FastSpring

FEBRUARY 6, 2019

Pricing your software correctly is a crucial part of selling software , but sometimes it’s hard to know if you’re on the right track with your pricing strategy. We’re sharing some tips for setting up a pricing model that attracts and retains long-term customers for your software company. Benchmark Growth with Measurable Metrics.

Payment Features 75

Payment Features Payment Solutions Subscription Pricing 75

Clouded Judgement

DECEMBER 21, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. net retention and CAC payback). On the other hand, if your net revenue retention is 120%, you only need to grow new logo revenue 10% to be a “high growth” business. Subscribe now Is Software Rebounding?

Cloud 177

Cloud Software Benchmarks Retention 177

CustomerSuccessBox

FEBRUARY 17, 2022

Most people judge the performance of a SaaS company by its Monthly Recurring Revenue (MRR) while evaluating a company by its Net Dollar Retention (NDR) can provide much more valuable insight. I would say that Net Dollar Retention (NDR) is one of the most important metrics for SaaS companies. What is Net Dollar Retention?

Benchmarks 52

Benchmarks Retention Churn Subscription 52

Clouded Judgement

SEPTEMBER 12, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. net retention and CAC payback). On the other hand, if your net revenue retention is 120%, you only need to grow new logo revenue 10% to be a “high growth” business.

Cloud 169

Cloud Software Benchmarks Retention 169

Chart Mogul

JULY 6, 2023

We’ll also share the latest benchmarks on negative churn among SaaS businesses. Benchmark your churn metrics against 2100+ SaaS businesses How negative churn causes explosive growth How to achieve net negative revenue churn What is churn? If you want, you can learn more about churn basics and benchmarks on our blog.

Benchmarks 52

Benchmarks Churn SaaS Customer Lifetime Value 52

Clouded Judgement

APRIL 12, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. net retention and CAC payback). On the other hand, if your net revenue retention is 120%, you only need to grow new logo revenue 10% to be a “high growth” business. Subscribe now When Will Macro Improve?

Cloud 161

Cloud Software Benchmarks Retention 161

Clouded Judgement

JUNE 20, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. net retention and CAC payback). The market is clearly pricing in lower rates + reacceleration of growth. Not surprisingly, these benchmarks match up relatively well with the numbers public companies reported.

Cloud 161

Cloud Software Benchmarks Scale 161

Chart Mogul

MARCH 23, 2023

And, is your poor retention the reason for your slower growth in 2023? If you’re unsure, check your retention metrics. Gross revenue retention (GRR) and net revenue retention (NRR) are the key metrics to understand how well … How good is your business at retaining customers?

Retention 52

Retention Metrics Revenue Scale 52

ProfitWell

NOVEMBER 15, 2019

Your subscription company should run like a well-oiled machine. So I’ll unpack some of our favorite tools that cater to certain needs—analytics, accounting, retention, pricing, and more. There are hundreds of SaaS tools online that will help your business increase retention and decrease churn. Analytics. Google Analytics.

Retention 56

Retention Pricing SaaS Payments Payment Methods 56

Payrix

APRIL 24, 2024

Andy suggests that there is an immediate and discernible value-add for software companies to embed payments as a means for retention of SaaS revenue. Plus, software providers gain the addition of payments revenue and the ongoing retention of that additional revenue too. How do payments impact software attrition rates?

Payments 162

Payments Embedded Payments Merchant Services Payment Solutions 162

Clouded Judgement

DECEMBER 20, 2022

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. net retention and CAC payback). On the other hand, if your net revenue retention is 120%, you only need to grow new logo revenue 10% to be a “high growth” business. Let’s dive in.

Cloud 130

Cloud Software Review Software Benchmarks 130

OPEXEngine

OCTOBER 10, 2019

The Subscription Show is coming to Boston in a few weeks at the World Trade Center. I’m thrilled to be speaking there about SaaS Metrics and Benchmarks. The show is 100% focused on subscription models, operations, pricing, marketing and subscription-centric technologies, and organized by Subscription Insider.

Payment Features 40

Payment Features Subscription Payment Services Benchmarks 40

User Pilot

JULY 18, 2023

You will have data sets for analyzing your churn/retention history, which will better position you to make intelligent business decisions. TL;DR Customer churn is the rate at which users discontinue their subscription or stop using a particular product or service. Price increases. Monthly recurring revenue.

Churn 98

Churn Payments SaaS Payments Payment Solutions 98

ProfitWell

MARCH 13, 2019

On this episode of the ProfitWell Report, Ria Lao , Founder and CEO at GroupStar , has a fascinating question that you've probably thought of at some point: Should you end your subscription price in 9? One of these tricks is to end your prices in 9 rather than a 0 or a 5. Well, not exactly. Click to enlarge.

Pricing 103

Pricing Retention Subscription Payment Features 103

User Pilot

APRIL 29, 2024

A good SaaS renewal strategy helps drive customer retention , increases the customer lifetime value , and improves your monthly recurring revenue. The renewal rate is calculated as the number of customers who renew their subscription divided by the total number of customers up for renewal at any given period.

SaaS Payments 102

SaaS Payments Business SaaS Payment Solutions 102

User Pilot

OCTOBER 15, 2023

Use benchmarks to monitor your performance to see how well each stage converts. Monitor retention during the trial period so you can make changes to drive more user engagement. Emphasizing growth metrics not only boosts revenue but also improves customer satisfaction and retention by offering users more from the product suite.

SaaS Payments 105

SaaS Payments Payment Methods Payment Solutions Payments 105

User Pilot

OCTOBER 5, 2023

This metric helps SaaS companies choose the most effective customer acquisition channels , diagnose inefficiencies in customer retention strategies , and inform pricing decisions. Reveals inefficiencies in your retention strategies The CAC payback period can also reveal leaks in your customer retention funnel.

SaaS Payments 105

SaaS Payments Customer Lifetime Value Payment Solutions Acquisition 105

OPEXEngine

JUNE 11, 2020

You hear the terms SaaS, subscription, term licenses and perpetual license software tossed around frequently. At OPEXEngine, we pull apart the different nuances of each business model to make sure we are benchmarking companies correctly. The product is hosted by the vendor or a 3 rd party (like AWS).

SaaS Payments 52

SaaS Payments Payment Solutions Subscription Payment Features 52

ProfitWell

MARCH 2, 2020

Then we look at the opportunity to raise your product prices. Listen wherever you get podcasts: Your top subscription news. Waking up with subscription. And there's a new subscription in town that may actually satisfy your daily caffeine kick while also saving your wallet. The value-based pricing zone.

Retention 52

Retention Subscription Payment Features Churn 52

OpenView Labs

SEPTEMBER 8, 2021

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. . Pricing should not get in the way of customers adopting the product.

Pricing 64

Pricing Customer Success Scale Compensation 64

User Pilot

AUGUST 10, 2023

Measuring the DAU, WAU, and MAU metrics helps you: Understand user retention. Mistakes to avoid when measuring product performance and engagement metrics: Following benchmarks only — set your own as each product is different. That’s a sign of low retention, and you need to address it immediately. It could be more or less.

Metrics 95

Metrics Venture Capital Benchmarks Engagement 95

ProfitWell

OCTOBER 24, 2019

Today on Recur Now, an NBA team is hopping on the subscription bandwagon. We break down the Cleveland Cavalier's new subscription model with one of our own pricing experts and sports fanatic. Plus, Zuora's Subscription Economy Index is out and the findings are astronomical. Your top subscription news.

Subscription 41

Subscription Payment Features Sales Recruiting Telecommunications 41

ProfitWell

DECEMBER 9, 2019

From the rise of SaaS to the sudden glut of subscription boxes, the subscription business model has never been more popular. So much so that Gartner research predicts that in 2020, all new entrants to the software market and 80% of existing companies will offer some sort of subscription package. Prioritize retention.

SaaS Payments 61

SaaS Payments Payment Services Subscription Payment Features 61

Clouded Judgement

DECEMBER 9, 2022

I went back and looked at the last ~50 software IPOs and benchmarked them across a number of metrics. Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4). Every week I’ll provide updates on the latest trends in cloud software companies.

Cloud 130

Cloud Benchmarks Subscription Payment Features 130

ProfitWell

APRIL 29, 2020

Talking about the different pricing methods, for me, is equivalent to a kid in a candy store. Of course, like a candy store, there are many pricing options but you can’t use them all. We of course have our favorite pricing methods here at ProfitWell, but it’s good to understand the differences, good or bad. Value-based pricing.

Pricing 52

Pricing Subscription Payment Features Airlines 52

OPEXEngine

JUNE 2, 2020

If your startup is a SaaS (or any other business with customers paying on a recurring subscription basis), churn is a critical metric – particularly net revenue churn and gross revenue churn – that will need constant measurement. What is revenue retention? Net Revenue Retention Rate. Gross Revenue Retention Rate.

Retention 52

Retention Churn Revenue Metrics 52

FastSpring

SEPTEMBER 16, 2022

Tony Markov and Todd Stellfox happen to be a sales team lead and a sales manager respectively, but they’re in the community because we recently featured them in our Pricing Strategies to Combat Stagflation live interview webinars with CPO Kurt Smith.). Position Yourself as an Expert.

SaaS Payments 146

SaaS Payments Payment Solutions Merchant Services Software Review 146

OpenView Labs

SEPTEMBER 23, 2019

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). Benchmarks are the only check on whether or not a business is generating efficient growth.

Benchmarks 40

Benchmarks Data SaaS Scale 40

OPEXEngine

MAY 18, 2021

ARR is an essential subscription metric that identifies the recurring revenue expected on an annual basis from the subscriber base. When calculating this metric, it is important to only use contracted recurring revenue and not one-time payments from services or any other one-time payment. . Usage Fee-Based ARR.

SaaS Payments 98

SaaS Payments Metrics Payments Payment Services 98

Tom Tunguz

FEBRUARY 20, 2017

The chart above shows the subscription revenue is roughly at $150 million and professional services revenue is about $35 million this year. Third, Mulesoft boasts great dollar retention that has grown from 110% to 117% over the last years. Today, the business generates nearly $200 million annually in revenue, and is growing at 70%.

Metrics 100

Metrics Benchmarks Scale Finance 100

ProfitWell

NOVEMBER 12, 2019

Your core is a lot like pricing in SaaS companies. Like your core, pricing is a wildly untapped growth lever. Building a strong pricing strategy starts with hiring a professional team to conduct a pricing audit. Building a strong pricing strategy starts with hiring a professional team to conduct a pricing audit.

Payments 45

Payments Pricing Underperforming Technical Team SaaS Payments 45

ProfitWell

NOVEMBER 1, 2019

But after working with hundreds of SaaS companies, I've realized that the same advice applies for your retention rate as well. But just like avoiding the yeti is way more fun than restarting the game, boosting your retention is more fun—and way more valuable—than acquiring more customers. Align team incentives around retention.

Retention 56

Retention Strategy Underperforming Technical Team SaaS 56

Stax

FEBRUARY 21, 2024

And because of the digital nature of SaaS businesses and their subscription-based business models, the ability to collect data on how the company is performing is easier and faster than ever. Enter the SaaS Magic Number, which measures the return on sales and marketing spend in generating new subscription revenue.

SaaS Payments 88

SaaS Payments Payments Payment Services Stax 88

User Pilot

MAY 5, 2022

This is crucial if you want to know how healthy your SaaS product is and what should be improved to increase customer retention and lower the churn rate. This means you should conduct churn analysis and act on it to improve customer retention. Additionally, your competitors’ pricing factors may affect their decision to leave you.

Churn 98

Churn Retention Subscription Payment Features 98

OpenView Labs

SEPTEMBER 17, 2019

This week we released our third annual Expansion SaaS Benchmarks report. But benchmarks alone are not enough. We’ve got to make the leap from benchmarks to action. Here’s our advice on how to use the benchmark data to grow even faster in 2020. Net dollar retention: What happens to every dollar of new MRR you acquire?

Benchmarks 41

Benchmarks Underperforming Technical Team Scale SaaS 41

Chart Mogul

DECEMBER 20, 2023

Sure, there are a lot of CRMs on the market, but our unique ability to combine subscription data with sales opportunities and customer communication all in one place has proven powerful. Then our 2023 SaaS Benchmarks Report brought light to how performance trends were reacting to a changing economic context.

Scale 52

Scale Subscription Payment Features Benchmarks 52

Clouded Judgement

AUGUST 25, 2023

There’s a lot of info to digest, so in the sections below I’ll try and pull out the relevant financial information and benchmark it against current cloud businesses. Our subscription plans are tiered based on the number of active consumer profiles stored on our platform and the number of emails and SMS messages sent.

Benchmarks 246

Benchmarks Artificial Intelligence Data Software Review 246