Remove Churn Remove Payment Solutions Remove Scale
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Dear SaaStr: How Big Should The Addressable Market Be to Go into Vertical SaaS?

SaaStr

and Is the app so core, or at least is on a path to become so core, that they can charge $20,000+ a year for it? Even a fairly small business can pay $10,000-$20,000 a year for one app, usually. It’s just hard to get most vertical SaaS start-ups to scale if they can’t get to a $10k ACV. Oftentimes, only one.

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The Complete Guide to SaaS Pricing Strategy

Tom Tunguz

The very best companies lead their customers in that dance. Many mid-market software companies price with the goal of revenue maximization, negotiating for the highest possible price in each sale. Penetration pricing leads to land-and-expand sales tactics. A bottoms-up strategy lends itself to penetration pricing.

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The Challenge with SMB SaaS: High Growth Can Only Mask High Churn For Just So Long

SaaStr

Don’t need as much sales experience on sales team. But beyond all the other Pros and Cons of SMB vs enterprise, there’s one looming issue with SMB SaaS: Churn. Endemic churn. The type of churn you almost can’t do anything about. And then 3% a month churn cuts your growth in half.

SMB 363
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6 Payment Acceptance Obstacles SaaS Companies Face and How to Avoid Them

SaaStr

By: Rob Nathan, EVP, Integrated Solutions at CardConnect. Despite the hyper competition, many SaaS providers take their organization’s payment processing experience for granted. Whether we want to admit it or not, payments can play a big and often unseen role in contributing to or reducing customer churn.

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5 Interesting Learnings from Expensify at $140,000,000 in ARR

SaaStr

It was just amazing that when iPhone launched, you could now take a picture of receipts and have them somewhat automatically “expensed” A jaw dropping, amazing use of the first generation on mobile apps. Sometimes, the self-serve / PLG engine stalls out at a certain scale. Fintech is the engine of growth at scale.

Scale 328
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Scaling The Top SMB SaaS Companies: What It Takes with GGV Capital Managing Director Jeff Richards and GGV Capital Partner Tiffany Luck (Pod 647 + Video)

SaaStr

The SMBTech economy is very different from enterprise software, and there is massive opportunity to capture it. Throw in the rise of social media and mobile web payment systems like Stripe and Braintree, and something revolutionary was at our doorstep. There are over 400M small businesses worldwide. SMBTech is primed for growth.

Scale 245
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The Need for Two Types of Payback Period Calculations

Tom Tunguz

The contracts are identical twelve month contracts except for the payment terms. Contract B relaxes payment terms to monthly payment, 12 monthly installments for the next year. All of the sales and marketing dollars invested to obtain persuade the buyer to put digital ink to pdf have been recouped immediately.