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A Look Back at Q4 '23 Public Cloud Software Earnings

Clouded Judgement

In this post, I’ll take a data-driven approach in evaluating the overall group’s performance, and highlight individual standouts along the way. Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. This is the data point shown for Q4 ‘23.

Cloud 177
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Clouded Judgement 6.9.23 - Recap of Consumption Trends in Q1 '23

Clouded Judgement

Very healthy new business (new customer) acquisition. Another data point that optimization headwinds are not getting worse, but not necessarily getting better yet. Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against.

Trends 130
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Clouded Judgement 3.22.24 - ERR vs ARR and the Conundrum of AI Revenue Streams Today

Clouded Judgement

Subscribe now ARR (Annual Recurring Revenue) vs ERR (Experimental Runrate Revenue) ARR (Annual Recurring Revenue) is one of the most popular SaaS (Non-GAAP) metrics. However, it’s also one of the most loosely used metrics, and is frequently misused. I created this subset to show companies where FCF is a relevant valuation metric.

AI 183
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The Week In Cloud: March 24, 2019

SaaStr

Alibaba is their AWS (or becoming it): The Cloud is better. Zoom is Growing at A Rate, And With Metrics, As We’ve Rarely Seen Before. There are 500+ Massive Cloud Data Centers Now. There are 500+ Massive Cloud Data Centers Now. Billion Acquisition. It is even cheaper. Shopify and MailChimp Go To War.

Cloud 141
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Hello! We’re growing at Baremetrics

Baremetrics

If you’ve seen our recent articles on AWS migration, the updated stripe integration and the acquisition of Flightpath Finance, it will come as no surprise to you that our team is getting pretty busy! These are the guys on the front lines, helping new businesses connect their data and distill the insights that actually benefit them.

AWS 94
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4 Traits of Fast-growing SaaS Companies

OpenView Labs

As investors, we keep a close eye on customer acquisition cost (CAC) payback. This metric represents how long it takes, in months, to pay off the costs of acquiring a given customer on a gross margin basis. We use it as an indicator that a company has the right fundamentals in place to effectively ramp up customer acquisition.

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SaaS companies quickly replacing subscriptions with usage-based pricing

OPEXEngine

Usage-based pricing has been growing since at least 2018, when about a quarter of companies were using it, according to OpenView’s data. It has tended to be used most in infrastructure platforms, like AWS, Google Cloud, and Azure. Closely watched SaaS metrics. Pricing model growth. But that has been changing.