Clouded Judgement
MARCH 22, 2024
At contract expiration these customers either renew (sign another contract with same annual value), expand (sign another contract with higher annual value), contract (sign another contract with lower annual value), or churn (stop being a customer and spend goes to zero). It’s probably better described as re-occurring vs recurring.
SaaStr
JUNE 4, 2022
Enough to pay some salaries and AWS bills, but it’s not that much. And human churn. You start making up for it in volume — with headcount. Yes, you now know how to make customers successful and happy now. But it is so slow. You have 2,000 customers now. But at $10/mo, that’s still just $20,000 a month.
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SaaStr
JANUARY 25, 2022
Enough to pay some salaries and AWS bills, but it’s not that much. And human churn. You start making up for it in volume — with headcount. Yes, you now know how to make customers successful and happy now. But it is so slow. You have 2,000 customers now. But at $10/mo, that’s still just $20,000 a month.
OpenView Labs
FEBRUARY 3, 2022
AWS and other infrastructure providers have been using UBP for nearly a decade. Fast growers retain and expand new customers, resulting in net negative churn. Low churn shows the product is sticky, hard to replace, and truly generating value for customers. Fast growers are much more likely to employ a usage-based model.
Outseta
JANUARY 20, 2020
In this post I’m going to share the most important lessons about growing a SaaS business that I learned at Buildium—collectively, these things had an awful lot to do with the company being valued so highly. This required no additional addressable market and also helped to drive down Buildium’s churn rate. How the hell does that happen?
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).
OpenView Labs
MAY 20, 2019
That’s certainly true in developer tooling (AWS), sales and support (Salesforce), MarTech (Adobe), commerce (Square), HR tech (Workday) and even vertical markets (Veeva). We’re seeing three drivers of lower lifetime value: feature commoditization, less pricing power (price wars), and worsening churn. Now it’s table stakes.
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