User Pilot

SEPTEMBER 19, 2023

As your business grows and your focus shifts from acquiring new customers to retaining existing ones, churn prediction becomes an invaluable tool in your toolkit. Accurate churn prediction models help you improve the customer experience and prevent voluntary customer departures. What is churn prediction? Churn is expensive.

Churn 102

Churn Machine Learning Artificial Intelligence Data Analysis 102

SaaStr

JANUARY 24, 2024

How do you diagnose and solve churn? Solving High Volume, Low Conversion at Lattice Dini Mehta joined Lattice at $3M in revenue when it had just 10 people in seat for Go-To-Market and 7 salespeople. Joining Box as CRO When They Had a Churn Issue Mark joined Box four years ago at $600M in revenue and 4-5 years past IPO.

Scale 233

Scale Sales Hiring Scaling Revenue 233

ProfitWell

NOVEMBER 6, 2019

The subscription revenue model is hardly new. But in the past few years, subscriptions have seen a bit of a resurgence. In fact, you'd be hard-pressed to find an industry that hasn't seen at least one subscription success story: Cars. Even the humble houseplant doesn’t seem immune to the subscription economy.

Payment Features 74

Payment Features Payments Subscription Revenue 74

FastSpring

JUNE 25, 2019

A challenge faced by all subscription-based businesses is figuring out a way to keep recurring payments flowing for their company. And since revenue is closely tied with business growth and wellbeing, any dip in recurring revenue is immediately felt throughout the entire organization.

Payment Methods 64

Payment Methods Payment Features Churn SaaS Payments 64

User Pilot

NOVEMBER 28, 2022

Churn is the enemy of product growth. A churned user means lost future revenue and a waste of the resources it took to acquire them. How do you lower your churn rate and make sure all your users stick around? In this article, we’ll show you: What customer churn is and why it matters. Let’s get started.

Churn 95

Churn Software Review SaaS User Experience 95

User Pilot

JULY 30, 2023

Customer retention vs acquisition cost: Which metric matters more? Thus, striking the right balance between acquisition and retention costs significantly improves profitability and sustainability. TL;DR Customer acquisition is the process of attracting and converting prospective users into paying customers.

Acquisition 88

Acquisition Retention Customer Lifetime Value User Experience 88

Subscription Flow

DECEMBER 1, 2023

Recurring revenue models, or subscription models , can be a great way for businesses to generate income while providing customers with the options they want. However, a distinct set of metrics is needed for the subscription business model in order to track and keep an eye on the company’s health.

Subscription 59

Subscription Payment Features Metrics Business 59

Incredo

JULY 14, 2019

Whether you are a startup owner, a manager of a growing business or the CEO of an established company, you might find yourself asking questions like “ Should our SaaS subscription model be monthly, annually or both ?” or “ What are the best tips I can get in terms of annual vs monthly subscription models ?”.

Payment Features 184

Payment Features SaaS Payments Payment Methods Payment Solutions 184

Baremetrics

MARCH 16, 2021

Subscription billing is a payment structure that allows service providers to charge their clients based on a fixed timeframe. This article will help you with everything you need to know about subscription billing and subscription billing solutions. 1 What Does Subscription Billing Mean? Table of Contents.

SaaS Payments 103

SaaS Payments Payment Features Payment Solutions Merchant Services 103

User Pilot

MARCH 23, 2023

What are the reasons for customer churn in SaaS? However, sometimes things don’t go as planned, and customers churn. By the end of this article, you’ll have a better understanding of the common pitfalls that lead to customer churn and how to avoid them. 5: Customers churn when they experience an unresolved product bug.

SaaS Payments 95

SaaS Payments Churn Underperforming Technical Team Payment Methods 95

Blulogix

JANUARY 5, 2024

Key Definitions in Subscription Billing: Demystifying the Jargon By BluLogix Team Welcome to the fourth installment of our comprehensive guide on selecting the right subscription billing platform. Before we go much further, let’s go deep into essential definitions and concepts in the world of subscription billing.

Subscription 52

Subscription Payment Features Payment Services Payments 52

Subscription Flow

DECEMBER 15, 2023

The essence of the Subscription Economy lies in its ability to forge lasting relationships between businesses and consumers, transcending traditional transactional models. For instance, subscription businesses observe customer retention rates, customer acquisition, and whatnot.

Subscription 59

Subscription Payment Features Healthcare Technical Review 59

Clouded Judgement

APRIL 11, 2024

The first few months of this year felt like a lot of churning in the market. It looks at the YoY dollar change in quarterly revenue from the hyperscalers (just looking at Azure / AWS because the data goes back further) going back a few years. Beating consensus revenue estimates is the first aspect of a successful quarter.

Cloud 177

Cloud Software Azure AWS 177

FastSpring

JANUARY 21, 2020

Subscriptions are the lifeblood of any SaaS business model. However, SaaS subscriptions can also cost businesses money if they’re not set up with the customer’s experience in mind. Incorrect payment details can lead to one of the unspoken reasons behind customer losses in the SaaS industry—involuntary churn.

Payments 79

Payments SaaS Payments Payment Features Payment Services 79

Chart Mogul

AUGUST 20, 2020

4x entrepreneur Andrew Gazdecki shares how you can better prepare yourself for your startup's acquisition, and make the journey a rewarding one. The better prepared you are for an acquisition, the smoother it’ll go, leaving you financially, operationally, and psychologically stronger during negotiations. Know your numbers.

Acquisition 105

Acquisition Startup Technical Review Scale 105

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. Yes, we’re talking about churn. What is churn? Customer churn happens when an existing customer stops doing business with you.

Payment Methods 66

Payment Methods Churn Subscription Payment Features 66

Baremetrics

FEBRUARY 15, 2021

Annual Recurring Revenue (ARR) is the amount of money a company can expect to bring in from subscriptions on an annual basis. Subscription businesses rely on their sales and marketing teams to bring money into the company in two ways: by selling new subscriptions and by selling upgrades to existing subscribers.

Payments 91

Payments Revenue SaaS Payments Payment Services 91

Baremetrics

APRIL 6, 2021

When you’re looking at your business goals, you need to consider not only your existing monthly revenue but your contraction monthly recurring revenue (MRR). Contraction Monthly Recurring Revenue (MRR) is an extremely important metric for subscription businesses. Table of Contents.

Outsourced Development 99

Outsourced Development Payments Revenue Payment Services 99

Baremetrics

MARCH 23, 2021

Analyzing user behavior within a cohort is the starting point of a strategy to reduce churn. It is a steep challenge to generate sustainable, consistent profits from new customer acquisition alone. Typically, there are two types of cohorts: behavioral cohorts and acquisition cohorts. Want to learn more? Table of Contents.

Churn 98

Churn Retention Data Analysis Acquisition 98

Chart Mogul

JULY 6, 2023

Churn, SaaS companies should avoid it like the plague. But is the term churn always bad? Say hello to negative churn, churn’s much more friendly sister metric. You won’t avoid negative churn, in fact, you should do everything in your power to achieve it. But is the term churn always bad?

Benchmarks 52

Benchmarks Churn SaaS Customer Lifetime Value 52

Baremetrics

AUGUST 16, 2021

What does it mean to reactivate a subscription? There are several reasons a customer would cancel their subscription. Reactivating the subscription could mean many things, but primarily it means the customers decided to activate the subscription and make payment for another billing cycle. Table of Contents.

Subscription 87

Subscription Payment Features Metrics SaaS Payments 87

Totango

FEBRUARY 9, 2024

Similarly, to be successful, an enterprise needs to be able to prevent churn and increase revenue growth. In football terms, gross retention, or gross revenue retention (GRR), is like the defense, determined to block any attempts by the opposing team (churn) to breach your end zone (revenue stream). Calculate it!

Retention 108

Retention Underperforming Technical Team Software Review Churn 108

FastSpring

JUNE 28, 2019

When companies look at strategies to scale their business there’s almost always a prevalent focus on customer acquisition. As interest in subscription services continues to rise, maximizing customer lifetime value becomes even more important than ever before. What is customer churn? How to calculate churn rate.

Churn 69

Churn Payment Services SaaS Payments Payment Features 69

BrightBack

FEBRUARY 6, 2020

In this report, we've surveyed over 400 subscription businesses to better understand how the industry is approaching and prioritizing customer retention. We found subscription companies have completed a shift in focus toward retention over acquisition, but still struggle to execute and engage their customers across teams and systems.

Retention 120

Retention Subscription Payment Features Payment Methods 120

SaaSOptics

MAY 19, 2022

What Is Customer Acquisition? Customer Acquisition is the process of acquiring new customers in a business. Not only is it one of the main drivers of revenue growth for early-stage companies, but it’s a primary goal for SaaS businesses across market stages. More customers = more revenue. Plain and simple.

Acquisition 59

Acquisition Scale Strategy Software Review 59

Baremetrics

AUGUST 5, 2021

We need it to make informed decisions about customer acquisition expenses. In our previous post , we explored pitfalls in using "churn" metrics. We found that "churn" misleads us in some circumstances, such as when there are many short-term customers. That "churn" is the same metric we tested in our previous post.

Churn 105

Churn Subscription Payment Features Metrics 105

CustomerSuccessBox

OCTOBER 21, 2021

Customer Success has become a must for every SaaS business with the advent of the subscription economy. But just having a customer success department does not solve issues with your churn rate, customer lifetime value, retention rate, or MRR/ARR. The subscription model has become the majority in the B2B SaaS industry.

Payments 52

Payments Customer Success SaaS Payments Revenue 52

Totango

JANUARY 26, 2021

Being proactive about churn prevention provides an antidote to customer attrition. Read on to learn what churn is, how an attrition analysis can help you pinpoint why you’re losing customers, and what steps you can take to prevent customer churn. What Is Churn Rate and How Does It Relate to Customer Retention?

Churn 89

Churn Retention Underperforming Technical Team Technical Review 89

Baremetrics

APRIL 6, 2021

ProfitWell is a cloud-based app that generates real-time financial and subscription metrics for data-driven SaaS enterprises. The recurring revenue growth platform provides users with valuable insights into subscription funnels and one-click analytics for Stripe. But ProfitWell does not benefit all SaaS companies.

SaaS Payments 93

SaaS Payments Payment Services Payments Payment Solutions 93

Subscription Flow

JANUARY 26, 2024

When evaluating the growth and valuation of SaaS businesses, Monthly Recurring Revenue (MRR) is arguably the most commonly used SaaS metric out of all of them. Read more: Metrics that Matter: A Deep Dive into MRR, ARR, Churn, and ARPU for Subscription Business Models What is SaaS MRR growth?

SaaS Payments 52

SaaS Payments Payments SaaS Payment Features 52

Baremetrics

NOVEMBER 11, 2020

Negative revenue? Negative net revenue churn? Net revenue churn is the exception to the rule, and it’s one of the few times you’ll hear founders get excited about a KPI being in the negative. So, why does everyone have such a positive attitude about negative churn? What is net negative churn?

Churn 111

Churn Payments Social Media SaaS Payments 111

SaaSOptics

FEBRUARY 13, 2022

Based on a 2019 survey, Gartner forecasts that eighty-four percent of new software will be delivered as SaaS , and this percentage is expected to increase as existing providers transition to a subscription-based model. The main difference between accounting for a subscription vs. a traditional business is the method used. The result?

Payment Features 105

Payment Features Outsourced Development SaaS Software Review 105

Clouded Judgement

DECEMBER 21, 2023

Q3 Revenue Relative to Consensus Estimates Now let’s dive in to the financial results of Q3 starting with revenue. Beating consensus revenue estimates is the first aspect of a successful quarter. The formula to calculate this is: (Q3 ’23 revenue) / (Q3 ’22 revenue) - 1.

Cloud 177

Cloud Software Benchmarks Retention 177

User Pilot

MARCH 25, 2024

It uses revenue and operating costs to determine the company’s value. Revenue-based valuations are more suitable for SaaS startups because it doesn’t take into account upfront investment which affects SDE or EBITDA negatively. The multiple depends on numerous factors, like sustainability and transferability of revenue and growth.

SaaS 96

SaaS Customer Lifetime Value Acquisition Metrics 96

User Pilot

APRIL 29, 2024

In this article, we examine what makes SaaS renewal management so important and explore renewal strategies for preventing customer churn and increasing upsells. A good SaaS renewal strategy helps drive customer retention , increases the customer lifetime value , and improves your monthly recurring revenue. Let’s dive right in!

SaaS Payments 80

SaaS Payments Business SaaS Payment Solutions 80

FastSpring

MAY 14, 2019

Here’s how your company can benefit from switching from a perpetual license to a subscription plan. Reason #1: Subscriptions support product innovation. Whether you call it market expansion or customer acquisition, the underlying idea is the same. Reason #2: Subscriptions increase the accessibility of your software.

Payment Features 71

Payment Features Payment Methods Subscription Payment Services 71

OpenView Labs

FEBRUARY 5, 2019

A recent study by Invesp found that 44% of SaaS companies are focused on customer acquisition, as opposed to just 18% that are focused on customer retention. Before there is time for customers to churn it’s just about adding in as many new customers as you can. Customer churn: A customer who does not renew (a canceled customer).

Churn 66

Churn Revenue SaaS Acquisition 66