This site uses cookies to improve your experience. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country, we will assume you are from the United States. Select your Cookie Settings or view our Privacy Policy and Terms of Use.
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Used for the proper function of the website
Used for monitoring website traffic and interactions
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Strictly Necessary: Used for the proper function of the website
Performance/Analytics: Used for monitoring website traffic and interactions
Dear SaaStr: What Are the Most Important SaaS Metrics in the Early Days? In the early days, there are probably only 5 metrics that really matter : ARR ARR Growth Rate Burn Rate True Customer Happiness. NPS is A Great Core Metric. Don’t get lost in secondary metrics and miss the bigger early-stage goals.
As Checkr follows usage-based pricing, it’s a transactional business that needs to be managed differently than a typical subscription SaaS model since they only earn revenue when the customer is using the product. ” Quickly, Lindsey found that comp plans weren’t aligned with Checkr’s revenue goals and incentives.
So, you should think about it the same way and use it intentionally to drive growth, revenue, or whatever else, but think about it more than something you set at once and forget. But if you’re trying to maximize revenue, you have to find the revenue maximization point.
Next, define what you need from a metrics and reporting standpoint. Startup Metrics with Dave McClure Dave McClure has a great presentation on Startup Metrics where he points to some additional metrics that are useful to consider: A : Acquisition - Where / what channels do users come from?
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 engagement.
Revenue, Revenue_USD, Revenue_new, rev2, customer_revenue. Minerva is ubiquitous inside Airbnb - it manages more than 12,000 metrics and 4,000 dimensions across 200 data producers. Imagine the customer success team asks for a revenue chart in their CRM: it’s as easy as siphoning the data from MetricsFlow via a API call.
They know they’ll need an ever-expanding team to hit compound revenue targets—2 reps, then 4, then 8, then 16, and eventually 64 or more. The 90-Day Revenue Test While 30 days is enough to evaluate their hiring decisions, you should see clear revenue improvements within 90 days (or one full sales cycle).
Anyone who has managed a larger BI deployment has faced the challenge of managing hundreds, perhaps thousands of metrics. Marketing & sales define revenue or leads or cost-of-customer acquisition differently. In the BI tool, a marketing analyst finds three metrics: cost_of_customer_acq, CAC2, & new_CAC.
Here’s what it really took for Attentive to go from $0 to $500M ARR in just 7 years, sending over 32B text messages and generating $20B+ in revenue for their 8,000+ customers. CEO Amit Jhawar joined us at SaaStr Annual for a deep dive: 1. Solve The Hard Problem First And Patent It The first key insight?
Speaker: Christopher Ryan, Founder and CEO of Fusion Marketing Partners
Enabling your sales & marketing teams to work together with their own defined set of metrics; A case study that illustrates these important strategies; And more! Don't miss out on this opportunity to get your teams working together and your revenue performance optimized. April 29, 2020 11:00 AM PDT, 2:00 PM EDT, 7:00 PM BST.
The Rise of “Experimental Revenue” Here’s what’s fascinating: we’re seeing something entirely new in the AI space – what I’ll call “Experimental Revenue.” Focus on Production Use Cases The key metric isn’t initial adoption – it’s production deployment.
Their unique contract structure, where additional seats came at no extra cost during the contract term, meant CS could focus entirely on driving valuable adoption that would translate into massive expansion revenue at renewal time. The metrics are simple because the goal is simple: grow or die.
They prioritize revenue growth, market share and profit maximization differently. Maximization (Revenue Growth) - maximize revenue growth in the short term. Many mid-market software companies price with the goal of revenue maximization, negotiating for the highest possible price in each sale.
What are the three most under-discussed metrics on social media, with VCs, and especially with founders? Very few founders use net new customer count as their #1 KPI because they’re solely focused revenue growth. Fastly , an Enterprise CDN at $500M in revenue is only growing its customers 1%. You’re hiding in NRR.
With outcomes and metrics that align directly, find out why customer success should be the foundation of a customer marketing strategy. Customer Success teams actively track KPIs and metrics that directly align with customer marketing outcomes. How marketing to customers generates revenue. Who should own customer marketing.
It created a lot of discussions and was more controversial then — that NPS was a great core metric. Back then, I wrote that when I was a SaaS founder, I thought Net Promoter Score (“NPS”) was a somewhat dumb, Big Company metric. NPS isn’t tied to upsells, churn, or revenue. NPS is A Great Core Metric.
The Metrics That Matter Have Changed Dramatically The “growth at all costs” era is dead. In 2019, top SaaS companies spent 50-55% of revenue on sales and marketing. But watch out – this is a major undertaking that touches product, engineering, sales, and finance. It’s down to 30%. Make them visible to everyone.
I realized It has been a decade since I’ve updated revenue-per-employee metrics. Revenue per employee spans approximately $200k-$900k. In 2013, the average revenue per employee of these companies totaled $200k. In 2023, these companies added about $37k in revenue per employee, but the range spans $18-71k.
So we’ve covered HubSpot more than any other SaaS leader on this 5 Interesting Learnings series, in part because so many of us use HubSpot ourselves, and in part because its metrics and use cases are so like many of the apps we build and sell ourselves. 5 More Interesting Learnings then: #1. 3+ Product (Hub) Customers Worth 2.7x
Multiple industry studies confirm that regardless of industry, revenue, or company size, poor data quality is an epidemic for marketing teams. This buyers guide will cover: Review of important terminology, metrics, and pricing models related to database management projects.
Let’s jump right into this set of community questions focused on SaaS metrics, growth, and efficiency. What metrics should we expect in this environment? The average public company today has over $300k of revenue per employee; in 2021, it was just over $100k. These payback metrics are important for investing.
Meet Wyatt Jenkins: From Construction Sites to Chief Product Officer If you want to understand how vertical SaaS companies scale to $1B+ in revenue while staying true to their customers, there’s no better person to learn from than Wyatt Jenkins, Chief Product Officer at Procore Technologies.
Former Head of Revenue at BILL and HubSpot Americas leader Michelle Benfer recently joined us on a SaaStr Workshop Wednesday share her insights on one of the most critical roles in any SaaS organization: the frontline sales manager. Driving revenue through acquisition, expansion, and retention. Shaping and maintaining company culture.
How do you leverage your customer success team to drive revenue growth? Hook’s Head of Customer, Natasha Evans, took the stage at SaaStr Europa to discuss the three things leaders should focus on to fuel revenue growth. It will help drive revenue growth, which is the name of the game. I think they’re in a good spot.
Speaker: Jon Steinberg, Co-founder of Mountside Ventures, and Clayton Whitfield, Co-Founder and SVP of Revenue Programs at SaaSOptics
During this panel discussion, Jon Steinberg, Co-Founder of VC advisory firm, Mountside Ventures, and Clayton Whitfield, Co-Founder and SVP of Revenue Operations at SaaSOptics, will explore the different types of SaaS funding options available today, the process and timing of evaluating them, and how best to prepare yourself for raising funds.
Kyle Norton CRO of Owner is kicking off a new podcast for Pavillion with revenue leaders, and we were lucky enough to be guest #001 here: It’s a great convo on many SaaStr themes — but from the perspective of a VP Sales / CRO. Prepare your presentations with this in mind, balancing metrics with high-level strategic insights.
How Revenue Multiples Really Fall After Each VC Round #3. And a few other related metrics, JIC of interest: 33% of our views came from SEO / search 15% of our views came from our own SaaStr newsletters 8% of our views came from LinkedIn and X/Twitter. We had 940 posts in 2024 alone! Venture-Backed or Bootstrapped? Theres a Third Way.
So over the past decade-and-a-half we’ve come up with a lot of yardsticks, metrics and rules for SaaS companies. E.g.,: CAC of < 12 months is Good-to-Great Paying sales reps 25%-30% of what they close is Good A burn ratio of 1 or less is Good These metrics do sort of work, if you have some capital to spend (i.e., It depends.
The event is known for its focused content on SaaS growth strategies, metrics, and best practices, making it particularly valuable for B2B SaaS companies. It’s the largest non-vendor SaaS conference in the world, typically drawing over 12,000 SaaS founders, executives, and investors.
For a VP of Customer Success (VPCS), their “quota” or ownership should revolve around two key metrics: Net Revenue Retention (NRR) and Gross Retention Rate (GRR). NRR is the North Star metric for customer successit measures how much revenue youre retaining and expanding from your existing customer base.
Big customers should churn less on a net revenue basis (including upsells) than small customers. NPS is A Great Core Metric. And then magic will happen. Because churn is the one thing everyone in the company can impact, on some level. Second, segment churn. I see too few SaaS start-up and scale-ups truly segment churn. Not for real.
3 Unexpected Learnings from Datadog’s Marketing Playbook Press relations and analyst activities often contribute almost nothing to the bottom line – Datadog found that many “standard” marketing activities didn’t actually drive customer acquisition or revenue, despite their visibility.
Versus, apparently, a plan for $1m in revenues the first year acc. But a useful metric to understand nevertheless. It shipped Lotus 1-2-3 in January ’83 and sold $50m in software in its first year on the market — that must be $100m+ in today’s $$$. to Wikipedia. It IPO’d later that same year of launch.
Time-to-value plummeted Expansion revenue became almost automatic Sales cycles got more honest and efficient The 5 Things We Learned About Customer Success at $100M+ ARR Sales actually exaggerates. Time-to-value is your most critical early metric. Shocking, I know. But a great CS team keeps promises realistic and achievable.
With 90% of the Fortune 100 on GitHub and 40% of its $2B revenue coming from AI products, these real-world examples will also help you launch an AI-powered product at scale. Other places this feedback loop worked well were: Adoption loop metrics. Customers crave metrics about how teams are using all AI products.
Dear SaaStr: What are The Most Common Mistakes Founders Make When They Are Just Starting to Scale Revenue? NPS is A Great Core Metric. The post The 6 Most Common Mistakes Founders Make When They Are Just Starting to Scale Revenue appeared first on SaaStr. More on that here: I Was Wrong.
Top 10 EV / NTM Revenue Multiples Top 10 Weekly Share Price Movement Update on Multiples SaaS businesses are generally valued on a multiple of their revenue - in most cases the projected revenue for the next 12 months. Revenue multiples are a shorthand valuation framework. Even a DCF is riddled with long term assumptions.
But unless you are raising from folks that truly invest pre-revenue, investors are going to want to see 3 strong months of growth in a row. Look at your metrics objectively. Would you invest, yourself, based just looking at the communications and metrics? Its OK if the prior 12-24 were slow. Re-read that deck.
When Graham joined in February of last year, Codeium had approximately 200 customers generating low single-digit millions in revenue, combining self-service and enterprise annual contracts. Without it, longer ramp periods translate directly to lost revenue. Hire “good humans” who are exceptional operators.
Learn about the most important SaaS metrics for founders in 2023 with the CEOs of the most metric-oriented company, monday.com, and the founder of SaaStr. For a quick recap on SaaS metrics: What is ARR in SaaS? ARR stands for Annualized Recurring Revenue, although its real-world definition has evolved over time.
What data and metrics do you need to convince SaaS investors you’re in good shape and aligned with what they care about? These metrics are more targeted to those preparing for a Series A or B round and could make the difference between an excited-to-invest-in-you investor and a pass. What gets investors excited about this metric?
Some fun facts: 10+ years of SaaStr conference attendance Partner at Point Nine Capital, a leading early-stage VC firm Geographic reach: Actively investing across Europe, US, and Australia Notable portfolio: Zendesk, Algolia, Contentful, Loom (and many more) Known for his “five ways to build a $100M business” framework The 5 Key Things (..)
200+ dedicated workshops and braindates with the best in SaaS, Cloud and AI, from intimate small sessions to 20-50 person workshops from the best Our CRO + CEO Poker Night where we bring 200 top revenue leaders together with CEOs and founders of B2B / AI companies attending Our 4th annual CMO Summit for top CMOs and the CEOs that want to meet them!
25x’d Revenue and Crossed $100M ARR Apollo.io, an all-in-one go-to-market platform, underwent a significant transformation in its business model that led to remarkable growth. Apollo’s sales-led approach was proving unsustainable, spending one dollar to acquire just eighty cents of revenue.
We organize all of the trending information in your field so you don't have to. Join 80,000+ users and stay up to date on the latest articles your peers are reading.
You know about us, now we want to get to know you!
Let's personalize your content
Let's get even more personalized
We recognize your account from another site in our network, please click 'Send Email' below to continue with verifying your account and setting a password.
Let's personalize your content