FastSpring

APRIL 26, 2022

In part one, we cover benchmarks and common churn formulas. Part I: SaaS Churn Benchmarks Part II: 5 Proven Strategies for Reducing SaaS Churn Part III: Churn Definitions and Additional Resources. Part I: SaaS Churn Benchmarks. When we set churn benchmarks for SaaS companies, there’s so much to consider.

Benchmarks 121

Benchmarks Churn Payments SaaS Payments 121

Chart Mogul

SEPTEMBER 8, 2021

The software M&A (mergers and acquisitions) market saw its best year yet in 2020, and it’s on track to see another record year in 2021. Tech is on fire … The software M&A (mergers and acquisitions) market saw its best year yet in 2020, and it’s on track to see another record year in 2021.

Scale 96

Scale Acquisition Scaling Sales Hiring 96

Baremetrics

AUGUST 1, 2021

So what works (and doesn’t work) as a SaaS acquisition strategy? In this article, you’ll learn 5 keys to building a purpose driven acquisition strategy for your SaaS and how to avoid common mistakes along the way. SaaS Customer Acquisition: Getting the basic right How to Build a Purpose-driven SaaS Customer Acquisition Strategy 1.

Acquisition 98

Acquisition Strategy SaaS Underperforming Technical Team 98

OPEXEngine

JULY 1, 2022

In today’s market, the path to growth for B2B SaaS companies is to continue following the two SaaS lodestars: customer acquisition and customer retention. The Fundamental Value of the SaaS Model is that Customer Retention is Cheaper than Customer Acquisition. The balance can be tricky. . Comparing CAC to Customer Success Expense.

Acquisition 59

Acquisition Scale Retention Investment 59

User Pilot

AUGUST 30, 2023

With many customer acquisition channels available, how do you choose the right one? Read on to find the best acquisition channels for your SaaS and how to create winning customer acquisition strategies that drive growth. TL;DR Customer acquisition is the process of attracting and converting new customers into paying customers.

Acquisition 59

Acquisition Strategy Social Media Customer Lifetime Value 59

Casey Accidental

JUNE 9, 2020

These plans included a lot of the goals you likely have in your company: improvements in acquisition, activation, and retention. Retention is not only the primary measure of product value and product/market fit for most businesses; it is also the biggest driver of monetization and acquisition as well.

Retention 145

Retention Benchmarks Payments Payment Methods 145

Tom Tunguz

MARCH 24, 2019

These customer acquisition paybacks resemble consumer acquisition figures more than software. This math also implies a payback period, gross margin burdened, of less than 7 months. The public median is 18 months and the private median is 14 months.

Metrics 268

Metrics Benchmarks Scale Acquisition 268

OPEXEngine

JANUARY 5, 2021

Customer Acquisition Cost (CAC) is a key SaaS metric that accounts for how much it costs your company to procure each new customer. The post Why a Low Customer Acquisition Cost (CAC) Isn’t Always a Good Benchmark appeared first on OPEXEngine. However, this metric calls for discerning judgment.

Benchmarks 52

Benchmarks Acquisition Customer Lifetime Value Scale 52

Baremetrics

MARCH 23, 2021

When looking at metrics and benchmarks for SaaS companies , the quality of their landing page is a big part of what starts people moving down the sales funnel. Other concerns affect these rates of conversion as well and studying all of them with the proper benchmarks in place; makes it easier for every company to succeed.

Benchmarks 75

Benchmarks SaaS Social Media Sales Funnel 75

User Pilot

AUGUST 30, 2023

With many customer acquisition channels available, how do you choose the right one? Read on to find the best acquisition channels for your SaaS and how to create winning customer acquisition strategies that drive growth. TL;DR Customer acquisition is the process of attracting and converting new customers into paying customers.

Acquisition 52

Acquisition Strategy Social Media Customer Lifetime Value 52

User Pilot

AUGUST 30, 2023

With many customer acquisition channels available, how do you choose the right one? Read on to find the best acquisition channels for your SaaS and how to create winning customer acquisition strategies that drive growth. TL;DR Customer acquisition is the process of attracting and converting new customers into paying customers.

Acquisition 52

Acquisition Strategy Social Media Customer Lifetime Value 52

OPEXEngine

APRIL 26, 2022

Well, capturing as much total available market (TAM) makes growing your business through customer acquisition necessary. What is Customer Acquisition Cost (CAC)? Customer acquisition cost (CAC) is arguably one of the most important metrics for fast-growing B2B SaaS companies. So why even bother?

Acquisition 59

Acquisition B2B Benchmarks SaaS 59

OpenView Labs

NOVEMBER 16, 2021

Customer Acquisition Cost (CAC). 4 SaaS Customer Acquisition Best Practices. David Skok shares four best practices for improving your customer acquisition strategy and leading the way to scalable growth. 9 Sales Benchmarks that Can Help You Build a Scalable Sales Machine. A Warning Note about Benchmarks.

Benchmarks 71

Benchmarks Metrics Scale Sales Recruiting 71

Tom Tunguz

NOVEMBER 12, 2023

Compare that to the benchmarks in 2013! Salesforce barely budged, perhaps an indicator of how labor-intensive the business is or how much the revenue growth has been through acquisition (Slack, Mulesoft, & Tableau). Snowflake is second, pushed by their best-in-class net dollar retention (NDR). In addition to the dated charts!

Software Review 268

Software Review Trends Revenue Software 268

Practical Advice on SaaS marketing

JULY 9, 2016

There are certainly plenty of surveys and published benchmarks on SaaS metrics that try to provide guidance. Use caution with rules of thumb But you should be careful not to take these SaaS benchmarks as gospel. It’s all about the average customer acquisition cost (CAC)/long term value (LTV) ratio and the payback period.

Benchmarks 100

Benchmarks Metrics SaaS Acquisition 100

User Pilot

JUNE 30, 2021

The average conversion rate from your SaaS free trial has a big impact on your product’s growth and blindly f ollowing benchmarks is not the best way to focus your efforts. SaaS free trial conversion rate benchmarks. All that is left is to go ahead and double down on your acquisition! Table of Contents. Conclusion.

Benchmarks 98

Benchmarks SaaS B2C Software Review 98

Tom Tunguz

DECEMBER 6, 2016

What is your SaaS startup worth in an acquisition? To answer that question, we can analyze the data set of all software companies acquired over the last six years and benchmark them by enterprise value-to-revenue multiples. What is your SaaS startup worth in an acquisition?

Acquisition 100

Acquisition Startup SaaS Benchmarks 100

SaaStr

SEPTEMBER 20, 2023

Discover Bessemer Venture Partners’s annual State of the Cloud report, going through trends, benchmarks, and metrics that underpin the Cloud economy. Announcements of several blockbuster acquisitions, most notably from Adobe acquiring Figma, which was the highest valuation multiple offered in an acquisition for any software company at scale.

Cloud 223

Cloud Payments Software Review Payment Solutions 223

Clouded Judgement

APRIL 11, 2024

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. I’ve looked at thousands of private companies, and over time have come up with benchmarks for best-in-class, good, and subpar net revenue retention. net retention and CAC payback).

Cloud 169

Cloud Software Azure AWS 169

Chart Mogul

SEPTEMBER 8, 2021

The software M&A (mergers and acquisitions) market saw its best year yet in 2020, and it’s on track to see another record year in 2021. Tech is on fire … The software M&A (mergers and acquisitions) market saw its best year yet in 2020, and it’s on track to see another record year in 2021.

Scale 52

Scale Acquisition Scaling Sales Hiring 52

OPEXEngine

SEPTEMBER 15, 2021

OPEXEngine provides SaaS and Software companies with comprehensive and accurate analytics and benchmarks to help executives understand and improve operational performance. Investors and software company management need high quality and neutral benchmarks to assess their operational performance, reduce risk and improve efficiency.

Software Review 52

Software Review Benchmarks Technical Review Development Team Review 52

OpenView Labs

NOVEMBER 30, 2021

In 2021 the ‘ Rule of 40’ died, according to our latest 2021 Financial & Operating Benchmarks report that launched last week. . It’s tempting to prioritize new customer acquisition as your top growth priority. . Look for ways to quantify customer insights to develop proprietary benchmarks and communicate the value of your product.

Payment Services 80

Payment Services Benchmarks SaaS Payments Merchant Services 80

Tom Tunguz

JUNE 12, 2016

The acquisition frenzy continues in SaaS. In the 2016 acquisition market, the median acquisition multiple is 7.8x In the 2016 acquisition market, the median acquisition multiple is 7.8x The LinkedIn acquisition in particular is a strategic move by Microsoft. billion, which prices the business at 8.1x

Acquisition 100

Acquisition Startup Banking Benchmarks 100

Inturact

NOVEMBER 25, 2019

Do you know if your product’s Free Trial is hitting industry benchmarks? This article will help you determine just how much is being potentially lost and make sure you’re picking the right type of trial for your customer acquisition model. If not, you could be leaving a lot of money on the table.

Benchmarks 52

Benchmarks Acquisition SaaS Engagement 52

OPEXEngine

JUNE 29, 2020

Benchmark the health of your SaaS company, and. Think of it this way: most SaaS companies have high customer acquisition costs, as you have to invest heavily in sales and marketing in order to realize high growth. The post Rule of 40: How to benchmark your SaaS growth appeared first on OPEXEngine. Read on to find out more!

Benchmarks 52

Benchmarks SaaS Sales Hiring Scale 52

Chart Mogul

JUNE 1, 2023

Segment your retention data by plan, region, or acquisition channel There are so many ways to slice and dice your data and gain insight into your business. A marketing executive, on the other hand, might look into how retention data compare against different acquisition channels – which channels are bringing in customers that stick around?

Retention 90

Retention Metrics Benchmarks SaaS 90

SaaStr

NOVEMBER 4, 2021

The “Rule of 40” is one of the most commonly cited valuation benchmarks in SaaS for both public and private companies. While SaaS is an amazingly transparent community with abundant benchmarking resources, there are much fewer publicly available studies that allow an analysis of the underlying drivers of “Rule of 40.”

SaaS 242

SaaS Technical Review Benchmarks Azure 242

Tom Tunguz

DECEMBER 16, 2021

Tokens are the paid customer acquisition channel of web3. By analyzing how web3 companies invest tokens, we can calculate the cost of customer acquisition (CAC) for a crypto company. We can benchmark them relative to their corporate value. L1 Web3 companies spend 29-95%. Percentile. Or sales and marketing spend.

Venture Capital 238

Venture Capital Blockchain Acquisition Benchmarks 238

Tom Tunguz

SEPTEMBER 10, 2013

Benchmarking is a great tool, if you can get access to representative data. Pacific Crest and David Skok have released a fantastic survey benchmarking SaaS metrics for early and growth stage companies. Below is my list of the six most important benchmarks and observations from that report.

Benchmarks 108

Benchmarks Startup Sales Hiring Compensation 108

Tom Tunguz

DECEMBER 8, 2013

As for the structure of the acquisition, there’s data that can be used for benchmarking. The x-axis shows the Acquisition Value in $M and the y-axis shows the cash share. First, 83% of these acquisitions were cash only. Third, a power law governs acquisitions. The first chart below shows the trends by size.

Acquisition 100

Acquisition Startup Government Benchmarks 100

Chart Mogul

OCTOBER 3, 2019

The customer acquisition cost can help you create, measure, and improve a business model that will put your business on the path to profitability. This is where the value of subscription metrics comes to the fore — and specifically the customer acquisition cost (CAC) and the customer lifetime value (LTV). Your technical infrastructure?

Acquisition 91

Acquisition Underperforming Technical Team Startup Customer Lifetime Value 91

SaaStr

NOVEMBER 5, 2021

Including free acquisition and viral acquisition obscures underlying (in)efficiencies. The classic example is a VP of Marketing claiming tons of credit for terrible programs that don’t work where the underlying free and word-of-mouth acquisition is very strong. And IVP has published some data to help you benchmark it.

Scale 240

Scale SaaS Acquisition Benchmarks 240

OpenView Labs

DECEMBER 17, 2020

Four years ago, OpenView released the first annual Expansion SaaS Benchmarks Report in order to fill a critical data gap for SaaS founders and CFOs who had a lot of questions about optimal growth rates, burn levels, gross margins and other key data points. With this year’s SaaS Benchmarks Report, we can now validate that hypothesis.

Benchmarks 52

Benchmarks Scale SaaS Software Review 52

Casey Accidental

JULY 6, 2020

These plans included a lot of the goals you likely have in your company: improvements in acquisition, activation, and retention. Retention is not only the primary measure of product value and product/market fit for most businesses; it is also the biggest driver of monetization and acquisition as well.

Retention 52

Retention Benchmarks Payments Payment Methods 52

Clouded Judgement

DECEMBER 21, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. I’ve looked at thousands of private companies, and over time have come up with benchmarks for best-in-class, good, and subpar net revenue retention. net retention and CAC payback).

Cloud 177

Cloud Software Benchmarks Retention 177

Tom Tunguz

JANUARY 7, 2015

This post is part of a continuing series evaluating the S-1s of publicly traded SaaS companies in order to better understand the core business and build a library of benchmarks that might be useful to founders. To acquire customers, LinkedIn employs two customer acquisition mechanisms: an online acquisition team and a field sales team.

Sales Recruiting 100

Sales Recruiting Benchmarks Metrics SaaS 100

OpenView Labs

NOVEMBER 12, 2020

When we were preparing the 2020 expansion SaaS benchmarking survey, our biggest question was: “How did COVID-19 and the economic downturn affect private SaaS companies?” Example product KPIs include product-influenced revenue, product-influenced word of mouth / referral acquisition, time to value, and PQLs generated.

Benchmarks 52

Benchmarks Scale Technical Review SaaS 52