the sentiment of the software market. The average sales cycle has lengthened from 32 to 44 days for net new software, a 37% increase. Slower cycles & fewer new purchases : 19% of software purchases are net new in 2023 ; just 17% in Q3.

Software 286

Software Trends Pricing Data 286

SaaStr

JANUARY 12, 2023

In February 2023, we’re heading to Singapore for our first APAC event and we wanted to give a special shout-out to some of the companies that will be there with us! We’ll see 1,000+ of the best SaaS founders, execs, and VCs February 22-23 at SaaStr APAC 2023 ! At SaaStr, our partners are an integral part of our events.

Payment Features 54

Payment Features Payment Services SaaS Payments Payments 54

SaaStr

JANUARY 18, 2024

spend in software spend in 2024 to over $1 Trillion. growth in 2024, basically flat with 2023. To over $1 Trillion in software spend worldwide — for the first time ever. The post Gartner: 2024 Will be Tougher Than We Thought, But We’ll Still Cross $1 Trillion in Software Spend appeared first on SaaStr.

Software 332

Software 332

SaaStr

FEBRUARY 23, 2023

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. is a software training company that focuses on helping end users and companies be more productive. Join these incredible companies to experience all the value of SaaStr!

Payment Services 274

Payment Services Merchant Services Payments Embedded Payments 274

SaaStr

FEBRUARY 7, 2023

The post Braindates Are Open for SaaStr APAC 2023! with Aashish Krishna Kumar, Head of GTM at Togai Sales Enablement 2.0 – Elevate Rep Performance with Divanshu Goyal, Sales at GTM Buddy Common scaling pains for SaaS businesses and how to overcome them. Happy Brain-dating! See you at SaaStr APAC. appeared first on SaaStr.

VP of Engineering 293

VP of Engineering Technical Cofounder Outsourcing Services CTO Coach 293

SaaStr

MAY 1, 2023

UiPath has had an incredible history, taking 10 years to get to that first $1m in ARR … and then turning into one of the fastest growing software companies to $1 Billion in ARR ever ! Today, Dines’ vision is to make software robots , powered by computer vision and AI, as common as PCs in the workplace. seed round 2015: $1m rev.

Company Culture 284

Company Culture Innovation AI Enterprise 284

SaaStr

DECEMBER 1, 2022

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. The world runs on software, which is why companies of all sizes—from startups to Fortune 500s—use Tropic to buy software, manage contracts, and guarantee savings.

Merchant Services 274

Merchant Services Payment Solutions SaaS Payments Payments 274

SaaStr

MARCH 30, 2023

In June 2023, we’re heading back to London for SaaStr Europa and we wanted to give a special shout-out to some of the companies that will be there with us! The post Thanks to PSG Equity, Rapid, Vertice, and Vitally for Sponsoring SaaStr Europa 2023! At SaaStr, our partners are an integral part of our events. Grab tickets here.

Outsourced Development 271

Outsourced Development Acquisition B2B Pricing 271

SaaStr

NOVEMBER 3, 2022

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. Our mission is to build powerful and secure cloud software for subscription businesses of all sizes, with a strong emphasis on good design and ease of use.

Payments 261

Payments Payment Services GCP(Google Cloud Platform) Payment Solutions 261

Tom Tunguz

APRIL 23, 2023

Software spending in 2024 should rise 12%, increasing from 9% last year according to Gartner. CDW, a $20b distributor of software & hardware, announced earnings last week & their results echoed these. Software spending is accelerating, which means the market remains vibrant, just more competitive.

Software 285

Software Government Healthcare SMB 285

Tom Tunguz

MAY 3, 2023

The P&L differs from a classic software company. Investment in web3 companies will fall by at least 60% year-over-year in 2023. What other business suffered a loss of 80% of revenue & went from burning $2b per quarter to producing more than a hundred million in profit? So does the corporate structure. Net Revenue, $m 251.6

Software 280

Software Trends Revenue Investment 280

SaaStr

APRIL 13, 2023

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. DemandScience is a leader in global buyer intelligence, accelerating demand generation for the world’s largest software, technology and B2B companies.

Scale 259

Scale Compensation B2B Innovation 259

SaaStr

FEBRUARY 16, 2023

In June 2023, we’re heading back to London for SaaStr Europa and we wanted to give a special shout-out to some of the companies that will be there with us! Our mission at Vanta is to be a layer of trust on top of cloud services, to secure the internet, increase trust in software companies, and keep consumer data safe.

Cybersecurity 274

Cybersecurity Venture Capital compliance Government 274

SaaStr

NOVEMBER 24, 2022

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. Today, Cledara brings visibility and control to all your software subscriptions, helping you reduce software costs by 30% and save +20h a month on finance admin.

Merchant Services 258

Merchant Services Cybersecurity compliance Finance 258

SaaStr

JANUARY 26, 2023

SaaStr events couldn’t happen without our partners, and we wanted to give a special shout-out to some of our newest sponsors for SaaStr Annual 2023. Finix makes it easy for software platforms of all sizes to process payments while increasing revenue and reducing cost. appeared first on SaaStr.

Payments 51

Payments Payment Solutions SaaS Payments Software Review 51

SaaStr

NOVEMBER 6, 2023

If you’re selling software to SMB merchants and outside of tech like Shopify and Toast and Monday , things are pretty, pretty good, if in some ways still harder than before. If you’re selling sales and marketing software, like Zoominfo, it can seem a lot tougher than 12-18 months ago. So where does this all net out?

Merchant Services 307

Merchant Services Azure Software AWS 307

SaaStr

OCTOBER 16, 2024

You have to maybe either sell to different customers, or have to build more software or be more AI. You have to build better software for less money. Radical efficiency is expected of all public companies, and they have all found a way to make their dollar go 50% farther to build 100% more software. 1: AI is Table Stakes.

Sales Hiring 317

Sales Hiring Scale AI SaaS 317

SaaStr

OCTOBER 13, 2022

In June 2023, we’re heading back to London for SaaStr Europa and we wanted to give a special shout-out to some of the companies that will be there with us! Our mission is to build powerful and secure cloud software for subscription businesses of all sizes, with a strong emphasis on good design and ease of use.

GCP(Google Cloud Platform) 257

GCP(Google Cloud Platform) Azure AWS Enterprise readiness 257

SaaStr

SEPTEMBER 3, 2023

Check out this week’s top blog posts, podcasts, and videos: Top Blog Posts This Week: The Next Great SaaS IPO is Officially Coming: Klaviyo The Official Guide to SaaStr Annual 2023 Parties and Side Events!! UPDATED Tons of Great New Things at 2023 SaaStr Annual! At the Top SaaS Companies, Founder-CEOs Own ~15% at IPO.

AI 272

AI Startup Scaling SaaS 272