Baremetrics

NOVEMBER 1, 2021

The intention of the acquisition is to integrate Baremetrics and Flightpath to bring you an end-to-end financial data tool. Initially, we’ll be bringing your Baremetrics data into your Flightpath account so you can forecast new revenue by new customers, expansion, contraction, and churn. We listened. You can use Flightpath right now.

Finance 96

Finance Outsourced Development Sales Hiring Forecasting 96

SaaStr

OCTOBER 18, 2019

The real magic from a Wall Street perspective isn’t that Salesforce is “SaaS” and much of, say, Oracle still mostly isn’t … it’s that Salesforce’s revenue, with net negative churn, completely recurs every year. With precise headcount and budget needs. How many reps. How many SDRs. You’re likely behind here.

Sales Hiring 180

Sales Hiring Scale Headcount Revenue 180

OPEXEngine

DECEMBER 13, 2022

Most SaaS executives can relate to a friendly debate they’ve had at a board or leadership team meeting about what percentage of revenue should come from “upsells” to existing customers or what is “healthy churn.” Companies with an equivalent commercial operation- sales headcount, marketing spend, and customer acquisition cost (CAC).

Benchmarks 52

Benchmarks Scale Headcount Software Review 52

Kellblog

NOVEMBER 23, 2022

Churn ARR is the sum of ARR lost due to shrinking customers (aka, downsell) and lost customers. Ending ARR is starting ARR + new ARR – churn ARR. It’s + churn ARR if you assign a negative sign to churn, which I usually do.) YoY growth in churn ARR. Churn rate (ATR-based) = churn ARR/available-to-renew ARR.

Technical Review 118

Technical Review Software Review Forecasting Churn 118

Sixteen Ventures

APRIL 26, 2023

NRR Defined Net Revenue Retention – NRR – is the percentage of revenue retained from existing customers in a defined time period, including Expansion, Contraction, and Churn. Focus on Leading Indicators To affect change, you need to get clear on the leading indicators that influence Retention/Churn, Contraction, and Expansion.

Headcount 43

Headcount Churn Retention Metrics 43

CustomerSuccessBox

JUNE 28, 2021

Acquisition-driven growth is dead, retention-driven growth is the future. The Acquisition driven SaaS growth is dead and this era is all about retention-led growth. This will assist you to lead the team planning by including the headcount along with setting up the right technology for Customer Success. .

Customer Success 52

Customer Success Trends Technical Review Headcount 52

The Angel VC

DECEMBER 12, 2018

The main reason is that your customer acquisition costs are highly front-loaded. Let’s say you have a CAC payback time of 12 months, i.e. your fully-loaded customer acquisition costs equal 12 months of gross profit. The second issue is the timing of some of the major expenses.

Sales Recruiting 106

Sales Recruiting SaaS Payments Sales Hiring Scale 106

ChurnZero

JANUARY 3, 2020

The new Customer Success Software Momentum Grid from G2 showcases CS solutions with the highest growth trajectory on a product’s user satisfaction, online presence, and employee headcount growth over the last year. ChurnZero helps subscription businesses fight customer churn. About ChurnZero.

Customer Success 69

Customer Success Venture Capital Software Review Technical Review 69

Intercom, Inc.

NOVEMBER 3, 2022

You’re investing resources in hiring and training the right people, tracking different metrics at different stages, adding more and more complexity with each increase in headcount, use cases, and customers. I moved there for university, and then I started working at Goldman Sachs in their mergers and acquisitions team.

Scale 206

Scale Software Outsourcing Services Sales Hiring 206

The Angel VC

MARCH 22, 2012

Therefore the key drivers of my imaginary startup are organic growth rate, marketing budget and customer acquisition costs, conversion rate, ARPU and churn rate. If you have a SaaS startup with a higher-touch sales model where revenue growth is largely driven by sales headcount, the plan needs to be modified accordingly.

Startup 189

Startup SaaS Payments Payment Methods Payment Solutions 189

OpenView Labs

FEBRUARY 10, 2020

Sales now accounts for about 7% of the company’s headcount–a similar share of their workforce as marketing or product management. I’d even argue that the company is still under-resourced in sales; sales accounts for only 7% of Atlassian’s headcount compared to 25% of headcount at the average PLG business. This is a good thing.

Sales Hiring 57

Sales Hiring Scale Headcount Sales 57

ChurnZero

AUGUST 23, 2019

The new Customer Success Software Momentum Grid from G2 showcases CS solutions with the highest growth trajectory on a product’s user satisfaction, online presence, and employee headcount growth over the last year. ChurnZero helps subscription businesses fight customer churn. About ChurnZero.

Software Review 56

Software Review Customer Success Software Venture Capital 56

InsightSquared

MAY 7, 2019

At the highest level, SaaS companies look at sales expense, headcount, sales productivity and SaaS metrics like: The cost of new customer acquisition (CAC). Customer churn or retention rates. Typical SaaS Sales Metrics. Customer lifetime value (CLV).

Scale 102

Scale Sales Hiring Metrics Sales 102

ProfitWell

DECEMBER 6, 2019

He references Dan Steinman from Gainsight , who says, “the natural tendency for customers is towards churn.”. If we fail, our customers will churn. But we know customer success reduces churn and increases expansion revenue, so CSMs do have a very serious purpose in an organization. What are your thoughts on this piece?

Scale 43

Scale CTO Hire Sales Hiring New CTO 43

ChurnZero

NOVEMBER 1, 2019

The new Customer Success Software Momentum Grid from G2 showcases CS solutions with the highest growth trajectory on a product’s user satisfaction, online presence, and employee headcount growth over the last year. ChurnZero helps subscription businesses fight customer churn. About ChurnZero.

Venture Capital 40

Venture Capital Software Review Technical Review Headcount 40

OpenView Labs

MARCH 10, 2019

Over this time, our headcount has grown by over 10x, and our revenue has grown by over 60x. Focusing on Customer Success from the very early days of Typeform has been instrumental in improving both retention and acquisition, and has played an important role in our overall achievements. The challenge was retention. North Star metric.

Scale 69

Scale Customer Success Scaling Sales Hiring 69

Point Nine Land

DECEMBER 12, 2018

The main reason is that your customer acquisition costs are highly front-loaded. Let’s say you have a CAC payback time of 12 months, i.e. your fully-loaded customer acquisition costs equal 12 months of gross profit. Setting yourself up for T2D3-style growth usually comes with a very high burn rate?—?hundreds

Sales Recruiting 61

Sales Recruiting SaaS Payments Sales Hiring Scale 61

SaaSX

FEBRUARY 28, 2021

Ideally, as a company scales, headcount doesn’t scale exactly in tandem. Churn Rate. Ah…you know there can’t be a B2B software article that doesn’t mention churn, right? Ah…you know there can’t be a B2B software article that doesn’t mention churn, right? That’s a revenue treadmill.

Payment Solutions 52

Payment Solutions Software Review Software Payments 52

Intercom, Inc.

JUNE 3, 2021

” I think the “Sure thing boss, give me more headcount” is obvious. If you’re a SaaS company, that could be new customer acquisition, it could be an expansion or even reduce contraction, reduce churn. ” It’ll reduce our churn, potentially increase expansion. That’s one category.

Strategy 228

Strategy Software Review Development Team Review Sales Recruiting 228

SmartKarrot

FEBRUARY 19, 2021

They are: Churn rate: This can be shown in two ways – Revenue churn and Customer churn. Compare this figure with the acquisition cost and document the loss in ROI due to early churn. To back your point, document the churned customers’ usage hours and depth of engagement with the product.

Outsourcing Services 10

Outsourcing Services Customer Success Technical Review Business 10

Intercom, Inc.

JULY 21, 2022

We’ll also hear Andrew Chen, general partner at Andreessen Horowitz, talking about the changing landscape of customer acquisition. “When you have a product that is strong on the organic and word of mouth side of things, driving additional demand through marketing programs is actually quite hard” A bigger acquisition funnel.

Outsourcing Services 215

Outsourcing Services Sales Hiring CTO Hire Acquisition 215

OpenView Labs

FEBRUARY 3, 2022

As investors, we keep a close eye on customer acquisition cost (CAC) payback. We use it as an indicator that a company has the right fundamentals in place to effectively ramp up customer acquisition. Fast growers retain and expand new customers, resulting in net negative churn. high usage, growing usage month-to-month).

Headcount 73

Headcount SaaS Compensation Acquisition 73

Hitenism

JANUARY 16, 2017

In 2014, Mixpanel’s Series B pitch deck spelled out the company’s expansion plans over the next two years: 3x sales headcount and rapidly race towards distribution. Double headcount every 6-9 months. Reduce sales ramp time by 30-50% via sales enablement. They raised $65 million dollars with that plan.

Scale 147

Scale Venture Capital SaaS Headcount 147

Intercom, Inc.

JULY 12, 2018

As VP of Corporate Strategy at Twitter, Elad Gil was a key player as company headcount skyrocketed from 90 to 1,500 employees. This wasn’t Elad’s first experience with hyper growth – Google grew headcount 10x during his time as a product manager there – nor the last. Elad: One is the degree to which people churn out.

Sales Hiring 120

Sales Hiring Scale Sales Recruiting Technical Advisors 120

ChurnZero

MARCH 22, 2019

You should view this webinar on-demand to learn: How your company ranks in terms of net and gross churn compared to companies with similar ACV’s and ARR. How to measure the impact of churn on your company. Q: Can you talk about the trade-offs between gross margin and churn as it relates to LTV and CAC? Q&A Recap.

Retention 61

Retention Payment Methods SaaS Payments Outsourced Development 61

Outseta

JANUARY 20, 2020

This required no additional addressable market and also helped to drive down Buildium’s churn rate. While that’s the case, paid advertising was always a key—and highly effective—component of Buildium’s customer acquisition strategy. Neither of Buildium’s Co-founders—Michael and Dimitris—are celebrity entrepreneurs.

SaaS Payments 145

SaaS Payments Sales Hiring Payment Methods Payment Services 145

SaaStr

JUNE 16, 2020

I’m going to first talk about some of the insights that we’ve gotten from serving Salesforce Ventures portfolio companies, both in terms of what they’re seeing in the market and how bookings and churn and things like that are heading, but then also how they’re adjusting to this on their go to market strategies.

Sales Hiring 159

Sales Hiring Scale SaaS Payments Payment Services 159

Chart Mogul

DECEMBER 22, 2021

Universal churn settings — you now can harmonize how you recognize churn (at the time of cancellations vs at end of the service) across 4 new billing systems (Chargebee, GoCardless, Zuora, and Google Play) in addition to the existing 6 we offered historically (Stripe, Braintree, Recurly, Chargify, Paypal, and ChartMogul API).

Software Review 52

Software Review Systems Review Payment Features PayPal 52

Sales Enablement, SaaS and Growth

JULY 24, 2018

The number of employees when things get particularly troublesome are three, 10, 30, 100, 300 and 1,000 - before company headcount hits these milestones you’ll need to rethink how you operate. LTV:CAC is the lifetime value of a customer divided by the customer acquisition cost. Retention trumps acquisition. Allow me to explain.

SaaS Payments 131

SaaS Payments Sales Hiring Payment Services Business 131

OpenView Labs

MAY 20, 2019

Those on the front lines know that more competition means greater saturation of traditional marketing and sales channels, increasing customer acquisition costs (CAC). We’re seeing three drivers of lower lifetime value: feature commoditization, less pricing power (price wars), and worsening churn. Now it’s table stakes.

Scale 70

Scale Startup Technical Review Software Review 70

OpenView Labs

MAY 20, 2019

Those on the front lines know that more competition means greater saturation of traditional marketing and sales channels, increasing customer acquisition costs (CAC). We’re seeing three drivers of lower lifetime value: feature commoditization, less pricing power (price wars), and worsening churn. Now it’s table stakes.

Scale 51

Scale Startup Technical Review Software Review 51

OpenView Labs

MAY 20, 2019

Those on the front lines know that more competition means greater saturation of traditional marketing and sales channels, increasing customer acquisition costs (CAC). We’re seeing three drivers of lower lifetime value: feature commoditization, less pricing power (price wars), and worsening churn. Now it’s table stakes.

Scale 40

Scale Startup Technical Review Software Review 40