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Activant Capital brought together at SaaStr Annua l a group of break-out next-generation AI enhanced vertical software leaders: the CEOs from Owner.com, Alloy Automation, and DoNotPay. At SaaStr Annual they shared their experiences and insights on implementing AI in vertical software companies. New restaurants up +31% in 1 month!
Subscribe now The Year of “Enterprise AI” One of the biggest challenges facing AI systems in enterprises today is the “last mile” problem: how do you make AI both reliable and accurate for specific enterprise use cases? This is what I’m calling “Enterprise AI.”
Revenue growth is up 21% overall, and subscription growth is up 33% — at almost $5 Billion in ARR. A Big AI Push, But Being Very Conservative on Consumption Pricing For now, Atlassian is sticking mainly to per-seat pricing. So Atlassian is on a bit of a tear. Wall Street is happy. Let’s dig in.
Subscribe now “Grouping + AI” for Triage One area I’m quite excited to see AI revolutionize is “grouping + triage” workflows. Many of them AI based. Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4).
Uncover the secrets driving the future of the Subscription Economy. Zuora and BCG’s latest report uncovers how hybrid pricing models—combining subscription and consumption (usage)—are fueling faster growth, especially in AI-driven sectors.
RevenueCat is the market leader for managing mobile subscription apps, with over 30% of U.S.-based based mobile subscription apps using their SDK and API to manage mobile subsriptions. SaaStr Fund was the first investor in the company. They’re hosting their first App Growth conference just after SaaStr Annual in SF! #3.
With everything in AI moving so rapidly, what’s the best way to price Artificial Intelligence products or SaaS tools with custom AI features and integrations? Should it be subscriptions, usage, solutions, or something entirely different? Why is pricing so tricky? The costs are dynamic. Usage is volatile. ROI is unproven.
Salesforce catalyzed cloud-delivery & annual subscription model in the enterprise, upending decades of selling software with perpetual licenses. What is the distribution advantage AI confers to startups? AI enables ABM-at-scale. The first time a user visits a site AI asks “What do you want to accomplish today?”
eCommerce Does your startup run on a subscription model? How many kinds of subscriptions do you support? What are the rules for subscriptions? Artificial Intelligence Does your application leverage AI in any way? How can we use AI to improve the customer experience? What about an AI support assistant?
If AI delivers on its promise, it may spell the end of the SaaS business model as we know it. But with AI, that will almost certainly change. The promise of AI is that it will allow you to do “more with less.” They still charge per seat for human use, but charge differently for their AI product.
ServiceNow, a $150b market cap company, made this statement yesterday in their earnings call : “In Q4, our gen AI products drove the largest net new ACV contribution for our first full quarter of any of our new product family releases ever, including our original Pro SKU.” ServiceNow is the most recent. features shipped?)
By BluLogix Team How AI is Transforming Billing Billing has long been a complex and manual process, prone to errors, inefficiencies, and revenue leakage. With businesses adopting diverse pricing modelsranging from subscriptions to usage-based billinglegacy systems often struggle to keep up.
By BluLogix Team AI Billing Innovations, Usage-Based Pricing, Credits, and Prepaid Models AI Billing Needs a New Approach Unlike traditional SaaS, AI products often require real-time metering and consumption-based pricing. Example: Many AI platforms offer a free tier with limited credits, encouraging upgrades when usage grows.
We are thrilled to announce that Redpoint has partnered with Spot AI to lead their $20M Series A. Spot AI enables simple access to insight from video. Spot AI builds an artificially intelligent camera system that stores video, analyzes it, and enables collaboration across a team. Plus, it’s plug and play. Run, Spot, run!
Subscribe now The Red Queen Effect I strongly believe in two competing truths with respect to AI and its impact - the size of the prize will be bigger than we imagine now, BUT we’ll overestimate it in the short term. Right now the world is evolving - AI is a massive platform shift. And I think (for now) the latter is much larger.
This brings me to AI (everything leads to AI these days…). When it comes to AI there is now another BIG culprit in misused ARR which I’m calling ERR (we use this term internally). A huge portion of AI revenue today is truly experimental! If retention deteriorates, the terminal value may very well be 0.
By Inga Broerman The 2025 Blueprint for Scalable Growth in the Subscription Economy The subscription economy is entering a pivotal year. To succeed, subscription-based organizations must embrace smarter, more integrated approaches to billing, management, and strategy.
Well, now it’s possible, thanks to AI copywriting tools powered by machine learning. What Is AI Copywriting and How Does It Work? AI copywriting is essentially computer-generated writing created using natural language processing tools. Then, you set certain parameters for the AI tool to follow. AI Copywriting Limitations.
It’s been 9 months since ChatGPT was released and 7 months since it became the fastest consumer application to reach 100 million monthly active users , ushering in a new era of generative AI. But other than ChatGPT, how are consumers interacting with generative AI (GenAI) products? Who might be the next “big winner”?
Artificial intelligence (AI) tools for media let you create content at scale in a previously impossible way and you don’t even need design experience to create something impressive. AI isn’t new. But, these sectors have only scratched the surface of AI capabilities. The KinetiX tech AI tool is free for personal use.
RevenueCat powers mobile subscriptions in over 30% of all mobile apps (!) Second, Gorgias sees big wins for AI in Support — But When Done Carefully. Across the SaaStr Fund portfolio , we can see a lot of different impacts of AI. Their AI agent is often in the Top 5% for CSAT. So what’s new? You pick your path.
By BluLogix Team The Hidden Costs of Traditional Subscription Billing (And How Usage-Based Models Solve Them Introduction While subscription billing offers predictable revenue, it also introduces inefficiencies that can cost businesses millions. Many customers cancel subscriptions because they dont see the value.
Couple takeaways for me: 2024 is shaping up to be the “prototype to production” year for AI. A strong data foundation is critical for an effective AI strategy! This was repeated quite a few times AI tends to be additive budget for large enterprises. This year, there was tons of experimentation.
Anything AI related has always been “hot,” but it has really hit a fever pitch in the last few months. What’s most interesting about this, is a lot of the darling AI companies from last year have really slowed down, but everyone seems to have forgotten this and is ready to “find the next big thing.”
To calculate implied ARR I take the subscription revenue in a quarter and multiply it by 4. So for public companies the formula to calculate gross margin adjusted payback is: [(Previous Q S&M) / ((Current Q Subscription Rev x 4) -(Previous Q Subscription Rev x 4)) x Gross Margin] x 12 Here’s the payback data from Q3.
A technological shift is exemplified by what happened in endpoint security, where rules-based solutions from Trend Micro and Symantec were replaced by AI-based anomaly detection from CrowdStrike and SentinelOne. Just this week, multiple AI coding copilots announced rounds exceeding $100 million.
By BluLogix Team Thriving in the Subscription Economy of 2025 and Beyond Introduction The subscription economy is not just a trendits a transformative shift in how businesses operate and generate value. Leveraging Artificial Intelligence (AI) AI is set to play a significant role in the future of the subscription economy.
We can expect the company to start trading on the public markets next Wednesday Subscribe now OneStream Overview From the S1 - “OneStream delivers a unified, AI-enabled and extensible software platform—the Digital Finance Cloud—that modernizes and increases the strategic impact of the Office of the CFO.
This is called shadow IT and its a constant battle, but theres a new, more sophisticated invader on the scene: Artificial Intelligence (AI). AI is no longer a futuristic fantasy. While the potential benefits are undeniable, this rapid, often uncontrolled adoption of AI introduces significant challenges for IT.
Metronome’s sophisticated billing and subscription management platform enables companies to easily manage and automate complex billing and invoicing processes. Enterprise software–at all stages and check sizes–with a focus on SaaS, Security, Infrastructure and, of course, with an integrated AI strategy.
What does advertising look like in the world of AI? In a future where generative AI dominates search, the ten blue links & five sponsored ads disappear. These are both passed to the AI model into the context window. What if they were invisible ads? But what if an advertiser wants to influence those results?
No AI solution will understand your brand tone better than your marketing team, and you’d be taking a huge leap of faith if you let bots write your code. Whether you just scored your Series A or are about to go public, there’s no reason to waste precious capital on tasks that could be automated.
“The Current State of SaaS Companies, Subscriptions and Retention with ProfitWell” A great update from a version of this data just after Covid hit. #3. “How to Use AI to Create Highly Engaging Enablement Programs with Zoom” How Zoom uses AI to turbocharge the quality of its sales enablement.
Speed and Adaptability Will Define the B2B SaaS Winners in the Generative AI (R)evolution Smaller species tend to have shorter lifespans and faster reproductive cycles and can therefore adapt much faster to changes in the environment. To say there’s no shortage of opinions on ChatGPT and the future of AI would be an understatement.
Personalize surveys by setting conditions based on user behaviors , translating and localizing your NPS surveys using AI, and customizing the appearance of your surveys to match your app’s design. Leverage AI-driven sentiment analysis to analyze and categorize open-ended responses quickly.
But the stakes are much higher with generative AI: though it promises to deliver unprecedented value to businesses, it can also be very expensive to serve to each incremental customer. Or maybe you’re still determining how generative AI will benefit your customers, and right now it’s a nice-to-have for certain users.
ChartMogul is an analytics platform to help you run your subscription business. 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. delivers the industry’s leading revenue operations and intelligence (ROI) platform.
They also have a media segment, a separate business supporting creators who want to do subscription-based video monetization. Vimeo has spent a fair amount historically on advertising, primarily to fuel the more prosumer individual online subscription business. How Will AI Fundamentally Change the Workplace and Products?
What do enterprise buyers in healthcare care about most when evaluating AI products? We’ve designed this to mirror the thought process of an entrepreneur building an AI product with an enterprise use case. In other words, buyers aren’t seeking AI for AI’s sake.
A SaaS company with subscription billing would opt for a solution with enterprise-level support, custom pricing, and fraud protection. Understand the features you get for your subscription plan to avoid surprises when you need specific features. AI-driven fraud detection and prevention is becoming the new standard.
They contend that AI agents, capable of handling infinite workloads, will ultimately reduce the need for software spend. AI-driven software will increasingly handle the tasks that used to require armies of consultants and developers, leading to a greater percentage of spend shifting toward software itself.
In a world where buzz about AI advancements pops up more than cat videos on your feed, it's no surprise that the technology is also transforming how we create content for social media. By 2031, we're looking at a whopping $12 billion being poured into AI tools for social media. The reason?
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