SaaStr

AUGUST 26, 2021

JOIN THE WORLD’S #1 CLOUD GATHERING!! Only one week left to avoid Late Bird pricing, SaaStr fans! Last chance to grab a discounted pass before all Annual ticket prices increase on Sept 1. Time’s almost up to register for the 7th SaaStr Annual , Sept 27-29 before prices increase to their final rate. (ps,

Cloud 258

Cloud Pricing SaaS Development 258

SaaStr

NOVEMBER 10, 2022

So our economy is going through some unpredictable transitions, with Cloud and SaaS companies powering through with still-strong growth and unemployment remaining at near record lows, while inflation, interest rates and more batter us at the same time. That was fine when Cloud stocks grew to record highs and multiples, or sort of fine.

Sales Hiring 272

Sales Hiring Pricing Cloud Startup 272

SaaStr

DECEMBER 29, 2021

The Wall Street Journal had a great summary of IPOs in 2021 and before. Much as Unicorn creation more than doubled in 2021, so did IPOs: There’s a lot you can read into this: * First, it’s good IPOs grew as quickly as Unicorns were minted , more or less. So it’s good to see this growth in IPOs in 2021.

Cloud 264

Cloud Engineering Pricing SaaS 264

Clouded Judgement

DECEMBER 30, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. If you want to look back at the final post from 2021 to compare where we are today, the link is here Dispersion When I think about the upcoming year, the word that keeps coming to mind is dispersion. Follow along to stay up to date!

Cloud 130

Cloud Subscription Payment Features Pricing 130

Clouded Judgement

SEPTEMBER 29, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Pretty crazy to think about - growth adjusted multiples are near pre-covid all time highs (excluding 2020-2021 period) even though rates are as high as they’ve been since 2007 (and double what they were on average from 2010-2020).

Cloud 183

Cloud Government Banking Software Review 183

Clouded Judgement

FEBRUARY 16, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Yes, I wouldn't say it's all back to where 2021 was, but there are some green shoots, right? Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date! ” “So where are we now?

Cloud 161

Cloud AWS Metrics Subscription 161

Tom Tunguz

FEBRUARY 13, 2023

For fiscal 2022, large customers represented 61% of total revenue compared to 54% of total revenue in 2021 and 46% in 2020… Overall NDR fell, but enterprise spending remains steady. AI companies] have a real use case for the cloud which is somewhat different than what we see from some other companies.

Cloud 220

Cloud Azure Headcount Software Review 220

SaaStr

APRIL 24, 2021

But like “Cloud” and “SaaS”, its definitely has evolved. We could have picked many B2D services, like Twilio or others, too, which have primarily or substantial transaction pricing too. In 2021+, Yes. Doesn’t ARR stand for Annual Recurring Revenue? Well of course it does. Call it ARR.

Merchant Services 359

Merchant Services SaaS Payments Payment Solutions Payment Services 359

SaaStr

APRIL 17, 2024

So it’s been a long IPO drought since HashiCorp was the last IPO of the Boom Times in December 2021. They’re still transitioning from onprem / appliciance model to cloud, which makes some of the metrics a touch confusing. Still, it’s losing far less than in the Go Go Times of 2021. 68% of Revenue in U.S.,

Scale 227

Scale Pricing Scaling Cloud 227

Clouded Judgement

JANUARY 19, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. ” 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. Subscribe now Share Clouded Judgement Leave a comment

Cloud 177

Cloud Scale Compensation Metrics 177

Clouded Judgement

APRIL 5, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Competitors start telling prospects you’re competing on that “that company will screw you in the future because their VCs will force them to price gouge you so they can make money.” Follow along to stay up to date!

Cloud 161

Cloud Scale Revenue Pricing 161

Clouded Judgement

MAY 26, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. An element of re-acceleration is definitely priced in to current 2024 estimates, so we may see 2024 estimates fall. In 2020 and 2021, it was growth at all costs and the mentality was let it rip. Follow along to stay up to date!

Cloud 141

Cloud Azure Trends Retention 141

Clouded Judgement

SEPTEMBER 30, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. So the first dot on the red line implies that in Q3 ‘20 budget growth expectation for the full year 2021 was ~1.5%. Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date!

Cloud 130

Cloud Subscription Payment Features Trends 130

SaaStr

NOVEMBER 6, 2023

If you’re selling cloud infrastructure, for the most part, growth may be down a smidge but is still strong, e.g., MongoDB. On top of that, inflation and price increases are eating into overall IT budgets. Growth in public cloud services (AWS, Azure, Google Cloud, Snowflake, etc.) So where does this all net out?

Merchant Services 264

Merchant Services Azure Software AWS 264

Clouded Judgement

APRIL 6, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. That’s a big difference, especially when you layer in the growth in headcount from 2021 to 2022. Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date!

Cloud 130

Cloud Headcount Subscription Payment Features 130

Clouded Judgement

JULY 28, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Cycle of Cloud Optimizations Q2 earning season has officially kicked off! Google Cloud doesn’t report constant currency, and their growth stayed steady at 28% last quarter and this quarter. Follow along to stay up to date!

Cloud 130

Cloud Azure AWS GCP(Google Cloud Platform) 130

Clouded Judgement

NOVEMBER 4, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. The prevailing narrative today is “higher for longer” and that’s what moved the market down on Thursday Macro Impacts on Software Performance So far we’ve had ~30 cloud software companies report Q3. This was expected.

Cloud 130

Cloud Pricing Revenue Subscription 130

Clouded Judgement

MARCH 17, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. But along the way, the bond price can move above / below par as rates move Why does this matter? Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date! What Happened at SVB?

Cloud 130

Cloud Banking Investment Startup 130

SaaStr

DECEMBER 2, 2023

Many Cloud leaders stock prices are way, way up in 2023, the Cloud platform leaders have re-accelerated, and leaders like Shopify are having close-to-record years. But for many startups, the hangover from the Excesses of 2021 is a real and tough one. So things aren’t all “bad” in SaaS.

Startup 275

Startup Cloud Pricing Data 275

Clouded Judgement

DECEMBER 21, 2023

Q3 earnings season for cloud businesses is now behind us. Commentary from the cloud providers seems to be that the major macro headwinds around optimizations and new deal scrutiny have started to abate. There is some normal seasonality here (excluding the 2021 period). ” 3 months later, what happened to those green shoots?

Cloud 177

Cloud Software Benchmarks Retention 177

Clouded Judgement

OCTOBER 14, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. Often times there are real time price changes we see that don’t show up in CPI data for 6-12 months (due to how CPI is calculated). In Spring / Summer 2021 we started to see real world changes in consumer prices.

Cloud 130

Cloud Software Review Pricing Subscription 130

Clouded Judgement

SEPTEMBER 22, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. As a reminder, in the summer of 2021 they were saying they wouldn’t hike rates through the end of 2022…We all know how quickly that changed when they skyrocketed rates very shortly thereafter. 30 is the price they went public at.

Cloud 152

Cloud Revenue Software Metrics 152

SaaStr

JULY 18, 2022

Cloud spending is still expected to grow even faster in 2022 than 2021 , from 18.4% growth in 2021 and expected growth of 22.1% Cloud stock prices have still fallen 50%+ from their highs, venture capital funding is way down as a result, and many are getting nervous about things. Go forth and conquer!!

Venture Capital 329

Venture Capital Software Cloud Forecasting 329

Tom Tunguz

MAY 23, 2021

Over the last ten years, the 75th percentile post-money valuation of a cloud software or infrastructure company has grown 11% annually. In 2021, the post-money valuation has spiked 60% from $48.1m I’ve plotted the post-money valuations for US cloud and infrastructure companies above for the Series A. 2012: Facebook.

Software Review 364

Software Review Venture Capital Cloud Pricing 364

SaaStr

JANUARY 3, 2024

So Elastic is the somewhat under-the-radar SaaS and Cloud leader that still almost everyone, at least for search. It send the stock price up 112% over the past 12 months! NRR Remains Solid at 110%, But Down From 130% in 2021 NRR remains healthy, but down materially from the Go Go Days of 2021, when at $700m ARR, Elastic had 130% NRR.

ChatGPT 222

ChatGPT AI Search Scale Sales Hiring 222

Clouded Judgement

SEPTEMBER 12, 2023

Q2 earnings season for cloud businesses is now behind us. This was consistent in 2020 and 2021. As you can see from the data below most cloud businesses beat the consensus estimates for Q2 Source: company filings and Pitchbook consensus estimates Historically, the median beat of consensus estimates is closer to ~4%.

Cloud 169

Cloud Software Benchmarks Retention 169

Kellblog

JANUARY 30, 2021

I certainly didn’t have “global pandemic” on my 2020 bingo card and, even if I somehow did, I would never have coupled that with “booming stock market” and median SaaS price/revenue multiples in the 15x range. That said, I’m back on the proverbial horse, so let’s dig in with a review of our 2021 predictions. 2020 Predictions Review.

Technical Review 143

Technical Review Payment Services Payments AI Search 143

Tom Tunguz

OCTOBER 26, 2023

In 2021, Amazon announced they had reduced prices on Amazon Web Services 107 times since launch. This drop in prices has grown AWS into a $90b revenue business in 17 years. In 2021, at the peak, the average quarterly gas fee on Ethereum reached about $37. At those prices, not many transactions are economically viable.

Blockchain 230

Blockchain AWS Pricing Innovation 230

SaaStr

NOVEMBER 8, 2021

With too many examples from SaaStr Annual 2021 to call out specifically, here are 2 “Cloud talks plus decks” that I can imagine the Self-Taught Founder relying upon: David Sacks On SaaS Org Charts. 3 – Cloud = Consistently Bigger Than Expected. Additional Resources: SaaStr Annual 2021 Sessions Worth Studying.

Scale 308

Scale Cloud Forecasting Pricing 308

Clouded Judgement

SEPTEMBER 1, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. 2020-2021 was the anomaly - and we’re back to normal now. Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date! Subscribe now Are Software Companies Over or Undervalued?

Software Review 183

Software Review Cloud Software Revenue 183

SaaStr

JUNE 23, 2021

SaaStr Annual is the largest community gathering for Cloud and SaaS professionals in the world! But get your tickets ASAP s to ensure you get one (and at the lowest prices). SaaStr Annual 2021 is the place to do that. Everyone that had a ticket to 2020 Annual or Europa is fully rolled over to 2021 Annual. Just come.

Cloud 181

Cloud SaaS Pricing Communication 181

Clouded Judgement

JUNE 20, 2023

Q1 earnings season for cloud businesses is now behind us. While the median software multiple is ~25% below it’s long term average, when we growth adjust the multiples (graph below) we’re actually sitting right at historical highs (excluding the 2020-2021 period). As you can see, the median beat this quarter was 1.7%.

Cloud 161

Cloud Software Benchmarks Scale 161

SaaStr

MAY 14, 2021

But get your tickets ASAP s to ensure you get one (and at the lowest prices). Everyone that had a ticket to 2020 Annual or Europa is fully rolled over to 2021 Annual. The final slots will be prioritzed for less represented speakers from leading Cloud companies. It is the #1 place to meet Cloud and SaaS VCs.

Cloud 216

Cloud B2B SaaS Pricing 216

SaaStr

JUNE 29, 2023

As buyers grapple with expanding technology, higher prices, and a need for efficiency, SaaS companies need to deliver what their audience is looking for to win in the market. Data Security : Oates reveals that “Costs have risen for cyber attacks by 80% since 2021, and the frequency of those attacks continues to rise. weakest link.

VP of Engineering 240

VP of Engineering Trends Cybersecurity Sales Hiring 240

SaaStr

JUNE 30, 2023

Nature is Healing Salesforce is now worth > $200 Billion again pic.twitter.com/9v29wRsFNY — Jason ✨Be Kind✨ Lemkin  (@jasonlk) June 27, 2023 The SaaS markets peaked in December 2021, and so did SaaS IPOs. Per CNBC, HashiCorp in December 2021 was the last top-tier tech IPO to go out. It Was an IPO-a-Day in 2021.

SaaS 184

SaaS Cloud Startup Pricing 184

SaaStr

DECEMBER 27, 2023

So is it possible to be too efficient in SaaS and Cloud? ARPU was up +28% from 2022 over 2021, and another 6% the past 12 months on top of that. Even small cloud customers worked to bring down their spend in 2023. #5. Almost All Customers Still from Self-Service This makes sense at these price points.

Scale 226

Scale AWS Azure Cloud 226

SaaStr

JANUARY 4, 2024

2021 was nuts, with crazy growth and crazy multiples. In 2022, revenue growth held up for many leaders, but share prices and multiples cratered. And yet … it wasn’t all bad, for the bigger guys: The median SaaS and Cloud stock was up 41% in 2023! So 2023 was a weird year. And 2023? Still, an odd year.

Startup 171

Startup SaaS AI Pricing 171