User Pilot

OCTOBER 5, 2023

Reducing the CAC payback period can help SaaS companies boost their financial performance and drive growth. TL;DR The CAC payback period measures the time it takes for a company to recover the money invested in new customer acquisition. Userpilot onboarding, analytics , and feedback features can help you reduce CAC and boost revenue.

SaaS Payments 97

SaaS Payments Customer Lifetime Value Payment Solutions Acquisition 97

CustomerSuccessBox

OCTOBER 21, 2021

Customer Success has become a must for every SaaS business with the advent of the subscription economy. For so many years, SaaS has focused so strongly on the acquisition that they have been blind to other aspects of the customer journey. What you require to pull this off are people, processes, and a truckload of data.

Payments 52

Payments Customer Success SaaS Payments Revenue 52

User Pilot

FEBRUARY 22, 2024

According to Havard Business Review, customer acquisition requires 5 to 20 times more resources than customer retention. Customer retention can help you drive recurring revenue, reduce customer acquisition costs, and drive customer loyalty. Why is retaining customers important in SaaS?

SaaS Payments 52

SaaS Payments Payment Methods Strategy Payments 52

OPEXEngine

MAY 18, 2021

We’ve talked to dozens of our SaaS customers, as well as investors to learn more about what is happening with these key metrics. SaaS metrics are viewed differently at different stages of growth and for different sales models, primarily whether a company is selling into an SMB or enterprise marketplace.

SaaS Payments 98

SaaS Payments Metrics Payments Payment Services 98

Baremetrics

SEPTEMBER 15, 2021

In SaaS, you need to calculate the growth rate for a handful of different metrics. For example, you need to calculate the growth rates for monthly recurring revenue (MRR), active customers, average revenue per user (ARPU), and more. What are the most important growth rates in SaaS? Is the amount of revenue increasing?

SaaS Payments 81

SaaS Payments Payment Features SaaS Payments 81

Tom Tunguz

SEPTEMBER 21, 2014

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. All of the businesses we’ve looked at in the past have been purely SaaS businesses.

Benchmarks 100

Benchmarks SaaS Payments Metrics Scale 100

OPEXEngine

JUNE 11, 2020

You hear the terms SaaS, subscription, term licenses and perpetual license software tossed around frequently. At OPEXEngine, we pull apart the different nuances of each business model to make sure we are benchmarking companies correctly. In addition, it affects cash flow.

SaaS Payments 52

SaaS Payments Payment Solutions Subscription Payment Features 52

OPEXEngine

FEBRUARY 22, 2022

There are many ways to classify SaaS companies, but differentiating companies based upon who their customers are presents the best approach for measuring performance and driving success for SaaS businesses. SMM SaaS Company Overview & Market Dynamics. SMM SaaS Company Overview & Market Dynamics. Enterprise.

SaaS Payments 52

SaaS Payments Payment Services Payment Methods Marketplace as a Service 52

CustomerSuccessBox

MARCH 25, 2021

Let’s see the process of acquiring new customers. Acquiring your customers is just a first step in the fruitful partnership process and retaining them is the next big thing. Financial Mathematics of a SaaS business model. SaaS business models are different from traditional business models. Let’s talk about why?

Retention 52

Retention SaaS Payments B2B Business 52

OPEXEngine

JANUARY 14, 2020

The typical SaaS company grows faster, loses more money, and has a higher valuations than product sale companies. Price/Revenue Ratio. Public SaaS Companies. -8%. Source: SEC filings – weighted average by company revenue. High-growth SaaS companies are often unprofitable. SaaS Companies Trade Profits for Growth.

SaaS Payments 59

SaaS Payments SaaS Scale Customer Lifetime Value 59

OPEXEngine

JUNE 9, 2020

In this third installment of our blog series ‘React, Adjust, Recover – Strategies for Professional Service Organizations During the COVID-19 Outbreak’, we focus on strategies to help businesses recover faster as restrictions begin to lift. So, what are some of those strategies for professional service organizations?

SaaS Payments 59

SaaS Payments Payment Services Technical Review Payment Methods 59

Baremetrics

FEBRUARY 8, 2021

Net Dollar Retention (NDR) is an essential metric for growing SaaS businesses. Though lesser known, it provides deeper insights than Monthly Recurring Revenue (MRR) and Annual Run Rate (ARR). Many companies mistakenly only track these two benchmarks. Your MRR for January ($1,000) doesn't tell you anything about revenue churn.

Retention 88

Retention SaaS Payments Payments Payment Services 88

ProfitWell

DECEMBER 9, 2019

From the rise of SaaS to the sudden glut of subscription boxes, the subscription business model has never been more popular. To help you get started, we’ve put together a nine-step checklist that walks through how to create a subscription service. But that doesn’t mean starting a subscription company is easy. Prioritize retention.

SaaS Payments 61

SaaS Payments Payment Services Subscription Payment Features 61

BrightBack

JANUARY 17, 2022

Factor in the huge uptick in global demand for online subscriptions services that arose through the pandemic, and we see that succeeding at retention has never been more important, and becomes a key differentiator for those who do it.

Payments 59

Payments Payment Methods Payment Features Payment Solutions 59

FastSpring

OCTOBER 25, 2019

For SaaS companies, it costs a lot of money to fill pipelines with potential customers. But here’s the catch for SaaS companies. If the customer doesn’t stay with the company long enough to at least break even on acquisition costs, it can sink the business. CAC Payback Period: Why It’s Important for Your SaaS.

Payments 61

Payments Scale SaaS Payments SaaS 61

Baremetrics

JANUARY 24, 2021

Anyone managing a SaaS or subscription business is aware of customer churn. The benchmark customer churn for SaaS for SMBs is 5%. Transitioning to SaaS On January 1st 2020, we transitioned the company out of a strategic partnership (we were operating the platform under a non SaaS business model!).

Churn 71

Churn SaaS Payments Payment Methods Payment Solutions 71

Chargify

OCTOBER 21, 2020

Companies of all types—from startups to long-established global brands—have been able to successfully use subscriptions to facilitate a stream of open-ended, predictable revenue and offer customers the services they want without locking them into inflexible contracts. Average Revenue per User. Identifying Metrics.

Subscription 63

Subscription Payment Features Payment Services SaaS Payments 63

FastSpring

APRIL 16, 2019

The best thing about a subscription program is the reliable revenue it generates. The worst thing about it is that a healthy chunk of that “reliable” revenue is actually pretty unreliable. Consider putting part of your prepaid income toward customer acquisition to buffer monthly churners. Yes, we’re talking about churn.

Payment Methods 66

Payment Methods Churn Subscription Payment Features 66

ProfitWell

OCTOBER 16, 2019

It’s the question on every SaaS founder’s lips: Is my churn rate too high? So how do you know what a healthy churn rate is for your SaaS company? Some companies report revenue churn, others only share customer or user churn numbers, and often there’s no distinction between whether churn numbers are annual or monthly.

Churn 55

Churn SaaS Payments Payments Payment Methods 55

Baremetrics

MARCH 31, 2021

It's one of the most critical metrics SaaS and subscription companies can measure. All the data your startup needs Get deep insights into your company's MRR, churn and other vital metrics for your SaaS business. Data-driven SaaS and subscription companies should measure both retention rate and turnover rate regularly.

Retention 69

Retention SaaS Payments Payment Methods Payment Services 69

Baremetrics

NOVEMBER 2, 2021

Shopify is a huge opportunity for developers looking to expand into the micro-SaaS space. Monthly recurring revenue (MRR): How much subscription revenue are you bringing in monthly? Churn rate: How quickly are you losing customers or revenue? Customer acquisition cost (CAC): What does it cost to onboard a new customer?

Payment Solutions 98

Payment Solutions Outsourced Development Underperforming Technical Team Metrics 98

Baremetrics

MAY 7, 2019

Company C was funded by pre-orders from customers, a friends and family round, and then through revenue-based financing for a period of time. After seriously considering an acquisition offer, Wistia decided to take on $17.3M Bootstrapping purists insist on only using revenue from customers to fund the business. Buffer spent $3.3

Finance 111

Finance Startup SaaS Payments Payment Methods 111

User Pilot

APRIL 24, 2024

SaaS renewals can be a breath-holding moment. TL;DR SaaS renewals includes the process of renewing a subscription to an online-hosted software service. TL;DR SaaS renewals includes the process of renewing a subscription to an online-hosted software service.

SaaS Payments 85

SaaS Payments Retention Payment Services Payment Solutions 85

BrightBack

JUNE 30, 2020

Today Brightback is launching Experience Manager in beta, a way subscription managers can easily implement retention tactics we’ve rigorously tested with direct-to-consumer and SaaS businesses over the past 18 months. The past decade of abundant VC capital and vanity metrics couldn’t last forever. How we took an iterative approach to success.

Payments 52

Payments Management Payment Methods SaaS Payments 52

ChurnZero

JUNE 19, 2020

It is no secret that customer churn hits recurring revenue businesses hard, but what’s its real impact on their long-term health and valuation? To answer that and more, we invited SaaS Capital’s Managing Director, Rob Belcher, and Software Equity Group’s Managing Director, Allen Cinzori, to join us for a webinar. Q&A Recap.

SaaS Payments 72

SaaS Payments Retention Metrics Payment Solutions 72

OpenView Labs

JANUARY 29, 2020

Freemium in SaaS is old news. The much-discussed pricing strategy took over the SaaS world and helped fuel the phenomenal success of SaaS pioneers like Dropbox, Evernote, SurveyMonkey and Hootsuite. Freemium appeared to be declining in popularity and, when it was in place, drove next to zero new ACV for most SaaS companies.

Pricing 82

Pricing Payments SaaS Payments Payment Solutions 82

ProfitWell

NOVEMBER 12, 2019

Your core is a lot like pricing in SaaS companies. A pricing audit assesses your subscription business’ pricing process to ensure consistency across similar accounts, maximize profitability, and benchmark against other companies. Acquisition. What does your revenue look like? It needs dedicated focus and priority.

Payments 45

Payments Pricing Underperforming Technical Team SaaS Payments 45

OPEXEngine

NOVEMBER 9, 2021

The contracts are identical twelve-month contracts except for the payment terms. Contract B relaxes payment terms to monthly payment, 12 monthly installments for the next year. The payback period metric doesn’t capture the difference in the quality of the revenue/cash collections.

Sales Hiring 52

Sales Hiring Scale Payments SaaS Payments 52

SaaStr

JUNE 14, 2019

In his most recent role, Dave was the CEO @ Host Analytics where he quintupled ARR, halved customer acquisition costs and increased net retention rates before selling the company to a private equity sponsor. Before that Dave was SVP/GM of Service Cloud @ Salesforce where he led the $500m line of business for customer service applications.

Sales Hiring 141

Sales Hiring Payment Services SaaS Payments Underperforming Technical Team 141

OPEXEngine

OCTOBER 23, 2020

Weaker demand, slower sales cycles, and customer insistence on pricing concessions and payment deferrals have conspired to cloud the outlook for many tech companies’ growth. For certain businesses, COVID-19’s impact on revenue was immediate. Forecasting Growth in a Pandemic: A Difficult Job Just Got Harder.

Technical Review 52

Technical Review Scale Payment Services Marketing 52

OPEXEngine

JULY 28, 2020

It often seems as if traditional strategy development processes have no place in the fast-moving, always changing technology industries. It’s not really surprising that so many tech company executives punt on the traditional corporate strategy process. What they don’t do is get bogged down in process or complexity. At a Glance.

Payment Solutions 52

Payment Solutions Strategy Payment Services Scale 52

wepay

SEPTEMBER 12, 2018

Last time we looked at SaaS and ISV business growth we examined user growth – the core element for success in these businesses. If your customers use your platform more frequently that in turn drives up overall usage and in the end, revenue. This is a process called cohort analysis.

Engagement 40

Engagement SaaS Payments Strategy SaaS 40

User Pilot

NOVEMBER 28, 2023

So, let’s start with the basics: TL;DR A Go-To-Market (GTM) strategy is an action plan that outlines the time, the place, the positioning, the audience, and the goal of a new product or service. There are 12 essential GTM metrics that every SaaS should know about: New user growth rate. Customer acquisition cost.

SaaS Payments 89

SaaS Payments Metrics Customer Lifetime Value Marketing 89

Baremetrics

NOVEMBER 1, 2021

Net revenue retention (NRR) and gross revenue retention (GRR) are two important metrics. NRR and GRR are important secondary metrics for any SaaS enterprise that brings in money through a subscription revenue model. Sign up for the Baremetrics free trial and start seeing more into your subscription revenues now.

Payments 95

Payments Retention Revenue Payment Services 95

FastSpring

AUGUST 11, 2020

When it comes to software and online purchases, those transactions are increasingly moving to a subscription-based model, where customers put their purchases on autopilot so they can have continuous access to SaaS products. Subscription services are what customers want. Subscription services are what customers want.

Payment Features 85

Payment Features Payments Payment Methods Subscription 85

Baremetrics

NOVEMBER 10, 2019

Since the original version of this post from early 2017, we’ve worked with many more SaaS companies and a common theme has been moving companies from a starter template to a more robust financial model. This model allowed me to work with dozens of SaaS startups using spreadsheets, while we built our financial modeling software Flightpath.

Deferred Revenue 111

Deferred Revenue SaaS Payments Sales Hiring Payment Services 111

Chaotic Flow

OCTOBER 8, 2013

SaaS product management professionals should always remember that there are four P’s in marketing , one being product. This is a particularly costly mistake in SaaS and is the root cause of many a SaaS Don’t. The Boundless SaaS Product. What are the boundaries of your SaaS product?

SaaS Payments 200

SaaS Payments Payment Methods Payments Payment Services 200