SaaStr

NOVEMBER 25, 2022

Atlassian’s Chief Revenue Officer, Cameron Deatsch, walks us through how Atlassian grew over the course of 20 years and became one of the most successful startups today. They have grown to over $3 billion in revenue while keeping sales and marketing spending under 15% of revenue for all 20 years they’ve been in business.

Scale 227

Scale Scaling Marketplace as a Service Entrepreneurship 227

SaaStr

JANUARY 2, 2020

If you can get to $10m ARR, with positive revenue retention, you can indeed get to $300m ARR. So riding this wave alone should 2x your revenue, maybe even 4x it. But I do know that if you hit $10m ARR with 100%+ net revenue retention, and happy customers … well, it can be you, too. VCs may mock this. But hold on.

Retention 250

Retention Cloud Churn Pricing 250

SaaStr

FEBRUARY 20, 2021

SaaS eSignature Market: From $1 Million in 2006 to $1 Billion in 2018 to $5 Billion in 2023. If you believe it’s big enough on Day 1, and you get a basic enough revenue base going in 24 months … you’re probably in a $100m+ market. So wherever you are in the early days, you can at least be 100x larger.

Scale 312

Scale Marketing Acquisition Scaling 312

SaaStr

OCTOBER 3, 2019

To me, companies will always be trying to innovate around how do they serve their customers better and their employees better in order to build their businesses and drive more revenue. The company was founded all the way back in 2006, amazingly. The first is just literally funding the company in 2006. Just a bit of history.

SaaS 144

SaaS Sales Hiring Scale Innovation 144

SaaStr

MARCH 1, 2019

When we sold EchoSign to Adobe in 2011, we were profitable, doing $1m a month growing ~100% YoY, had 37% usage market share and 31% revenue market share, and the entire market was probably $50m in size. It was a fair “exit” by the standards of the time, with a reasonable multiple of revenue. 20x+ larger. Now I know.

Startup 126

Startup Revenue Marketing SaaS 126

SaaStr

DECEMBER 29, 2019

We launched on January 1, 2006 on TechCrunch , and while we closed some good names that first year (Dell, BT, Qualcomm, GE, Comcast, etc.), it wasn’t until later on in 2007 that we had enough revenue to create a large enough group of customers to go on a 10 Year Journey with. Really, quite a lot. My mistake. You know this.

Scale 349

Scale Churn Construction SMB 349

Chargify

AUGUST 6, 2019

In 2006, Brian and Dharmesh started HubSpot with the aim of helping people grow their businesses through a less intrusive, more human approach to marketing. How to start a cult like HubSpot” , using the Internet to promote your product wasn’t a new idea in 2006. HubSpot employees: 2006: 3 employees. 2007: 48 customers.

Subscription 40

Subscription Payment Features Revenue Software Review 40

SaaStr

JANUARY 25, 2021

But I couldn’t see it, because we came up about 50% short on our revenue plan. SaaS eSignature Market: From $1 Million in 2006 to $1 Billion in 2018 to $5 Billion in 2023. We accomplished so many great things in our first year. But we hit everything else. So, really, that delta was irrelevant from a long term perspective.

Sales Recruiting 265

Sales Recruiting Sales Hiring Scale SaaS 265

Andreessen Horowitz

APRIL 23, 2024

I’ve been an entrepreneur since 2006. One of the criticisms of SMB software is that each customer can only provide so much revenue. René: Even though subscription is less than 30% of our overall revenue, it’s still the cornerstone. And I think that’s because it is harder to get distribution.

Payments 107

Payments Forecasting Payment Services Payment Solutions 107

FastSpring

MARCH 10, 2023

In 2006, founded iOSXpert — now the largest partner of the Mac-based CRM and project management software Daylite. So it looks like 2006. Your LinkedIn says April 2006. So I’m just I’m fascinated because 2006 is like, that’s way before iOS was even a thing. No, nobody had made one one euro revenue that.

Consulting 78

Consulting Underperforming Technical Team Interviewing Software 78

Tom Tunguz

APRIL 14, 2014

Last week, we proved SaaS startups are raising more than they have in the past and newer SaaS companies seem to be generating more revenue per dollar invested. But this increased spend results in faster revenue growth and consequent higher revenue. The engineering spend story is similar, but greater in magnitude. 1998 34 11.

Engineering 100

Engineering Investment Sales SaaS 100

Hitenism

NOVEMBER 7, 2016

In 2006, after Amazon Web Services (AWS) helped pioneer what we now call the cloud, product development changed forever. run rate business and has made up for an incredible 67% of Amazon’s operating revenue last quarter. run rate business and has made up for an incredible 67% of Amazon’s operating revenue last quarter.

AWS 189

AWS New CTO Scale CTO 189

Tom Tunguz

JULY 26, 2016

Large market; logical revenue model; rapid-adoption; stealth/secrecy; proper compensation of the leadership team. To cite one critical counterexample, Concur’s rapid revenue growth in 2006 and 2007 occurred after nearly a decade of tepid expansion. The McKinsey study breaks down rapid growth into two parts.

Startup 143

Startup Compensation Leadership SaaS 143

Intercom, Inc.

SEPTEMBER 22, 2020

This was one of the defining moments that inspired the creation of HubSpot back in 2006. There are no pricing benchmarks, no existing business or revenue models to follow, no idea if there’s even a market for it. Brian says: “My ‘aha’ was that it was impossible to market to a modern human, they were getting good at blocking it out.”.

Venture Capital 211

Venture Capital Advertising Communication Branding 211

Tom Tunguz

APRIL 3, 2014

To answer that question, I’ve taken the same basket of public SaaS companies and computed a revenue-on-invested-capital (ROIC) across the four 4-year IPO cohorts from 1998-2014. The revenue-on-invested-capital is the revenue at IPO divided by the venture dollars raised pre-IPO, inflation adjusted and measured in 2014 dollars.

Startup 100

Startup Trends Investment Cloud 100

Tom Tunguz

FEBRUARY 20, 2017

Founded in 2006, Mulesoft is an 850 person company based in San Francisco that builds data integration tools. Today, the business generates nearly $200 million annually in revenue, and is growing at 70%. To be growing at 70% while generating more than $150 million in revenue is an incredible accomplishment.

Metrics 100

Metrics Benchmarks Scale Finance 100

Tom Tunguz

APRIL 2, 2014

The first row contains data from IPOs between 1998-2002, the second bucket contains data from IPOs between 2002-2006 and so on. 2006 66 4.0 In a future analysis, I’ll calculate the ratio of revenue dollars to VC dollars invested to get a sense of the reality of cloud capital efficiency per revenue dollar.

Finance 100

Finance Trends SaaS Cloud 100

Tom Tunguz

AUGUST 26, 2014

We will explore revenue growth, average revenue per customer, sales efficiency, payback periods, net income, gross margin and engineering spending. HubSpot has achieved amazing revenue growth in their first 7 years as a company growing by more than 12x from $5.7M in 2009 revenue to 2013 revenue of $71M - an 88% CAGR.

Benchmarks 111

Benchmarks SMB Metrics SaaS 111

Baremetrics

DECEMBER 12, 2021

Say you started contributing to a 401(k) when you turned 50, at the start of 2006, maxing out your contributions each year (from $49k in 2006 to $63.5k If you think your retirement tax bracket will be higher, there’s a Roth option with the same limits.

Business 98

Business Compensation Investment Government 98

Tom Tunguz

MAY 27, 2015

Of the 43 SaaS companies to have gone public in the time period between 2006 and 2014, 60% are trading above their IPO pop price – the price at the end of their first day of trading. The data also shows that over time, companies appreciate more as their revenues grow. The median company has appreciated 69% since its IPO.

Marketing 100

Marketing SaaS Trends Pricing 100

How To Buy Saas

APRIL 25, 2024

The Development of the SaaS Field through Years Today, the software as a service market boasts tremendous global revenue and is projected to achieve a valuation of $232 billion in 2024. Most interestingly, we’ll discuss how artificial intelligence has improved the operation of SaaS businesses over the years and what to expect next.

Artificial Intelligence 52

Artificial Intelligence AI Trends Machine Learning 52

Tom Tunguz

JULY 29, 2015

In the last ten years, Netsuite has grown revenue from $18M to $556M. In 2006, according to the company’s S-1, the business shifted from longer term contracts to one year contracts. Netsuite’s revenue per customer averaged $19k in 2008, and $23k in 2009, the last years for which the company provided customer counts.

Benchmarks 101

Benchmarks Outsourced Development Metrics Scale 101

Casey Accidental

NOVEMBER 28, 2023

The revenue from this will help drive more investment in the consumer product side of Eventbrite, which hopefully drives more consumers looking to Eventbrite to find things to do and buying more tickets from our creators. billion exit, Grubhub made a lot of mistakes.

Payments 63

Payments Scale Payment Methods Underperforming Technical Team 63

Tom Tunguz

MAY 13, 2015

In its first year of selling, the company generated $800,000 in revenue. Over time, as the company began to serve larger customers and began offering customization of their procurement software, the gross margins dipped reaching its nadir in 2006, at 46%. Ariba went public in 1999 three years after having been founded.

Outsourced Development 111

Outsourced Development Software Review Technical Review compliance 111

Tom Tunguz

FEBRUARY 11, 2013

On a Saturday morning in August of 2006, Sergey Brin and a team of Googlers flew to Los Angeles to meet Tom Anderson and his MySpace team. At the time social networks like LinkedIn, Bebo, MySpace, Hi5, BlackPlanet and others generated about 40% of ad impressions for AdSense, but only 2 to 3% of revenue. The disparity was extreme.

Social Media 100

Social Media Outsourced Development Machine Learning Artificial Intelligence 100

SaaStock

MARCH 20, 2019

Founded: 2006. ProfitWell provides industry standard subscription financial metrics that uncover pockets of hidden revenue through unmatched subscription intelligence. By the end of 2018, Shopify managed to bank over $1 Billion in revenue, reaching quite the milestone and rightfully earning the crown of top SaaS company.

SaaS Payments 271

SaaS Payments Merchant Services Payment Solutions Payments 271

OpenView Labs

MAY 27, 2020

In 2006, Brian Halligan and Dharmesh Shah founded HubSpot to help businesses “market to humans.” Within eight years, HubSpot grew from zero to $100+ million revenue with an IPO in 2014. Traditional marketing was broken, they believed, so they set out to fix it.

B2B 52

B2B Acquisition Metrics Engineering 52

OPEXEngine

NOVEMBER 22, 2022

Online accounting software provider Xero, for example, was founded in 2006 and now trades publicly at a 22x Enterprise Value to TTM Revenue multiple. Such companies evolved later than Horizontal SaaS companies; however, both the number of companies and their revenues are growing much faster.

Business Model 52

Business Model SaaS Business Scale 52

Neil Patel

JULY 12, 2021

But marketing automation tools make your job a little more painless, so you and your team can focus your time and attention on other efforts that drive revenue. Pardot , a Salesforce company, is a marketing automation suite perfect for boosting your revenue. With this tool, you can take your revenue to the next level.

Payment Methods 145

Payment Methods Scale Payments Marketing 145

Baremetrics

APRIL 26, 2021

Adyen, a Dutch payment company dating back to 2006, also has its fair share of the market. for ACH direct debit, credit, and wire transfers (maximum fee of $5) 0% for your first $1 million in recurring revenue, then 0.5% Stripe is one of the biggest names in the payment processor business. Stripe Fees 2.9% for most local payments 2.7%

Payment Services 59

Payment Services Merchant Services Payment Methods Payments 59

Sales Enablement, SaaS and Growth

APRIL 10, 2018

At HubSpot I have both a quota attainment goal and influenced revenue goal, which arises from deal support. I also think it’s important to state that while I have an influenced revenue goal from deal support, which is inherently measurable, sales enablement often influences revenue in many more, but less measurable ways.

Scale 112

Scale Sales Sales Enablement Software Review 112

Sales Hacker

MAY 21, 2020

Although an inbound lead generation strategy isn’t new news (Hubspot’s co-founder and CEO, Brian Halligan, coined the term over a decade ago in 2006), this prospect-initiated approach has blurred the lines between sales and marketing. . — to entice the prospect, but the prospect makes the first move.

Scale 132

Scale Underperforming Technical Team Headcount Technology 132

Chargify

AUGUST 17, 2020

As of late 2019, Amazon’s cloud services business, Amazon Web Services (AWS), accounts for about 71 percent of its parent company’s operating income and about 13 percent of the brand’s overall revenue. In just the last year, Twilio saw revenue jump 57 percent year over year as customer accounts rose 23 percent. How AWS Does It.

AWS 98

AWS Payment Services SaaS Payments Payments 98

SaaSHolic

FEBRUARY 23, 2022

Brian Halligan Brian is the founder and CEO of HubSpot , a super hot startup founded in 2006 in Boston that went public in 2014 — leading the marketing automation market worldwide. Aaron Ross Aaron Ross is not a CEO nor founded any company, but who cares — he’s the guy that built the process that brought Salesforce.com $100M in extra revenue.

Venture Capital 52

Venture Capital SaaS Social Media Startup 52

The Angel VC

DECEMBER 25, 2010

million used books, CDs, DVDs and games from private sellers since 2006, has been equally impressive. Thanks and merci to you, Jack and Rian , and your growing team of hand-picked rock-star developers and industry experts. The development of Momox , which has bought more than 8.4

Cloud 106

Cloud Investment B2B Subscription 106

ProfitWell

JULY 15, 2019

Boom and bust: 2006-2017. What was an RSS aggregator in 2006 is now an internal messaging app for your company in 2017, called Sitrion. Flickr's pricing now looks the same as 2006, but their pricing structure has changed time and again over the last decade to find a happy medium between revenue growth and user growth.

Pricing 41

Pricing Business Model Cloud Venture Capital 41

SaaSHolic

FEBRUARY 6, 2023

Brian Halligan Brian is the founder and CEO of HubSpot , a super hot startup founded in 2006 in Boston that went public in 2014 — leading the marketing automation market worldwide. Aaron Ross Aaron Ross is not a CEO nor founded any company, but who cares — he’s the guy that built the process that brought Salesforce.com $100M in extra revenue.

Venture Capital 52

Venture Capital SaaS Social Media Startup 52