Chart Mogul

APRIL 25, 2019

We took a peek at how our own subscription model and cash flow is affected by the compounding nature of SaaS. 2015 (in royal blue) contributed the second biggest chunk. SaaS Q&A: How does annual billing impact a subscription business? Advanced Subscription Analytics for Recurly. MRR and cashflow cohort analysis.

Subscription 90

Subscription Payment Features Retention Startup 90

SaaStr

NOVEMBER 28, 2022

was pretty simplified, mostly made up of annual or monthly subscriptions. From 2010 until 2015, the SaaS world was becoming more complex with the introduction of static bundles and recurring revenue as an addition to the annual/monthly subscription model. Era 2, SaaS 2.0: Era 3, SaaS 3.0: New service offerings.

Scale 219

Scale Finance Sales Hiring Scaling 219

Clouded Judgement

JULY 21, 2023

I went back and looked at an old research report from Morgan Stanley from 2015 (believe this was after their first quarter as a public company). In March 2015 the Morgan Stanley model predicted Box would generate $400m of FCF in 2025. What I found was incredibly interesting. In other words, these transitions can be in fact predictable.

Cloud 130

Cloud Software Sales Hiring Scale 130

Clouded Judgement

JANUARY 19, 2024

” If we look historically at the period from 2015-2020 (ignoring 2021 IPOs) the rough medians were ~$200m ARR (minimum was $100m ARR), 50% YoY growth, and >120% net retention. Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4).

Cloud 177

Cloud Scale Compensation Metrics 177

Clouded Judgement

NOVEMBER 18, 2022

I looked at the period of 2015 - 2020 (right up until Covid, so excluding the Covid bubble) and picked out all of the cloud software companies that at one point in time were trading at >10x NTM revenue. Overall, out of my set of 96 cloud software companies, there were 49 that at one point traded >10x NTM from 2015 - 2020.

Cloud 130

Cloud Pricing Investment Revenue 130

FastSpring

FEBRUARY 8, 2024

Changelog posts from 2015-2020 are available on the archived post located at the bottom of the changelog posts displayed. Maintenance of secure payment processing systems. For subscription management, you can find out more information from Visa and Mastercard on payment reminders. Continual monitoring.

Payment Methods 78

Payment Methods Customer Support Merchant Services Payments 78

IT World

MARCH 25, 2022

Most businesses (maybe including yours) are striving to offer at least some services on a subscription basis. Apple is no exception, and has grown an $86 billion services business since roughly 2015. It looks as if Apple is moving in the same direction. Apple as a service. To read this article in full, please click here

Business 99

Business Subscription Payment Features 99

SaaStr

JANUARY 5, 2022

In 2015, SaaS cloud-based content management tool Box went public. There’s no denying that renewals are the most important motion in SaaS and subscription. Since then, their growth has been impressive, but it hasn’t always been steady. But this year, they’ve had three consecutive quarters of growth.

Scale 283

Scale Scaling Sales Hiring Software Review 283

Intercom, Inc.

AUGUST 27, 2020

?. The subscription model has revolutionized virtually every industry. Success in the subscription economy isn’t about having the best product; it’s about having the strongest customer relationships. From legacy business to subscription service. To navigate the current minefield of growth, businesses need to shift their focus.

Scale 211

Scale Payments Subscription Payment Features 211

The Angel VC

MAY 12, 2018

We generate over 90% of our revenue from self-serve channels — users who purchase a subscription through our app or website. As a result, each cohort of new users typically generates higher subscription amounts over time. From 2015 to 2017, Dropbox increased revenue from around $600M to ca. 3 – It’s a Mouse Hunter!

AWS 187

AWS Scale Subscription Payment Features 187

Clouded Judgement

DECEMBER 30, 2022

The below chart shows the difference in the top quartile multiple vs bottom quartile multiple going back to 2015 (ie how much bigger the top quartile multiple is than bottom quartile). Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4).

Cloud 130

Cloud Subscription Payment Features Pricing 130

SaaStr

APRIL 28, 2019

You can see our fun video with Stewart Butterfield from SaaStr Annual 2015 where he said they’d never have a direct sales force. Slack notes this is now the primary value of self-service (lead generation vs. direct conversion). But also — Slack has gone Enterprise. Way Enterprise. It took a little while. That has changed.

Scale 279

Scale Venture Capital SMB Enterprise 279

Neil Patel

NOVEMBER 4, 2020

When the Apple Watch first came out in 2015, there were 3,000 apps available for download. That app is no longer available for the Apple Watch—but you aren’t left out in the cold, thanks to Invoice & Time Tracking from Zoho. With Invoice & Time Tracking, you can invoice customers and accept payments on the go.

Payment Solutions 145

Payment Solutions Payment Methods Social Media Business 145

FastSpring

MARCH 16, 2023

From 2015 to 2020, MapTiler doubled the number of countries where it has customers. Using a product-led growth (PLG) model, there are free tiers for all three of MapTiler’s subscription offerings designed to offer “quick wins” for new users.

Payment Methods 139

Payment Methods Payments SaaS Payments Social Media 139

Tom Tunguz

JANUARY 1, 2017

They sell their APM software as a perpetual software license in addition to a subscription (SaaS). The SaaS product has always generated more revenue than license, but the two revenue items did contribute similar revenues in 2015, at which point the company seems to have decided to focus actively on selling SaaS. of revenue).

Benchmarks 100

Benchmarks Metrics Software Review SaaS 100

Buffer Resources

NOVEMBER 7, 2023

But my accountant (and my actuary husband) were super helpful in figuring out how to set enough aside so that I could pay my subcontractors within 24 hours of receiving their invoice, even if the client took several more weeks.  The next year (2015), I grossed $32,000, which matched what I had been earning full-time.

Scale 111

Scale Scaling Payment Solutions Payment Services 111

Stax

NOVEMBER 6, 2023

Request Quote Upgrade Your Legacy Equipment for Mobile Payments The world’s foremost mobile phone manufacturers, Apple and Samsung started to foster the use of mobile payments as early as 2014 and 2015, respectively. You can also key in payments or add the optional mobile reader to start swiping.

Payment Methods 88

Payment Methods Payment Services Mobile Payments Merchant Services 88

Clouded Judgement

SEPTEMBER 1, 2023

The chart below shows the median NTM FCF margins of the software index going back to 2015. 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.

Software Review 183

Software Review Cloud Software Revenue 183

Clouded Judgement

NOVEMBER 3, 2023

But this median is close to as low as it’s gotten since 2015. 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.

Software Review 161

Software Review Cloud Software Azure 161

Chart Mogul

SEPTEMBER 18, 2017

We also added cash flow charts back in 2015, but these only show how much money has been received from customers in any given period. We use a mix of Stripe, Braintree and Recurly for credit card billing, and also do some manual invoicing for larger customers. How do I get started?

Payments 49

Payments Revenue Payment Services Payment Features 49

Stax

NOVEMBER 13, 2023

Google was the first, in 2011, to enable contactless payments via their mobile app. Apple Pay caught up in 2014; in 2015, the wearables market made everyone aware of the tap’s potential. In 2015, many merchants switched to NFC-enabled terminals; by 2019, most banks were issuing contactless cards.

Merchant Services 88

Merchant Services Payment Methods Payment Services Payment Solutions 88

Frontegg

MAY 27, 2021

But back to the product side, adopting PLG means creating the optimal user journey to engage the customer from the login stage onwards – seamless login, onboarding, subscriptions plans, built-in security, and support features all need to work in tandem to create the best results. Best For: Subscription Management, Billing.

Payment Solutions 98

Payment Solutions SaaS Payments Payments Scale 98

Intercom, Inc.

DECEMBER 31, 2019

What was perhaps less predictable was the ensuing prevalence of the subscription-based business model. And it’s not just the startups playing this game – Steve Jobs was proudly averse to the notion of subscriptions, and now Apple spends most of its earning calls boasting about the performance of its services division.

Payment Solutions 259

Payment Solutions Payment Methods Software SaaS Payments 259

OPEXEngine

SEPTEMBER 22, 2020

As their prospectus states: “We use dollar-based net retention rate to evaluate the long-term value of our customer relationships, because we believe this metric reflects our ability to retain and expand subscription revenue generated from our existing customers. The 2015 cohort includes all customers as of the end of fiscal 2015.

Retention 59

Retention SMB Social Media Subscription 59

Clouded Judgement

AUGUST 25, 2023

The R^2 of the median software multiple and 10Y rate going back to 2015 is 0.35. 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.

Cloud 130

Cloud Government Banking Payment Services 130

The Angel VC

APRIL 10, 2013

[Update 12/20/2013: I have extended the dashboard to include multiple pricing tiers and annual subscription plans. Update 01/17/2015: There's a new company called ChartMogul ( which we invested in ) which makes it easy to get a real-time dashboard similar to the template below. Check it out here.] Check it out!

Startup 239

Startup SaaS Subscription Payment Features 239

Valuize Consulting

AUGUST 5, 2020

Since 2015, the customer success (CS) domain has achieved a 176.54% year-over-year growth of CSM positions globally (Gainsight, 2019). This explosive growth comes predominantly from the software & IT industry, thanks to the mass migration towards the subscription-based business model.

Customer Success 52

Customer Success Software Strategy Business Model 52

Tom Tunguz

FEBRUARY 20, 2017

The chart above shows the subscription revenue is roughly at $150 million and professional services revenue is about $35 million this year. In 2015, Mulesoft grew 91% and in 2016 the business grew 71%. in 2015 and a estimated sales efficiency of 0.63, which implies a payback period of 19 months, right on the average.

Metrics 100

Metrics Benchmarks Scale Finance 100

Chargify

AUGUST 6, 2019

Welcome to the Subscription Rockstars series! And, of course, we will pay special attention to how their subscription billing models and pricing strategies contributed to their growth. The evolution of HubSpot’s subscription pricing strategy mirrors a common theme we see among our customers at Chargify. Image source).

Subscription 40

Subscription Payment Features Revenue Software Review 40

Chart Mogul

NOVEMBER 16, 2021

However, here’s a glimpse at our first 2 months in business (early 2015). We won our first paying customer on Jan 6th 2015. Update your app or download it from the App Store to get started, and keep your subscription metrics handy at all times. We haven’t historically shared our revenue numbers.

Social Media 52

Social Media Metrics Subscription Payment Features 52

OPEXEngine

NOVEMBER 2, 2021

That’s when Adobe converted its Creative Suite to a cloud-based subscription service, widely considered a turning point for the sector. They’re $200 billion or so now [as a public company since 2015]. Today, SaaS is in a very different place. Similarly with Twilio; they’re $60 billion or $70 billion today and climbing.”.

DevOps as a Service 52

DevOps as a Service SaaS Outsourced Development Subscription 52

OPEXEngine

JUNE 23, 2021

The CAC Payback Period, also known as Months to Recover Customer Acquisition Cost (CAC), measures the number of months of subscription revenue it takes to recover the costs to acquire one customer. Adding gross margin to the equation shows the cost of acquisition AND delivering the subscription, which is also a valid measurement.

Benchmarks 52

Benchmarks Acquisition SMB Subscription 52

FastSpring

OCTOBER 10, 2018

Interest in Subscription/SaaS Grows. Credit Suisse reports that $420 billion dollars were spent on subscriptions in the US alone in 2015, and that number continues to rise. Multitiered subscription pricing allows customers the flexibility to select the plan that best fits their need and budget.

Payment Methods 61

Payment Methods Payments Scale SaaS Payments 61

FastSpring

JANUARY 31, 2023

Paddle vs. FastSpring, this guide compares: What areas of the payment lifecycle each one provides a solution for (e.g., payment processing, gathering and remitting taxes, and subscription management) and what additional software you’ll need to add to your tech stack. Flexible subscription management and recurring billing tools.

Payment Services 112

Payment Services Payment Methods Merchant Services Payment Features 112

How SaaS Works

OCTOBER 15, 2019

Back in the summer of 2015, we (Initial State) were preparing to come out of Beta and officially launch the service we had been building for the last 18 months. On June 2, 2015, I somehow managed to get on the phone with Matt Richardson, Product Evangelist/Executive Director for Raspberry Pi. Initial State , HubSpot , and Basecamp.

Content Marketing 45

Content Marketing Marketing SaaS Scale 45

Chart Mogul

OCTOBER 1, 2019

Also rewarding, because we get to serve thousands of the best subscription businesses from all over the world who are all doing incredible things, and hopefully make a positive difference to their daily lives and their success! We’re 100% committed to continue building the best Subscription Analytics and Reporting product on the market.

Travel 52

Travel Software Review Subscription Payment Features 52

Tom Tunguz

DECEMBER 7, 2015

Today, more than 82% of revenues are subscription dollars. At roughly 2800 customers as of November 2015 and $583M in trailing twelve months’ revenue, Ultimate Software generates about $210k in average revenue per customer, which implies reveune skews toward the enterprise part of the market.

Software 100

Software Marketing Forecasting Enterprise 100