2012

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Financial planning for SaaS startups

The Angel VC

[Update 03/23/16: I've created an improved version of the template - check it out! ] A few people who read my recent post about financial planning asked if I could provide an example for a good financial plan, so I'd like to post one here. The plan is very similar to the one that I created in the very early days at Zendesk and re-used a few times in the meantime, but I had to make a few adjustments to make it more generic.

Startup 189
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Customer Acquisition Spending: Lessons from Workday

Practical Advice on SaaS marketing

According to a business adage, you need to spend money to make money. According to a SaaS business adage, you need to spend a lot of money to make money. Workday recently made public its S-1 filing in advance of an initial public offering. The document reveals what it takes to succeed in a market dominated by Oracle and SAP. Specifically, it illustrates the need for software-as-a-service (SaaS) companies to spend money - lots of it - on customer acquisition.

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Great products turn motivation into capability

Tom Tunguz

Examining a user’s motivations at the entry point of every major feature in a product and matching the product to this motivation is key to building a great product users love. BJ Fogg’s Behavior Model Theory is a succinct summary of this idea in a formula: Motivation + Trigger + Ability = Behavior. This model says that a user will perform a behavior when given the means, the motive, and the opportunity.

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B2B Social Business Bill of Rights | Don’t Get it Wrong!

Chaotic Flow

Which is more important in B2B social media, social or media? For way too many B2B marketers, the answer is media. In the B2B marketing community, content marketing has eclipsed blogging, engagement is measured in click-throughs, and gamification is sexier than conversation. Too many B2B professionals see social media as just another marketing communication channel.

B2B 104
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An Omnichannel Payment Solution––Without the Complexity

Simplify omnichannel payments with a solution that unifies every channel through your platform. By integrating front-end systems like online, mobile, and in-store payments with robust back-end infrastructure, you can deliver a seamless payments experience without the need for heavy engineering. Omnitoken technology enhances security by tokenizing card transactions for reuse, enabling merchants to drive cross-selling opportunities.

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A Beginner’s Guide to Facebook Insights

Neil Patel

Facebook Insights is a powerful tool for those wanting to track user interaction on their Facebook business page. Facebook Insights can be seen by all the admins of your page, and it can provide a wealth of information about your content and audience. By using Facebook Insights, you’ll be able to determine the best time of day to post , the best day of the week to post, and what type of content is most popular.

More Trending

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Links for 2012-09-13 [del.icio.us]

Sixteen Ventures

Hidden VNXe performance statistics « Henriwithani. EnterpriseAdmins.org » Blog Archive » Install VMware Tools in openfiler. CrashPlan packages for Synology NAS « PC LOAD LETTER.

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The 4th DO for SaaS startups – Make your website your best marketing person

The Angel VC

If you're building a modern SaaS solution for the Fortune 5,000,000 , the importance of your marketing website cannot be overstated. In the old world of enterprise software, most software vendors used to have pretty lame websites. Most of them were poorly designed and looked very technical and uninspiring, and the only images they contained were the seemingly obligatory stock photos (suit-wearing business people trying to out-smile each other, handshake close-ups and of course an attractive head

SaaS 164
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Yummy, dog food! Or: Running a VC fund in the Cloud

The Angel VC

Point Nine not only loves animals , we also love dog food. After all, some months ago we invested in ePetWorld , which runs hundeland.de , a fast-growing online shop for dog food and supplies. Today I'm going to talk about a different type of dog food though. If you know us a bit you'll know that we talk a lot about the Cloud. In our opinion, the move of software from the desktop or local servers to the Cloud, along with the consumerization of enterprise software and other developments that go h

Cloud 140
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The 3rd DO for SaaS startups – Create an awesome product

The Angel VC

With some delay I'd like to continue my little series: 3rd DO for SaaS startups Create an awesome product This one is a little tricky. Firstly because it feels like I'm just stating the obvious – who doesn't want to create an awesome product? Secondly because it's hard to offer a lot of useful advice in a blog post on a topic which shelves of books have been written about.

Startup 136
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How Clinic Sense Reduced Churn and Unlocked More Revenue

ClinicSense is a SaaS platform that supports over 7,000 massage therapists who use it for appointment management, payments, scheduling, marketing activities and more. Despite having a relatively low payment failure rate, the company discovered that the failures disrupted the customer experience. This often led to churn as customers decided to cancel or abandon their account, preventing ClinicSense from realizing the full lifetime value (LTV) of its users.

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Software is eating the world, but the smartphone is pretty hungry too

The Angel VC

Last August, Marc Andreessen wrote a great essay titled "Why software is eating the world". In his article, which got a lot of attention in the tech world, Marc explains why and how a variety of industries have been and continue to be disrupted by software. Read it if you haven't read it yet, it's a well-written and inspiring post by one of the most successful and knowledgable people in the Internet industry.

Software 131
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Avoiding Parkinson's Law of Triviality in your financial plan

The Angel VC

In the last few years I've seen a lot of financial plans, and since we started Point Nine in the middle of last year that volume has been skyrocketing. I've seen everything from just a few numbers in an email to extremely sophisticated Excel spreadsheets with dozens of tabs and tens of thousands of cells, and I thought I'd offer some advice on what I think a good financial plan looks like.

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SaaS companies can't afford to sell

Practical Advice on SaaS marketing

Most companies offering a software-as-a-service (SaaS) solution can't afford to sell it. I'm talking here about "selling" in the traditional sense: finding prospects and convincing them to buy a product or service. In some cases that's done with experienced sales executives working their Rolodex (or its electronic equivalent). Or it might be sold by a team of inside sales reps making cold calls from a purchased list.

SaaS 124
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SaaS customer acquisition: Feed it or starve it?

Practical Advice on SaaS marketing

If you manage a software-as-a-service (SaaS) company, at some point you'll be forced to make a tough decision about your customer acquisition process: Feed it or starve it? Should you pony up the money to feed a full-blown sales and marketing effort? Or should you starve the process and keep the cash in your piggy bank? Because of the way the SaaS business model works, if you feed the customer acquisition process, you hurt profits and burn cash.

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Usage-Based Monetization Musts: A Roadmap for Sustainable Revenue Growth

Speaker: David Warren and Kevin O’Neill Stoll

Transitioning to a usage-based business model offers powerful growth opportunities but comes with unique challenges. How do you validate strategies, reduce risks, and ensure alignment with customer value? Join us for a deep dive into designing effective pilots that test the waters and drive success in usage-based revenue. Discover how to develop a pilot that captures real customer feedback, aligns internal teams with usage metrics, and rethinks sales incentives to prioritize lasting customer eng

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The 2nd DO for SaaS startups – Build the right team

The Angel VC

Continuing my little series using the "minimum viable" approach , here is my 2nd DO for SaaS startups: Build the right team I've written about the topic before, so if you've read this post from early this year most of what I'm going to write now won't be new for you and you may want to skip this article. I'm going to assume that you want to build a modern SaaS solution for the "Fortune 5,000,000" – a great product that's easy to understand and so useful that it will almost sell itself.

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DOs and DON'Ts for SaaS entrepreneurs – #1

The Angel VC

I've been thinking about a "DOs and DON'Ts" article geared towards early-stage SaaS founders and upcoming SaaS founders for a little while now. I thought it would be a good idea to summarize what I've learned about SaaS in the last few years and put it into a format like this. Problem is, it's a very large topic, and if I try to make it as broad, deep and well-written as I'd like it to be I'll never do it.

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Know your user cohorts

The Angel VC

One of the most important tools to better understand the usage of a web application – or a service, a game or a mobile app, it doesn't matter – is a cohort analysis. In fact, it's almost impossible to get a really good understanding of a service's usage without looking at activity and retention numbers on a cohort-by-cohort basis. And yet, most startups that we're talking to haven't looked into cohort analyses yet.

Startup 120
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The Price is Right (or not)

The Angel VC

One of the most important questions which every SaaS company has to solve is to find the right pricing – the right pricing model as well as the right price levels. It’s obvious that getting pricing right is extremely important: If you’re too cheap you will leave money on the table and reduce your ability to invest in customer acquisition. You may also hinder adoption especially from bigger customers who think that your product can’t be good because it’s so cheap.

Pricing 115
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15 Modern Use Cases for Enterprise Business Intelligence

Large enterprises face unique challenges in optimizing their Business Intelligence (BI) output due to the sheer scale and complexity of their operations. Unlike smaller organizations, where basic BI features and simple dashboards might suffice, enterprises must manage vast amounts of data from diverse sources. What are the top modern BI use cases for enterprise businesses to help you get a leg up on the competition?

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Point Nine loves animals

The Angel VC

About one and a half years ago I became a vegetarian, after coming to the conclusion that it's impossible to ethically justify to kill – and in almost all case inflict enormous suffering on – living creatures that are capable of experiencing pain, just for the pleasure of eating meat (which, make no mistake about it, is a huge pleasure). Maybe I'll write more about that topic in another post.

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Bye-bye 2011, hello 2012

The Angel VC

It's that time of the year – you're looking back to the old year and you're reviewing your plans for the new one. The last year was very busy for me, both privately and professionally. I became a dad for the third time, and I teamed up with Team Europe to create Point Nine Capital. Two startups, so to speak. It's also a good time to take a look at my angel investments because from now on I'm going to make all new investments via Point Nine Capital.

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The Case for Grandfathering

The Angel VC

If you're running a SaaS startup it's likely that sooner or later you'll want to increase your prices. The reason is simple: It's impossible to find the perfect pricing right off the bat, so most startups launch with a pricing scheme that's on the low end to make sure that they don't scare away potential customers. "In the beginning, err on the side of being too cheap", was also one of the tips that I gave in my previous blog post about SaaS pricing.

Pricing 108
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A very brief history of Point Nine

The Angel VC

I just created a slide about the development of Point Nine Capital for a little company presentation and thought it might be useful if I posted it here as well to give everyone some information on where we're at and how we got there: In 2008, Lukasz Gadowski – who almost everyone in the German Web startup scene knows because he built or helped build some of Europe's biggest Internet success stories, e.g.

Mobile 108
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Prepare Now: 2025s Must-Know Trends For Product And Data Leaders

Speaker: Jay Allardyce, Deepak Vittal, and Terrence Sheflin

As we look ahead to 2025, business intelligence and data analytics are set to play pivotal roles in shaping success. Organizations are already starting to face a host of transformative trends as the year comes to a close, including the integration of AI in data analytics, an increased emphasis on real-time data insights, and the growing importance of user experience in BI solutions.

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1st DO for SaaS startups, continued

The Angel VC

Further to my post about my "1st DO for SaaS startups" (and again, in the spirit of releasing early and iterating fast) I'd like to touch on a few additional points with respect to the right market. Market size If you want to go big and build a large, successful company it's obviously important that your market is big enough. How big is big enough? Most large VCs would answer that the TAM of a SaaS company should be at least $1B.

Startup 106
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How does the ideal SaaS startup founder team look like?

The Angel VC

Last night I read this question on Quora : In general terms, what is the ideal size and make-up of a team for a pre-revenue SaaS startup? It's a question I've been pondering about a lot already, and seeing it posted on Quora prompted me to try an answer. I think the second part of the question is more important. I do have a slight preference with respect to the team size as well, but it's light because I've seen and worked with very successful SaaS startups with different team sizes.

CTO Hire 106
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Segmenting customer pipelines

Tom Tunguz

When building a freemium SaaS company or an ecommerce company or any product that requires users to move through a funnel towards an objective, it’s important to track this funnel to understand where the funnel can be improved. But tracking one funnel may not be enough. The aggregated funnel may be masking conversion differences across customers segments.

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Death by a thousand small features

Tom Tunguz

In 2010, Gaia Online started a user acquisition campaign to grow their user base. To simplify the on boarding process, they launched the Big Red Button home page below. It worked. Conversion rates from the home page spiked. Simple user experiences, like this big red button, are effective because users understand what is expected of them. There is just one flow.

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Launching LLM-Based Products: From Concept to Cash in 90 Days

Speaker: Christophe Louvion, Chief Product & Technology Officer of NRC Health and Tony Karrer, CTO at Aggregage

Christophe Louvion, Chief Product & Technology Officer of NRC Health, is here to take us through how he guided his company's recent experience of getting from concept to launch and sales of products within 90 days. In this exclusive webinar, Christophe will cover key aspects of his journey, including: LLM Development & Quick Wins 🤖 Understand how LLMs differ from traditional software, identifying opportunities for rapid development and deployment.

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Simplicity. Quality. Inspiration.

Tom Tunguz

Two weeks ago, James Reinhart, founder and CEO of ThredUp , led his company through a branding exercise. The team spent an afternoon comparing and contrasting the brand attributes of Starbucks and Peets, Whole Foods and Safeway and a few other competitive pairs. The team quickly distilled each company’s brand into one word. Long ago, each of these brand selected the value that would define their brand.

Branding 101
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Year in review: Best of 2012

Tom Tunguz

About three years ago, I started journaling my startup education by blogging. In retrospect, blogging has been one of the most rewarding activities for me as an investor. Blogging helps me some observe changes in the start-up ecosystem, communicate trends primarily through data while strengthening and building relationships. It’s been more gratifying than I could have hoped.

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Tablets: the third platform

Tom Tunguz

It’s easy to call a tablet a larger a mobile phone. Or a replacement for a notebook or ultrabook. But to dismiss tablets as scaled clones of their bigger and smaller brothers is a mistake. Tablets are the third type of device: the one with the most revenue potential for ecommerce and developers alike. Tablets drive greater volumes of traffic, that convert to paid at better rates, and drive better qualified and less expensive leads through advertising.

Scale 100