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In this week’s Workshop Wednesday, RevenueCat CEO Jacob Eiting and Growth Advocate David Barnard share their annual State of Subscription Apps report with us. So, let’s look at the state of subscription apps and how B2B SaaS can learn from it. Churn is much higher on consumer subscriptions, but you have higher expansion revenue.
So RevenueCat (where I was fortunate enough to be the first investor) now is the embedded mobile subscription API for 30,000 (!) Their 2024 State of Subscription Apps Report is out , and here were my top learnings: #1. 70% of Mobile Subscription Apps Now Offer Free Trials, At Least in Part. Billion in tracked revenue.
Subscription-based models have become a dominant force across industries, from entertainment and media to SaaS and eCommerce. As more businesses embrace this model, ensuring seamless, reliable, and cost-effective payment methods is essential for long-term success.
So RevenueCat has its latest “Sate of Subscription Apps 2025” report out and there is a ton of great stuff in here. So they see 40% of all mobile subscriptions — and a ton of data from it. Across a stunning 75,000 paid subscription mobile apps. Not all of it is relevant to B2B but a big chunk is.
Revenue growth is up 21% overall, and subscription growth is up 33% — at almost $5 Billion in ARR. So Atlassian is on a bit of a tear. Wall Street is happy. It’s driven Atlassian stock up +28% after the results: Is SaaS back? Let’s dig in. 5 Interesting Learnings: #1.
By BluLogix Team Navigating Complex Pricing Models in the Subscription Economy Introduction In the subscription economy, Managed Service Providers (MSPs) must adapt to increasingly complex pricing models to meet the evolving needs of their customers. Gone are the days of simple, one-size-fits-all pricing.
By Inga Broerman Preparing for Regulatory Changes in Subscription Management The subscription economy is thriving, with businesses worldwide adopting models that offer flexibility, scalability, and recurring revenue streams. Subscription management platforms simplify this process by capturing and storing consent records.
The concept of unearned revenue can easily trip up SaaS companies that offer subscription services and products on a recurring basis. Unlike when selling ordinary products, you cannot recognize the revenue earned from a subscription all at once. In the case of SaaS subscriptions, this could take several months—or even years.
In 2023, companies are looking to improve their revenue and drive sustainable growth by scaling their subscription offerings, to increase the rate of growth and resilience by moving from one-time sales to recurring revenue.
By Inga Broerman How High-Performing Subscription Businesses Maximize NRR For subscription-based businesses, Net Revenue Retention (NRR) is the ultimate measure of growth and sustainability. High-performing subscription businesses use NRR as a growth engine , ensuring that renewals and expansions outpace any losses from churn.
You might be surprised to know that SaaS companies can learn a lot from their consumer subscription counterparts. 4: High-end sales teams Increasingly, SaaS organizations leverage inside sales teams, since selling subscriptions is easier and less of a commitment than selling enterprise software. 3: Make onboarding seamless.
By Kegham Khrigian The New Standard for Subscription Renewals: Intelligent, Automated, and Scalable For subscription businesses, renewals are the foundation of predictable revenue and long-term growth. Subscription models thrive on automation, accuracy, and data-driven decision-making and renewals should be no different.
By Inga Broerman How Usage-Based Pricing is Transforming Subscription Billing The subscription economy is undergoing a transformation, driven by the rising popularity of usage-based pricing. The days of flat-rate subscriptions being the default option are gone. Your ERP cannot bill usage subscriptions.
With this playbook, we’ll show you how to implement an AR management process to handle late payments, subscription renewals, and other recurring billing functions. If you’re like many SaaS startups, billing and payment management is a big challenge.
By Inga Broerman How Industry Consolidation is Reshaping Subscription Billing The subscription economy is on a path of rapid growth and transformation, projected to reach a $3 trillion valuation in 2024. Prioritize Integration: Ensure your billing systems are seamlessly connected to your CRM, ERP, and subscription management tools.
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.
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.
By BluLogix Team Subscription Billing vs. Usage-Based Billing: Which Model Wins in 2025? Introduction Introduction Subscription billing has been the backbone of SaaS, telecom, and cloud services for years, but consumption billing is quickly gaining traction. Businesses can forecast cash flow and plan budgets with ease.
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.
By BluLogix Team The Rise of the Subscription Economy for IT Service Providers Introduction The subscription economy is reshaping how businesses across all industries operate , and IT Service Providers (ITSPs) are no exception. Increased Customer Loyalty Subscription-based services also help build stronger customer relationships.
If a business wants to shift to an entirely new model, such as it wants to move from a traditional model to a subscription based one, it needs to migrate to a new billing system. A system which supports recurring subscriptions, and advanced pricing strategies. The subscription plans must be transferred to the new software as they are.
RevenueCat is the dominant solution to manage subscriptions in the mobile world. mobile apps with a subscription use their API/SDK, and they have a massive data set. But many of the largest SaaS and B2B vendors, from Notion to other leaders, use RevenueCat as well to manage mobile subscriptions. Over 30% of U.S.
Automate Proration and Usage-Based Adjustments : One common challenge for UCaaS companies is managing proration and changes to subscription levels mid-cycle. By delivering transparent billing information, you can reduce customer disputes, enhance satisfaction, and improve retention.
Fraud is ever changing – especially for merchants that offer online services and subscriptions. This report outlines the most common types of fraud to look out for in 2023 and offers merchant-reported preferred best practices to help minimize fraud losses. In the report, you’ll find: The scale and type of fraud seen in the global marketplace.
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.
By Inga Broerman The Renewal Blind Spot: Where Subscription Businesses Lose the Most Revenue Renewals should be a source of predictable, recurring revenue yet for many subscription businesses, they are a pain point filled with inefficiencies, missed opportunities, and revenue leakage. The result?
Companies need to: Ensure secure data handling Maintain clean data for model training Integrate effectively across multiple systems Enable real-time data access where needed Evolution of Business Models The integration of AI is driving changes in how vertical software companies approach pricing and business models: Pricing Strategies Traditional subscription-based (..)
RevenueCat (where I was lucky enough to be the first investor) automates subscription management for mobile apps. It recently published its annual review of data from the 10,000+ mobile apps it powers subscription management for and I learned a few interesting things: Longer Trials Are Better.
Download this guide and learn these insights: How failed payments disrupt the SaaS user experience Why relying on customer service outreach can hurt your subscription business CX best practices that SaaS companies can use to create the ideal failed payment recovery strategy
Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4). Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA. Net new ARR is simply the ARR of the current quarter, minus the ARR of the previous quarter.
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. We led the U.S. seed in Algolia, and were the first VC investor in Talkdesk! #2. RevenueCat Launches First App Growth Conference, Sep 25th at Shack 15!
Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4). Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA. Net new ARR is simply the ARR of the current quarter, minus the ARR of the previous quarter.
You pay a subscription for websites to help you sell stuff. Fast forward to day, Merchant Solutions is a much larger share of revenue than software subscriptions. And yes, it’s a software company. Does this all count as “ARR”?
In our SaaS Payments 101 Guide, you’ll learn: How your payment services revenue can exceed your software subscription revenue. Explore this whitepaper to learn more about the payfac opportunity and why it has never been more important to your software business. Why bringing payments in-house will benefit you and your customers.
Monetizing ecommerce via subscriptions, but not payment processing. Rather, it charges for software subscriptions to take payments on its websites. 70% annual, 30% monthly subscriptions. Squarespace has rapidly expanded into ecommerce, with $3.9 Billion in GMV processed, up a stunning 91% from 2019.
We did a recent Workshop Wednesday with the CEO of RevenueCat, which manages the mobile subscriptions for over 10,000 paying mobile apps — 30% of all U.S. mobile subscriptions. That’s a lot of apps.
Are you a Digital River customer in emergency need of a new payment and subscription provider ASAP? FastSpring has already helped many Digital River customers make the switch , and if youre looking for a new merchant of record to help your digital business with payments and subscriptions, were here to help you, too.
Maxio provides subscription and revenue management solutions that help growing subscription businesses offer flexible pricing and packaging—without the financial headaches. With our platforms, SaaS companies can manage any subscription model, calculate revenue, and generate custom reports that investors love.
Usage by individuals then drives companies to purchase subscriptions or licenses. A product-led company is one that grows through user adoption and word-of-mouth recommendation. For this model to work, your product has to be genuinely desirable to the users you want to engage as the company's engine of growth.
Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4). Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA. Net new ARR is simply the ARR of the current quarter, minus the ARR of the previous quarter.
Subscriptions and services are growing 72% at a $3B run-rate. So while just under 20% of Square/Block’s revenue, subscriptions are growing the fastest and the highest margin. Square is at 57% margins blended between transaction revenue and subscription/services: There’s a lot going on at Square / Block.
62% of revenue from annual subscriptions. A reminder that, like Zoom , you don’t have to force annual subscriptions. But it’s just the start. Freshworks quintupled its customer base from 2015 to 2021. And a few bonus learnings: #6. 62% annual is up from 54% in 2019, so a big push there.
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