SaaStr

FEBRUARY 17, 2023

While the allure of customer acquisition can pull a founder’s attention, it’s equally important to dedicate resources to fighting churn and expanding revenue from existing customers. Remember, this is not a one-time exercise –– it requires continuous investment and attention. Something missing? Friction in usage?

Retention 192

Retention Revenue Startup Sales Hiring 192

User Pilot

NOVEMBER 25, 2023

Looking for a good retention analytics tool and wondering which one of Heap, Amplitude, and Mixpanel is the best option for your SaaS company? There are plenty of tools for retention analytics on review sites, but they don’t make the choice any easier. Let’s compare them! Let’s dive in!

Retention 85

Retention Software Review Technical Review Scale 85

SaaStr

SEPTEMBER 29, 2022

Free user acquisition. Free user retention. Stage 2: Prove free user retention. Stage 3: Prove scalable quality user acquisition. It’s time to reduce the customer acquisition cost by experimenting with content marketing and virality. As a result, your growth team gets limited to user acquisition.

Technical Review 223

Technical Review Technical Advisors Scale Compensation 223

User Pilot

OCTOBER 5, 2023

TL;DR The CAC payback period measures the time it takes for a company to recover the money invested in new customer acquisition. This metric helps SaaS companies choose the most effective customer acquisition channels , diagnose inefficiencies in customer retention strategies , and inform pricing decisions.

SaaS Payments 105

SaaS Payments Customer Lifetime Value Payment Solutions Acquisition 105

Clouded Judgement

APRIL 11, 2024

net retention and CAC payback). This has all resulted in the median stock price declining 5% YTD. In simpler terms — if you had 10 customers 1 year ago that were paying you $1M in aggregate annual recurring revenue, and today they are paying you $1.1M, your net revenue retention would be 110%.

Cloud 169

Cloud Software Azure AWS 169

User Pilot

JANUARY 9, 2023

Can personalized retention marketing grow your customer’s lifetime value and customer retention rate? This article considers all you need to know about retention marketing. How can a personalized experience help drive retention? What personalized customer retention strategies are open to you? Who are they?

Customer Lifetime Value 98

Customer Lifetime Value Retention Marketing Scale 98

Clouded Judgement

MARCH 22, 2024

Enterprise software businesses strive for 90-95% gross retention (generally the percent of revenue that sticks with you vs churns altogether), with net expansion in the 120%+ range (the aggregate change in expansion - contraction - churned revenue). Namely, retention!! For “fake” ARR, retention can vary wildly.

AI 183

AI Revenue Cloud Technical Advisors 183

Sixteen Ventures

AUGUST 14, 2022

The people in charge of your company – the Executives, Board, and Investors – want to improve a metric called NRR (Net Revenue Retention or NDR, Net Dollar Retention, if you prefer) for one very simple reason: it plays a direct role in the value of the company. It’s actually not even to make customers successful.

Customer Success 97

Customer Success Investment Sales Hiring Retention 97

Incredo

OCTOBER 8, 2019

Just look at customer acquisition vs retention statistics. If you increase retention rate by 5%, you can increase your company’s profitability by up to 95%. Optimized pricing page – You might say that not all SaaS companies have their pricing plans available on their website. What do you see?

Acquisition 148

Acquisition Strategy Technical Review SaaS 148

User Pilot

JANUARY 17, 2024

Here are the 15 most effective ways to scale your SaaS business: Create a solid customer acquisition strategy. Create flexible pricing packages that are aligned with the needs of all customers. Encourage customers to enroll in referral programs to minimize customer acquisition costs.

Scale 105

Scale Scaling SaaS Underperforming Technical Team 105

CustomerSuccessBox

MARCH 25, 2022

Then while considering customer acquisition cost (CAC) why miss out on customer retention cost (CRC)? About customer retention cost. It is the cost spent on the retention of customers by the total active customers. Customer retention cost (CRC) = Annual cost on customer retention / No of active customers.

Retention 52

Retention Customer Lifetime Value Acquisition Churn 52

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

Incredo

OCTOBER 8, 2019

Just look at customer acquisition vs retention statistics. If you increase retention rate by 5%, you can increase your company’s profitability by up to 95%. Optimized pricing page – You might say that not all SaaS companies have their pricing plans available on their website. What do you see?

Acquisition 134

Acquisition Strategy Technical Review SaaS 134

User Pilot

JULY 26, 2022

Looking for the right retention KPIs to track and improve your customer retention rates? Customer retention is the key ingredient when it comes to growing your SaaS product without having to acquire new customers. So let’s find out what retention KPIs you should start tracking! What is customer retention?

Retention 98

Retention Metrics Customer Lifetime Value Churn 98

User Pilot

AUGUST 6, 2023

A consistent omnichannel customer experience can improve satisfaction , build loyalty , drive acquisition, increase retention , boost LTV, and help you make data-driven decisions. User acquisition. Higher retention. Increases LTV. On the other hand, growth teams usually work throughout the journey.

Investment 97

Investment Banking Social Media Customer Lifetime Value 97

User Pilot

JULY 18, 2022

Are you satisfied with the customer loyalty and retention rates of your SaaS? Today we explore what customer loyalty and retention mean for SaaS, how retention differs from loyalty, and tactics to help you boost both. Customer retention is a company’s ability to keep its existing customers. What is customer loyalty?

Retention 98

Retention SaaS Customer Lifetime Value Education 98

User Pilot

JANUARY 3, 2023

Ready to double down on customer retention automation? Shortly, you’ll learn: Why retention automation should be the focus of every SaaS company. 8 retention automation strategies. Three of the best customer retention software to use. Three of the best customer retention software to use.

Retention 98

Retention Customer Lifetime Value SaaS Scale 98

SaaStr

SEPTEMBER 29, 2023

Many of you are familiar with this visual, most likely created by an investment firm. There are advantages beyond higher pricing, with higher pricing being the smallest advantage. With the second product, Lattice had a higher price point per customer, which everyone expects, but it doesn’t always happen.

Scale 212

Scale Scaling Startup Sales Hiring 212

Clouded Judgement

JANUARY 12, 2024

It’s better to come to that realization today than grinding for 2 more years only to realize it then when your cash balance has dried up and all of a sudden you have no leverage in an acquisition. An acquisition at $200m can be life changing for founders, or it can be worth nothing if they raised $250m at $1B valuation back in 2021.

Cloud 284

Cloud Venture Capital Acquisition Metrics 284

User Pilot

MARCH 25, 2024

An accurate valuation is necessary to secure the right price for the company or adequate funding without diluting its share 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.

SaaS 105

SaaS Customer Lifetime Value Acquisition Metrics 105

SaaSOptics

MAY 19, 2022

What Is Customer Acquisition? Customer Acquisition is the process of acquiring new customers in a business. For subscription-based SaaS businesses, your customer acquisition metrics indicate how effectively you acquire new users via sales, marketing, or a product-led approach like a free trial. More customers = more revenue.

Acquisition 59

Acquisition Scale Strategy Software Review 59

User Pilot

MARCH 14, 2024

We’ll explore its features, pricing, and offer a comprehensive review to aid in your decision-making process. Here are some features to look for: Flexible customizations : Customize user group views based on the acquisition date, product usage, or demographics to understand individual behavior. Let’s get started!

Technical Review 52

Technical Review Software Review Pricing Underperforming Technical Team 52

User Pilot

OCTOBER 18, 2023

In this guide, we’re going to go over what the CAC payback period is, why it’s worth calculating, and how to reduce your customer acquisition costs altogether! TL;DR The customer acquisition cost (CAC) tracks the amount your business spends to acquire each customer (with an industry average of $702 for SaaS companies).

Customer Lifetime Value 105

Customer Lifetime Value Acquisition Retention Churn 105

Clouded Judgement

APRIL 5, 2024

Competitors start telling prospects you’re competing on that “that company will screw you in the future because their VCs will force them to price gouge you so they can make money.” ” Acquisitions become tougher because the preference stack is higher. This list goes on. The market sold off after this.

Cloud 161

Cloud Scale Pricing Revenue 161

Clouded Judgement

DECEMBER 21, 2023

net retention and CAC payback). In simpler terms — if you had 10 customers 1 year ago that were paying you $1M in aggregate annual recurring revenue, and today they are paying you $1.1M, your net revenue retention would be 110%. The graph below shows the median net retention going back to 2020.

Cloud 177

Cloud Software Benchmarks Retention 177

SaaStr

NOVEMBER 14, 2023

Then, we moved to a more customer-friendly model with SaaS and subscription-based pricing. That way, they know what growth to expect and what incremental uplift they’re getting from having sales involved so they can continue to make better investments. The first might be market acquisition. The lines will blur.

Compensation 161

Compensation Sales Azure AWS 161

SaaStr

JANUARY 22, 2021

A product-led growth strategy relies on the product itself as the primary vehicle for customer acquisition, conversion, retention, and expansion. Pricing strategy based on pay-as-you-go has grown popular. The return on marketing investment is much faster. Product-Led Growth: The Disruptive GTM Strategy.

Scale 253

Scale New CTO CTO Acquisition 253

User Pilot

FEBRUARY 28, 2024

There are various metrics to track the customer path, such as: Awareness stage metrics Acquisition stage metrics Activation stage metrics Adoption stage metrics Retention stage metrics Revenue stage metrics Referral stage metrics To create a successful customer path, follow the steps below: Conduct user path analysis to identify the happy path.

Customer Lifetime Value 105

Customer Lifetime Value SaaS Software Review Acquisition 105

SaaStr

FEBRUARY 9, 2024

So when’s the right time to invest more in sales and marketing when we’re all trying to become radically efficient ? So when you think about acquisition, retention, and expansion, they all revolve around the product capabilities in a PLG motion. The product becomes your sales team.

Scale 241

Scale Sales Hiring Sales Marketing 241

Totango

OCTOBER 2, 2020

These adjustments might include promotions around free services to enhance implementation, offering more personalized training sessions, or providing more licenses for the same price. . Customer retention is the lifeblood of recurring revenue enterprises, regardless of the external economic circumstances. Maximizing Your Resources.

Retention 118

Retention Underperforming Technical Team Churn Customer Lifetime Value 118

SaaStr

JULY 13, 2022

Contract processes, packaging, and pricing might change. Expansion or retention is the new acquisition. Your expansion revenue should comprise at least 30 percent of your new acquisition revenue. Mistake 10: Not pricing for organic growth. Price your product smartly so your customers feel ?you’re

Scale 202

Scale Sales Hiring Revenue Marketplace as a Service 202

Baremetrics

DECEMBER 18, 2019

What can we do to improve retention? But first, in order to improve retention, we first have to be able to measure it. These are the three retention measurements I usually start with: The “How would you feel if…?” strong acquisition and retention) almost always exceeded that threshold. Why are customers canceling?

Retention 136

Retention Strategy Payment Solutions Technical Advisors 136

User Pilot

NOVEMBER 27, 2023

By analyzing revenue growth over specific periods, your company will gain insights into the effectiveness of marketing campaigns, customer retention initiatives , and product enhancements. Customer acquisition cost (CAC) CAC represents the average cost incurred to acquire a new paying customer. Book a demo today.

Payments 105

Payments Revenue Payment Features SaaS Payments 105

SaaStr

AUGUST 7, 2023

As you’ll learn further down in this article, ARR now means any type of software-related revenue with 100%+ Net Revenue Retention (NRR), even if it’s not truly recurring. CAC stands for Customer Acquisition Costs and measures how much it costs to buy a new customer. Gross Retention vs. Net Retention — Which One Is Better?

Metrics 176

Metrics SaaS Sales Hiring Finance 176

Casey Accidental

JULY 17, 2023

But more importantly, when customers do grow, they create a phenomenon known as net dollar retention. But the ones that do tend to invest more in your product over time, growing revenue per customer in a way that covers more than the churn of other customers. Net dollar retention non-existent. In short, everything.

Payment Solutions 98

Payment Solutions Payments Subscription Payment Features 98

User Pilot

MARCH 12, 2024

They include key business impact, satisfaction, and retention metrics. Customer acquisition cost The Customer Acquisition Cost (CAC) refers to the costs and resources required to acquire a new customer. It can also help you calculate the return on investment (ROI) of an acquisition. Customer lifetime value.

Metrics 105

Metrics Scale Customer Lifetime Value Business 105

User Pilot

NOVEMBER 27, 2023

Theoretically, this model helps companies scale with lower costs and higher retention. Product-led growth is a business strategy that focuses on the product as the primary tool for customer acquisition and retention. PLG affects everything from the product to the company’s acquisition channels, buying methods, and market.

Scale 105

Scale Acquisition Strategy Retention 105