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Benchmarks for Employee Stock Based Compensation in SaaS Startups

Tom Tunguz

Another way is to look at the cash based cost of the stock based compensation. The chart above shows the average stock-based compensation (SBC) per employee by years since founding across the basket of publicly traded SaaS companies. The SBC investment pattern varies substantially by company. Many factors skew the investments.

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Six Key Benchmarks for Your SaaS Startup

Tom Tunguz

Benchmarking is a great tool, if you can get access to representative data. Pacific Crest and David Skok have released a fantastic survey benchmarking SaaS metrics for early and growth stage companies. Below is my list of the six most important benchmarks and observations from that report. Sales commission as % of ACV 9%.

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Usage-Based Pricing Playbook: Customer Success Is A Mindset, Not Just a Job

OpenView Labs

2021 has proven to be the year of usage-based pricing. . 45% of expansion stage SaaS companies now say they have a usage-based or consumption-based pricing model, according to data from OpenView’s forthcoming 2021 Finance and Operations benchmarks report. . Product: Treat product investments as a revenue-generating expense.

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2020 Expansion SaaS Benchmarks: Getting Back to Hyper-Growth

OpenView Labs

When we were preparing the 2020 expansion SaaS benchmarking survey, our biggest question was: “How did COVID-19 and the economic downturn affect private SaaS companies?” It now matches sales and marketing spend at the average SaaS company as folks continued to put significant investments into R&D during the pandemic.

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Notes from Office Hours with Nick Mehta

Tom Tunguz

The discipline of customer success varies widely depending on price point. At the lower price points, some organizations combine the role of an account manager and the customer success person into a CSAM (customer success account manager). In these scenarios, investing in larger post sales teams drives account growth.

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Introducing OpenView’s Expansion SaaS Benchmarks Data Explorer

OpenView Labs

We’re living in a remarkable era for investing. Enduring business (think Cisco, GE, Walmart) must demonstrate the ability to repeatedly generate predictable earnings – turning the massive revenue scale they’ve achieved into shareholder returns (via share price expansion and dividends). How Do I Know What My Benchmarks Are?

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1 Key SaaS Sales Metric to Fine-Tune Sales Productivity

InsightSquared

When scaling the business, sales typically averages roughly 30% of revenue, so therefore sales spend is one of the biggest investments a company can make. For these reasons, accurately tracking key sales metrics and benchmarking your performance against peers and market leaders is critical to getting the most out of your sales resources.

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