Clouded Judgement

APRIL 6, 2023

That’s a big difference, especially when you layer in the growth in headcount from 2021 to 2022. Essentially companies grew headcount significantly to add less ARR. We’re obviously seeing the rightsizing of this now with headcount reductions. The second chart comes from the latest MS CIO survey (below).

Cloud 130

Cloud Headcount Payment Features Subscription 130

Clouded Judgement

DECEMBER 8, 2023

Companies have reduced headcount, but new bookings aren’t getting any easier Quarterly net new ARR growth : Some green-shoots! Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. Even a DCF is riddled with long term assumptions.

Cloud 167

Cloud Software Review Headcount Trends 167

Clouded Judgement

MARCH 22, 2024

Subscribe now ARR (Annual Recurring Revenue) vs ERR (Experimental Runrate Revenue) ARR (Annual Recurring Revenue) is one of the most popular SaaS (Non-GAAP) metrics. However, it’s also one of the most loosely used metrics, and is frequently misused. Do you have ARR or ERR?

AI 190

AI Cloud Revenue Technical Advisors 190

SaaSX

FEBRUARY 5, 2020

This INCLUDES headcount-related expenses. If you are utilizing Gusto or a similar payroll tool, your headcount expenses are likely coming into your P&L as one (or maybe two) line item(s). This may not seem like a major issue, but if you are calculating sales efficiency metrics like CAC, Months to Recover CAC, Magic Number , etc.,

Finance 118

Finance Sales Hiring Headcount Scale 118

FastSpring

MARCH 3, 2023

Zuora is a recurring billing and monetization solution for: Subscription management Revenue recognition Payment collection Quotes And more… However, Zuora has one main shortcoming — it doesn’t handle sales tax or transaction liability for you. Provide electronic invoicing of all transactions.

Payment Services 78

Payment Services Payment Methods Payments Merchant Services 78

SaaSOptics

JANUARY 9, 2020

One person to manage expense reports, commissions, billing and invoicing, cap tables, revenue recognition, deferred revenue and more. Could you imagine sending out an invoice to a customer whose office is in Dallas, headquarters are in North Dakota and your business operates in New York accurately stating sales tax before it gets sent out?

Payment Features 77

Payment Features Deferred Revenue Scale Finance 77

Intercom, Inc.

MAY 9, 2018

It’s simple math: if everyone has to be involved in every decision, doubling your headcount quadruples the distinct conversations needed. Almost there – we’ve sent you an email to confirm your subscription. It’s easy when R&D, Marketing, Sales and Finance all fit in a single room and two pizzas are sufficient to feed everyone.

Scale 182

Scale Sales Hiring Headcount Scaling 182

Chart Mogul

APRIL 2, 2021

Everything you need to consider before you’re ready to make the Build vs Buy decision for your subscription analytics platform. In this post, we want to share some of that knowledge in order to help companies that are trying to decide whether they should build or buy their subscription analytics software. Further reading.

Payment Features 72

Payment Features Subscription Headcount Engineering 72

SaaSOptics

JULY 20, 2020

5 SaaS Metrics You’re Calculating Incorrectly . SaaS metrics : the performance indicators that startups love to hate. Whether you’re the CEO or an analyst at your company, SaaS metrics play a huge role in your day to day. Frequently miscalculated SaaS metrics. The Hidden Costs of Miscalculated SaaS Metrics .

Technical Review 56

Technical Review Deferred Revenue Metrics SaaS 56

Clouded Judgement

MARCH 31, 2023

If we believe that AI will ultimately allow us to do “more with less,” we may see headcount growth slow for traditional roles. Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. What do I mean by this?

Cloud 130

Cloud Sales Hiring AI Headcount 130

OpenView Labs

MAY 24, 2021

Like OpenView’s coverage of SaaS metrics and benchmarks? This new way of thinking about R&D spend also requires companies to rethink the relevance of classic SaaS metrics like CAC payback, which only consider Sales and Marketing costs as part of customer acquisition.). Hint: You have to look beyond the website or pricing page.

Scale 98

Scale Headcount Sales Hiring Benchmarks 98

Intercom, Inc.

AUGUST 29, 2019

But Tara Bryant, SVP of Sales at Pipedrive, thinks this is a mistake if you don’t have the right processes, systems, and metrics in place first. When I started, they had a big growth plan as far as headcount, but they were a little bit looser on processes and cadences and things like that framework I was talking about.

Scale 172

Scale Sales Hiring Scaling Payment Services 172

OPEXEngine

DECEMBER 17, 2019

In the many years I’ve worked with SaaS companies, I continue to observe a surprising lack of standardization of SaaS metrics and performance reporting. My experience reinforces the fact that SaaS business model variants and approaches to measuring performance via metrics are still very much undefined. The Value of Benchmarking.

Benchmarks 40

Benchmarks Metrics Headcount SaaS 40

Chart Mogul

APRIL 2, 2021

Everything you need to consider before you’re ready to make the Build vs Buy decision for your subscription analytics platform. In this post, we want to share some of that knowledge in order to help companies that are trying to decide whether they should build or buy their subscription analytics software. Further reading.

Payment Features 52

Payment Features Subscription Headcount Engineering 52

BetterCloud

MARCH 17, 2025

You likely already have a laundry list of SaaS subscriptions that have been around the company longer than you have. Are you using too much or too little of your budget on these subscriptions? Identify and address underutilized software Analyze usage metrics to identify software with low adoption rates or infrequent use.

Technical Review 52

Technical Review Strategy Marketplace as a Service SaaS 52

SaaSOptics

SEPTEMBER 14, 2021

In reality, one simple discipline can take your Financial Operations from good to great—with no additional cost or headcount. . Your chart of accounts is the foundation upon which all metrics are built upon. Maintaining compliance will give your entire organization confidence in the metrics and numbers your team produces.

Outsourced Development 60

Outsourced Development Point of Sale Headcount compliance 60

ChurnZero

DECEMBER 19, 2024

The goal: to provide CSMs with clear metrics to evaluate and tailor strategies based on individual customer needs, ultimately driving better adoption and ROI. A custom dashboard for adoption scorecards , shared across NinjaCats leadership and CSM teams for a unified view of adoption metrics.

Customer Success 52

Customer Success Scale Underperforming Technical Team Innovation 52

Totango

APRIL 23, 2019

To account for that, you can insert potential and actual dollar values in place of the headcount: Customer Renewal Rate = Actual Renewal Value ÷ Potential Renewal Value X 100. There are two possible outcomes once a subscription draws to a close: renewal or churn. Understanding Renewal and Churn. They need to cut costs.

Headcount 73

Headcount Churn Payment Features Subscription 73

SaaSOptics

JUNE 24, 2021

Some common responsibilities of FinOps teams include managing the general ledger, establishing an order-to-cash process, overseeing and supporting financial audits, and reporting on key financial metrics to boards, executive teams, and potential investors. Once metrics definitions/calculations start getting skewed, they no longer mean much.

Scale 72

Scale Headcount Finance Churn 72

Chart Mogul

DECEMBER 22, 2021

Our mission is to build the world’s most powerful subscription analytics platform for the SaaS community. Building the leading subscriptions analytics platform means listening to our customers, and implementing changes to the product that bring them the most value. What’s new in ChartMogul in 2021? ChartMogul is a product-led company.

Software Review 52

Software Review Systems Review Payment Features PayPal 52

Intercom, Inc.

FEBRUARY 1, 2018

I took a quick break to go to business school, and then from there, I joined LinkedIn, initially to grow their subscriptions product, and then moved around to various different functions like consumer marketing for the home page. That is a real learning point that I hold dear.

Growth Marketing 174

Growth Marketing Scale Marketing Outsourcing Services 174

OPEXEngine

NOVEMBER 23, 2020

This INCLUDES headcount-related expenses. If you are utilizing Gusto or a similar payroll tool, your headcount expenses are likely coming into your P&L as one (or maybe two) line item(s). This may not seem like a major issue, but if you are calculating sales efficiency metrics like CAC, Months to Recover CAC, Magic Number, etc.,

Finance 52

Finance Sales Hiring Headcount Scale 52

OPEXEngine

SEPTEMBER 9, 2021

From variations on the subscription model itself, to inbound marketing or product led growth, account based sales models and Customer Success organizations, the CFO is in the driver’s seat to guide the corporate vessel through evolving models and changing economics. Budgeting Best Practices.

Benchmarks 52

Benchmarks Sales Hiring Headcount Customer Lifetime Value 52

Totango

APRIL 14, 2020

While most of us associate the digital leap to subscription and third-party software services with customer empowerment, those same tech advances make it easier than ever to provide personalized care in a targeted, scalable manner. Once it is in operation you’ll get access to information vital to your customer segmentation scheme.

B2B 71

B2B Scale Marketplace as a Service Sales Hiring 71

ChurnZero

JANUARY 7, 2020

The need to manually search for specific customer metrics meant the team was r eactive rather than proactive. This has allowed for the optimization of their trial subscriptions program. . It has allowed the team to scale to 500+ accounts without the need for additional headcount. . Scale their processes.

Scale 52

Scale Headcount Consulting Customer Success 52

ChurnZero

DECEMBER 18, 2020

Like let’s take a more conservative approach in the earlier months of the year in terms of adding headcount. Q: What key metrics can Customer Success share with product to help prioritize their goals? What are your metrics? Those metrics are going to look at the impact. What are your goals?

Customer Success 87

Customer Success Sales Recruiting Sales Hiring Finance 87

CustomerSuccessBox

DECEMBER 3, 2021

You may find yourself protecting your headcount, rooting for investments you want in tech, and giving suggestions for new product features. The biggest cost areas are typically staff-related (salaries, tax, travel, training, recognition), systems (software subscriptions), and facilities. Show quantitative data.

Customer Success 52

Customer Success Data Technical Review Headcount 52

CustomerSuccessBox

DECEMBER 14, 2021

That’s the beauty of the subscription economy. Thus, Customer Success is the one responsible for getting more licenses and subscriptions from those customers. Measuring the leading indicators and metrics is one of the ways to make that shift. Well, how can you grow your business through current customers?

Customer Success 52

Customer Success Customer Lifetime Value Headcount Forecasting 52

Totango

OCTOBER 8, 2020

This uncertainty has forced the SaaS and subscription industries to work to improve customer retention as the market for new business shrinks. Introducing a scalable digital solution now will leverage your current resources toward taking proactive steps to create value without the need to add to your headcount during an uncertain time.

Retention 63

Retention Headcount Customer Success Engagement 63

ChurnZero

JUNE 3, 2022

VC and PE firms now ask founders about the metrics owned by CS teams, specifically NRR and GRR , within the first ten minutes of conversation. I bet most, if not all, of them were based on a subscription. You Mon: Yes, it’s like my manager asked me for a metric that I’ve never heard of before, but I know your system does it.

Customer Success 52

Customer Success Sales Hiring B2B Technical Review 52

ChurnZero

JUNE 3, 2022

VC and PE firms now ask founders about the metrics owned by CS teams, specifically NRR and GRR , within the first ten minutes of conversation. I bet most, if not all, of them were based on a subscription. You Mon: Yes, it’s like my manager asked me for a metric that I’ve never heard of before, but I know your system does it.

Customer Success 52

Customer Success Sales Hiring B2B Technical Review 52

SmartKarrot

NOVEMBER 23, 2022

You will drive the Customer Success strategy and mentor the team on the best ways to support the clients from pricing to invoice and everything in between. Accurately forecast efforts for capacity planning and develop an accurate capacity model to ensure proper headcount throughout the year. Track customer health metrics and KPIs.

Customer Success 19

Customer Success Headcount Payment Features Forecasting 19

SmartKarrot

DECEMBER 18, 2020

1 More control over metrics to measure ROI. There are many metrics like customer satisfaction, net promoter score, etc., Metrics like how many tickets have been closed and how fast they were closed have been serving the tasks of measuring the customer service efforts. So, let’s look at those trends here. #1

Marketplace as a Service 10

Marketplace as a Service Trends Customer Lifetime Value Headcount 10

SmartKarrot

DECEMBER 18, 2020

1 More control over metrics to measure ROI. There are many metrics like customer satisfaction, net promoter score, etc., Metrics like how many tickets have been closed and how fast they were closed have been serving the tasks of measuring the customer service efforts. So, let’s look at those trends here. #1

Marketplace as a Service 10

Marketplace as a Service Trends Customer Lifetime Value Headcount 10

Kellblog

NOVEMBER 23, 2022

The first slide is focused on the ARR leaky bucket, metrics derived from ARR, and ARR-related product.ivity measures. Slide 1: The Leaky Bucket of ARR and Related Metrics. Not to be confused with cash conversion score which is defined as an inception-to-date metric, not a period metric. Expansion ARR as % of new ARR.

Technical Review 123

Technical Review Software Review Forecasting Churn 123

SaaStr

JUNE 10, 2020

We’re going through layoffs and furloughs, recession planning and for me as the CMO, facing really massive cuts to marketing budgets and headcount. Most travel tech companies are usage based, do you think we will start seeing more subscription-based? Yeah, I mean, we didn’t set up success metrics for PassThePlane.

Travel 241

Travel Scale Marketing Outsourcing Services 241

ChurnZero

DECEMBER 27, 2022

6/ How to transform Customer Success into a profit center with metrics and forecasting. Learn how to emphasize the financial value of your CS team by choosing the right metrics. Is your headcount staying flat next year? When people think of top-line growth, they often think of sales. Not so much. Are QBRs dead?),

Leadership 90

Leadership Benchmarks Headcount Machine Learning 90