Clouded Judgement

FEBRUARY 2, 2024

Amazon on AWS : “…customers are continuing to shift their focus towards driving innovation and bringing new workloads to the cloud. The hyperscalers benefit from massive scale, distribution, trust and depth of customer relationships in ways no other software companies do. Follow along to stay up to date!

Cost optimization & reporting 161

Cost optimization & reporting Cloud Azure AWS 161

SaaStr

NOVEMBER 15, 2023

Being Multi-Platform / Multi-Product Key at Scale A story we’ve seen many times. 64% of Large Customers Sourced From Partners They are AWS’s largest cybersecurity partner. This chart of their revenue growth will make your jaw drop: Not much to not like here. ? The majority of their customers use 5 or more modules. #3.

Cybersecurity 261

Cybersecurity AWS Benchmarks Cloud 261

Hitenism

NOVEMBER 7, 2016

In 2006, after Amazon Web Services (AWS) helped pioneer what we now call the cloud, product development changed forever. Today, one-third of daily internet users visit websites built on top of AWS. AWS is now an $11.5B run rate business and has made up for an incredible 67% of Amazon’s operating revenue last quarter.

AWS 189

AWS New CTO Scale CTO 189

Clouded Judgement

APRIL 11, 2024

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. If we break this down and look at Azure and AWS independently (graphs below), you’ll see how the AWS “swings” were a lot more volatile.

Cloud 177

Cloud Software Azure AWS 177

Clouded Judgement

OCTOBER 27, 2023

Subscribe now Cloud Giants Report Q3 ‘23 Not a great signal for software this week from the Cloud Giants (AWS, Azure and Google Cloud)…After Q2 (3 months ago), the tone from the Cloud Giants around optimizations was largely: optimizations have started to ease, and net new workloads have picked up. Staggering scale already.

Cost optimization & reporting 152

Cost optimization & reporting Cloud Azure AWS 152

SaaStr

MARCH 31, 2022

This episode is an excerpt from a session at SaaStr Scale. And it’s one of the three large cloud vendors that we all know: Microsoft, AWS, and Google. AWS’s marketplace has seen 1.5 But also it’s allowed us to get much closer to our provider, I mean, we host and run 100% on AWS, but pull data from everywhere.

Scale 203

Scale Marketplace as a Service Cloud SaaS Payments 203

SaaStr

JUNE 28, 2023

Still, always helpful to see how any leader does free to paid at scale. 53% of Revenue is Outside U.S. With 1,500 employees, SEMRush is at about $190,000 in revenue per employee (1,500 employees). Spending a Hefty 50% of Revenue on Sales and Marketing. And again a challenge to everyone in SaaS to go global. #4.

Scale 200

Scale AWS Scaling Revenue 200

SaaStr

MAY 16, 2022

So follow AWS, Azure and Google Cloud. Let’s look a whole level up to the real canaries-in-the-coalmine: AWS, Azure and Google Cloud. And AWS grew 37% at a $74B run-rate , down a bit from 39% the prior quarter but still adding an insane amount of new revenue. If they stumble, we’re in for a rough patch.

Cloud 252

Cloud Azure AWS Engineering 252

SaaStr

APRIL 24, 2021

So many startups these days are claiming they have “ARR” from revenue that … doesn’t recur. Doesn’t ARR stand for Annual Recurring Revenue? ARR now really means revenue with 100%+ Net Revenue Retention. 50% revenue from software (recurring), 50% from payments (not-recurring). .

Merchant Services 359

Merchant Services SaaS Payments Payment Solutions Payment Services 359

SaaStr

MAY 31, 2023

It’s one of the few still commanding a premium multiple in today’s world, and still growing at tremendous rates: Snowflake is also a barometer of everything in SaaS and Cloud, because a significant amount of its revenue is consumption-based, at least in part. AWS is seeing this, and so is Snowflake. Not none, just less.

Headcount 205

Headcount Scale Sales Hiring AWS 205

Sales Hacker

APRIL 23, 2024

Before Common Room, Linda led product marketing for serverless computing at Amazon Web Services, where she saw firsthand the impact connected data and person-level insights had on accelerating product adoption, earning new customers, and expanding account revenue. Tactics for capturing untapped revenue by leveraging existing customer signals.

Sales Recruiting 83

Sales Recruiting Scale AWS Management 83

Baremetrics

OCTOBER 31, 2021

Are you growing and want to scale? If you want to scale, you need to make the investment of time and money and make sure your infrastructure suits your size of business. A lot of our workload was getting moved to AWS, and wouldn’t you know it: they want you to move compute to them so they have migration services to match.

AWS 115

AWS DevOps as a Service Underperforming Technical Team Development Team Review 115

SaaStr

JANUARY 29, 2023

Even If It’s Awful for Series A-E Rounds. SaaStr 628: Revenue Alignment: How to Pull Marketing, Sales, and Customer Success Together with Divvy CRO Sterling Snow  2. SaaStr 626: 10 Lessons Learned Scaling to $1B Valuation with Drift Co-founders David Cancel and Elias Torres  5. A 6 Part Test to Help You Get It Right.

Sales Recruiting 192

Sales Recruiting Sales Hiring Scale AWS 192

OpenView Labs

FEBRUARY 9, 2021

This is why we’re seeing more and more SaaS companies—Datadog, Twilio, AWS, Snowflake, and Stripe, to name a few—find success with product led growth paired with usage-based pricing. And that’s exactly why we created a playbook to help companies scale to $100+ million ARR with this model. Ready to scale to $100+ million ARR?

Scale 98

Scale Pricing Scaling AWS 98

SaaStr

FEBRUARY 20, 2021

So we’ve had a lot of fun in our 5 Interesting Learnings profiling the top SaaS and Cloud companies at scale, from Slack to Zoom, from Shopify to Datadog, from Box to DropBox. But are AWS, Azure and Google Cloud just too big for us to learn from? Google Cloud sees Cloud revenues tripling in the next 5 years.

Cloud 213

Cloud Azure AWS Scale 213

SaaStr

MAY 6, 2022

Ultimately — revenue multiples. Revenue multiples are how much VCs, investors, and ultimately, an IPO and public markets will value each dollar of revenue. Revenue multiples don’t affect customers, or even revenue itself. And generating real cash flow at scale. #2. pic.twitter.com/JNnzizB82v.

SaaS 336

SaaS Azure Cloud AWS 336

SaaStr

OCTOBER 13, 2022

You need an efficient way to keep your customers successful, reduce churn, drive adoption, and increase net revenue retention. ChurnZero lets your CS team manage and expand accounts at scale with proactive, personalized engagement that helps every customer succeed.

GCP(Google Cloud Platform) 195

GCP(Google Cloud Platform) Azure AWS Enterprise readiness 195

SaaStr

JULY 26, 2021

Even though you may not have that much revenue or that many leads, he will help you get more leads and maximize the experience of the leads you do have. It’s to scale a tiny engine into something bigger. But, sometimes a founder is >so< terrible at sales, so awful at it, that literally, it’s hopeless.

Sales Hiring 265

Sales Hiring Scale Startup AWS 265

Tom Tunguz

NOVEMBER 28, 2017

The fastest grower scales to more than 600 people in 30 months. One interesting question that I would like to answer is how these hiring growth curves correlate to revenue/ARR curves. I’ve normalized the years for when all the businesses were roughly at the same headcount - fewer than 50 people.

Headcount 168

Headcount Scaling Software Business 168

SaaStr

MARCH 9, 2022

Focusing on smaller developers, in some ways it’s been a bit overshadowed by AWS, Azure, and Google Cloud. DigitialOcean doesn’t want to take AWS, Azure and Google on in the enterprise and doesn’t really try. They are only 15% of the customers, but 83% of the revenue. Only 38% of revenue in North America.

Azure 216

Azure AWS SMB Cloud 216

SaaStr

NOVEMBER 8, 2022

Does it cost so, so much to host a few million lines of code on AWS? Sales, done right, should be accretive (although expect sales efficiency to ultimately decline post-Initial Scale). So what makes SaaS burn so much cash, once you have enough revenue to cover the costs of the core teams you need to build and service the product?

Scale 280

Scale SaaS Banking AWS 280

SaaStr

FEBRUARY 22, 2023

It was just a little while ago that Salesforce was doing $1 billion in ARR revenue. How can that scale over time? Does it make sense, and scale, from an input-output perspective? And true enough … freemium only ended up being 20% of our revenue, at least strictly defined. Same software, dude. But same software.

Scale 209

Scale Sales Hiring Venture Capital AWS 209

Sales Hacker

MARCH 29, 2021

Building the right partner tech stack can dramatically increase the revenue flowing from your partners, even if your partnership team is small. The growing role of partnerships in driving revenue. To drive the most revenue, both the CRM and PRM play integral parts in the partner tech stack.

Payments 100

Payments SaaS Payments Payment Solutions Payment Services 100

SaaStr

NOVEMBER 24, 2021

However, even the savviest entrepreneurs might be unaware of some of the blind spots that could be costing revenue. . Says Roberge, “We’re using a sales comp plan that was invented in the 1980s, and it’s causing our customers to utilize their licenses at a lower rate, and it’s causing revenue contraction.”. When should you scale?

Sales Hiring 193

Sales Hiring Scale Compensation Sales 193

Baremetrics

JANUARY 25, 2022

FinOps, which stands for Financial Operations, combines the latest technologies and methods to help businesses scale their financial processes adequately and efficiently. Again, things get slightly more complicated for SaaS businesses who often have to take unearned revenue into account when calculating their profits. Image source 3.

Payment Services 97

Payment Services SaaS Payments Payment Solutions Payments 97

Tom Tunguz

MARCH 8, 2020

After scaling sales enablement successfully, the next step is to understand where your customers are. Your customers may not know that it’s your product under the hood, so while you may gain a bunch of revenue, your brand equity won’t appreciate. Marketplaces: AWS marketplace, Heroku marketplace, Salesforce marketplace.

Scale 319

Scale AWS Consulting Sales Enablement 319

The Angel VC

FEBRUARY 20, 2016

Call me when it scales.” In it he argues that an eCommerce business with $10 to $20 million in revenues is not that hard to build and also not very valuable. About two years ago, Josh Hannah of Matrix Partners wrote an excellent article titled “That's a nice little $40M eCommerce company you have there. Now let’s talk about SaaS.

Scale 192

Scale Scaling SaaS AWS 192

SaaStr

AUGUST 4, 2022

And inflation is awful. Exceeding expectations again, and importantly, also raising guidance in revenues for the full year. #3. . — Jason 2022 SaaStr Annual Sep 13-15 Lemkin (@jasonlk) August 3, 2022. So are we in a downturn in SaaS? Certainly, segments are. eCommerce, video, and more are having post-crazy growth hangovers.

Venture Capital 289

Venture Capital AWS Cloud Scale 289

SaaStr

FEBRUARY 1, 2021

What I do know, is if you leave this position vacant for even a month — you’re putting Second Order Revenue at risk. In that case, his or her job is, at the end of the day, (x) to increase your revenue per lead and (y) get more leads. But not making the hire at all is pretty awful, too. Lots of it.

Sales Hiring 273

Sales Hiring Part-Time VPE Scale Sales Recruiting 273

SaaStr

APRIL 21, 2023

But as you get bigger and more well-funded, participate in traditional field marketing strategies because they account for 40% of revenue at scale. You can run your own conference, but third-party events like AWS, Dreamforce, SaaStr, and others allow you to get 40% of your pipe from their ability to draw in the best in the industry.

Outsourcing Services 202

Outsourcing Services Scale Outsourced Development Marketing 202

SaaStr

AUGUST 2, 2019

There aren’t that many things of true scale, that are strategic, that Salesforce could buy at this stage. Tableau was at >$900m in recurring revenue … growing 41% (!). And subscriptions were growing 115%. Tableau Reports First Quarter 2019 Financial Results. That’s not Twilio growth, but it’s awfully strong.

AWS 131

AWS Acquisition Cloud Subscription 131

The Angel VC

MAY 12, 2018

We generate over 90% of our revenue from self-serve channels — users who purchase a subscription through our app or website. But here you have it – it really is the King of Freemium , generating more than 90% of revenue from self-service channels. #3 Revenue for 2017 was $1.107B. 3 – It’s a Mouse Hunter! . #3 Mind blown.

AWS 187

AWS Scale Subscription Payment Features 187

Intercom, Inc.

FEBRUARY 26, 2018

I’m referring to the full spectrum of business execution, from product management to design to engineering to marketing to sales to support and all the other functions needed to scale a business. Basic marketing and selling at a global scale is becoming easy too. The second army are your main competitors. Google, Microsoft, Apple).

Software Review 224

Software Review Outsourcing Services Software Outsourced Development 224

SaaStr

MAY 12, 2019

GAAP revenue in Q1 ’19) because it’s in a space filled with strong competitors. We all know this from AWS and Twilio on down, but Fastly is a visceral reminder. It’s an almost 100% enterprise play — they have 227 customers spending over $100k a year, comprising 84% of their revenues. The lesson?

Outsourced Development 213

Outsourced Development AWS Retention Enterprise 213

SaaStr

SEPTEMBER 21, 2019

The Cloud has grown 700% since the first Annual, if we use AWS as a proxy. Scaling this quickly, and more relevantly, changing and evolving so much each year is hard. And what started off as a side project to bring the SaaStr community together is now a real (if tiny) organization with eight figures in revenues — and expenses!

Scale 161

Scale AWS Cloud Education 161

CloudGeometry

MARCH 22, 2022

In this blog series, we explore how these three dimensions figure into key technical recommendations which enable scale in pursuit of SaaS business growth. The recurring revenue user model of SaaS demands deep and broad attention at every step, as it empowers you to provide continued feedback on what you are selling them.

DevOps as a Service 130

DevOps as a Service Software Delivery Well Architected Framework AWS 130

Sales Hacker

DECEMBER 8, 2023

While many gravitate towards major industry events for announcements, Joseph has a hot take (and we love a spicy take): do not announce a major new feature at a major industry conference (such as RSA Conference or AWS re:Invent). Now organizations can customize demos at scale even easier. You will get lost in the noise.

Sales Recruiting 99

Sales Recruiting Generative AI AI AWS 99