Tom Tunguz

SEPTEMBER 1, 2021

Amplitude’s revenue growth rate is in the top quartile for modern software companies at 49%. Average Customer Value, $k. Customer Count. Large Customer Contribution.

Metrics 295

Metrics Benchmarks PayPal Enterprise 295

Tom Tunguz

MARCH 24, 2019

Focused on capital efficiency from the earliest days of the business, Eric has built a monster software business, with few comparisons in both absolute scale and efficiency. These customer acquisition paybacks resemble consumer acquisition figures more than software. The innovation results in higher quality calls.

Metrics 279

Metrics Benchmarks Scale Acquisition 279

Practical Advice on SaaS marketing

JULY 1, 2020

Understanding your customers is something SaaS companies can do especially well Lots of software-as-a-service (SaaS) companies should be able to easily gather and share information like that. Benchmarks are useful Of course, SaaS vendors need to be very careful to share only aggregate data.

Benchmarks 161

Benchmarks SaaS Cloud Metrics 161

SaaStr

MAY 23, 2024

So Emergence Capital put together a great report here on B2B startups, “Beyond Benchmarks 2024” , with a ton of great data across 664 software startups. One piece I loved is how 2023 growth rates compared to 2022 for Top Quartile Software Startups. But the median is only growing 53%. A huge gap.

Startup 342

Startup Benchmarks B2B Pricing 342

SaaStr

APRIL 15, 2025

With 17 years of venture capital experience, Ethan began his career in consumer investing before pivoting to B2B, where he developed particular expertise in developer platforms and B2B software.

Technical Review 159

Technical Review Venture Capital Outsourced Development ChatGPT 159

FastSpring

OCTOBER 25, 2023

Q4 sales numbers usually outperform the rest of the year thanks to year-end holidays and their associated shopping cycles — but how much does that trend carry over into software and SaaS sales? We’ve analyzed aggregate sales data to give you insights into just how important Q4 can be for your software, SaaS, or other digital goods business.

SaaS Payments 158

SaaS Payments Payment Solutions Software Review Merchant Services 158

SaaStr

MARCH 12, 2025

For high-consideration purchases, “long copy sells” – Despite our short attention span world, buyers of enterprise software will read your 12-page white paper and attend hour-long demos if they provide valuable information. The “five-five” CMO who excels at everything is a unicorn.

Sales Hiring 205

Sales Hiring Marketing Technical Review Underperforming Technical Team 205

Tom Tunguz

MARCH 18, 2019

To engineers, being on call means carrying a pager to respond to crises when software breaks or services go down. Let’s compare PagerDuty to other recent software IPOs for companies selling to engineers at their IPO. PagerDuty was founded in 2009 by 3 former Amazon engineers who were often on-call.

Metrics 222

Metrics Benchmarks Software Review Engineering 222

Tom Tunguz

NOVEMBER 14, 2022

Compared to querying PostGres, DuckDB is 80x faster & benchmarks against other systems show similarly impressive results. Third, DuckDB can be embedded in software. You can start working with Duck by adding a line of code to your data notebook - no permissions or credit card or account creation required. Second, DuckDB is fast.

Cloud 356

Cloud AWS Data Analysis Benchmarks 356

Clouded Judgement

DECEMBER 21, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. Subscribe now Is Software Rebounding? This is the first quarter we’ve heard that message, and a good leading indicator for the rest of the software buying universe. net retention and CAC payback).

Cloud 184

Cloud Software Benchmarks Retention 184

Unbounce

APRIL 15, 2021

That’s where industry benchmarks come in—and that’s why we’re thrilled to bring you a fresh (and free) Conversion Benchmark Report for 2021. Introducing the 2021 Conversion Benchmark Report. Or how your uncle’s cybersecurity software converts against your great aunt’s cloud accounting platform. Quite a family you have.).

Benchmarks 145

Benchmarks Artificial Intelligence Machine Learning AI Search 145

Tom Tunguz

DECEMBER 10, 2023

The future of LLM evaluations resembles software testing more than benchmarks. Real-world testing looks like this , asking LLMs to produce Dad jokes like this zinger : I’m reading a book about gravity & it’s impossible to put down.

Artificial Intelligence 287

Artificial Intelligence Machine Learning Benchmarks Software 287

Clouded Judgement

OCTOBER 3, 2024

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. It’s still rough out there selling software! I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. net retention and CAC payback).

Cloud 167

Cloud Software Benchmarks Retention 167

User Pilot

SEPTEMBER 2, 2024

Userpilot’s SaaS Product Metrics Benchmark Report has found that compared to other industries, healthcare SaaS companies perform lower across most of the 6 metrics we studied. Companies by industry analyzed in our Product Metrics Benchmark Report 2024. Companies by industry analyzed in our Product Metrics Benchmark Report 2024.

Healthcare 105

Healthcare Benchmarks Metrics Onboarding 105

Clouded Judgement

APRIL 11, 2024

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. Is Software Rebounding? I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. net retention and CAC payback).

Cloud 184

Cloud Software Azure AWS 184

FastSpring

APRIL 26, 2022

In part one, we cover benchmarks and common churn formulas. Part I: SaaS Churn Benchmarks Part II: 5 Proven Strategies for Reducing SaaS Churn Part III: Churn Definitions and Additional Resources. Part I: SaaS Churn Benchmarks. When we set churn benchmarks for SaaS companies, there’s so much to consider.

Benchmarks 147

Benchmarks Churn Payments SaaS Payments 147

Tom Tunguz

APRIL 14, 2020

The data is insightful both as a tool for benchmarking your own company and also to understand the mentality of sales leaders in this challenging time. Business travel, new hires, and new software purchases were the top categories of budget reductions. You can download the survey here.

Sales Hiring 334

Sales Hiring Sales Forecasting Travel 334

Buffer Resources

OCTOBER 2, 2024

Here’s a list of the seven best competitor analysis tools to help you get detailed data on your rivals, analyze trends they use, and get a wholesome picture of competitor performance — benchmarked against yours. No one wants yet another onboarding session to learn because the software is too complicated to learn on your own.

Social Media 115

Social Media AI Search Benchmarks Software Review 115

User Pilot

JULY 14, 2024

That’s one of the questions about user activation rates that we explore in our Product Metrics Benchmark Report 2024. Companies analyzed in the Product Metrics Benchmark Report by industry. The average activation rate across the companies we studied for our SaaS Product Metrics Benchmark Report was 37.5. Book the demo!

Benchmarks 105

Benchmarks Scale Onboarding Metrics 105

Clouded Judgement

JUNE 20, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. The question on everyone’s mind - when will we see software re-accelerate? We saw pockets of that this quarter (particularly in consumption based software), but for the most part Q1 was a really rough quarter.

Cloud 167

Cloud Software Benchmarks Scale 167

Clouded Judgement

APRIL 12, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. Less than half of the software universe is guiding above consensus, and the median guide has gone from ~2.5% This quarter more than half of cloud software businesses missed next quarters consensus.

Cloud 167

Cloud Software Benchmarks Retention 167

Clouded Judgement

SEPTEMBER 12, 2023

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. Not surprisingly, these benchmarks match up relatively well with the numbers public companies reported.

Cloud 176

Cloud Software Benchmarks Retention 176

Clouded Judgement

APRIL 4, 2024

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. We built Rubrik Security Cloud, or RSC, with Zero Trust design principles to secure data across enterprise, cloud, and software-as-a-service, or SaaS, applications.

Benchmarks 120

Benchmarks Data Cybersecurity Cloud 120

SaaStr

APRIL 30, 2021

A great benchmark for developer-centric mission-critical services. Top-tier for B2B enterprise software. We all have figured out now that top-tier NRR is the key to the winners in SaaS. Some best-of-breed examples: Snowflake’s NRR is 162%. UiPath’s NRR is 145%. Slack’s NRR is 125%.

SMB 325

SMB Benchmarks Enterprise B2B 325

User Pilot

JULY 21, 2024

These are the key questions we explore in the article based on our recent Product Metrics Benchmark Report 2024 which investigates company performance in 6 different metrics across 7+ industries. Companies analyzed in the SaaS Product Metrics Benchmark Report 2024 by industry. Check out our Product Metrics Benchmark Report 2024.

Benchmarks 105

Benchmarks Onboarding Healthcare Metrics 105

SaaStr

DECEMBER 14, 2023

HashiCorp __ Mary is a partner at Bessemer, where she primarily focuses on cloud software investments. She also developed Bessemer’s Cash Conversion Score and authors the annual Cloud 100 Benchmarks Reports. What’s an “exit” you’re particularly proud of?

Venture Capital 285

Venture Capital Benchmarks Cloud compliance 285

Tom Tunguz

OCTOBER 28, 2017

Starting in January, public software companies will report their financials using ASC 606. Normally, accounting changes are not that interesting, but ASC 606 will change several of the key attributes and benchmarks SaaS startups use. Today, all software revenue is recognized ratably over the contract period. in Q2 ($2.5M

Revenue 230

Revenue Benchmarks SaaS Finance 230

Tom Tunguz

SEPTEMBER 16, 2017

This is a very nuanced question, but benchmarks do provide some guidance for what is reasonable. The chart above shows the sales and marketing investment of publicly traded software companies at different revenue levels. How much should a SaaS startup invest in sales and marketing at different stages of the business?

Investment 274

Investment Startup Marketing Sales 274

SaaStr

SEPTEMBER 17, 2020

JFrog is the pioneer of Continuous Software Release Management, or CSRM. In other words, they got first-hand experience of the pains of software development. The initial goal was actually not to build a company; rather, it was just to solve the highly complex problems of managing software updates and delivery. JFrog offered 11.6

New CTO 285

New CTO CTO Benchmarks Consulting 285

Tom Tunguz

JULY 21, 2024

As software startups begin to sell agentic systems, the procurement process will change. Unlike classical software, where the application either meets the criteria (price, integration into other software, particular features) or doesn’t, agentic systems operate on a performance continuum.

Sales 212

Sales Artificial Intelligence Machine Learning Benchmarks 212

Tom Tunguz

AUGUST 26, 2023

On Friday, Klaviyo filed their S-1 - one of the first software companies to do so since the beginning of the economic downturn in late 2022. ” The PLG efficiency is tremendous both in cash & sales efficiency, which tops the charts of public software companies at 1.03 for the last 6 months. in gross profit next year.

Benchmarks 188

Benchmarks Venture Capital Marketing SMB 188

SaaStr

SEPTEMBER 20, 2023

Discover Bessemer Venture Partners’s annual State of the Cloud report, going through trends, benchmarks, and metrics that underpin the Cloud economy. The Macro Impact On Public Cloud Software Over The Past Year Cloud stocks dropped in 2022 in a severe market pullback event that Bessemer Venture Partners call The SaaSacre.

Cloud 309

Cloud Payments Software Review Payment Solutions 309

SaaStr

SEPTEMBER 23, 2022

To illustrate the turbulence, consider the following metrics: The BVP NASDAQ Emerging Cloud Index (the public benchmark of software performance) has contracted by more than 40%. Soon, however, cloud will grow beyond the enterprise software market, penetrating the broader tech market and the world’s GDP.

Cloud 307

Cloud Benchmarks Trends Business Model 307

Tom Tunguz

AUGUST 26, 2023

On Friday, Klayviyo filed their S-1 - one of the first software companies to do so since the beginning of the economic downturn in late 2022. ” The PLG efficiency is tremendous both in cash & sales efficiency, which tops the charts of public software companies at 1.03 for the last 6 months. in gross profit next year.

Benchmarks 184

Benchmarks Venture Capital Marketing SMB 184

ChurnZero

JUNE 24, 2022

In our webinar, 2022 SaaS retention benchmarks , SaaS Capital Manager Director Rob Belcher shares the results from their 11th annual B2B SaaS benchmarking survey. You can download the full report for net retention and gross retention benchmarks as well as retention metrics in relation to ACV, growth, size, and more.

Benchmarks 98

Benchmarks Retention Software Review Technical Review 98

SaaStr

MARCH 24, 2021

In his highly informative session, Tomasz Tunguz, the Managing Director at Redpoint Ventures, shares the essential benchmarks you need to track your company’s valuation and where to look to make improvements. Revenue Design: Valuing a Software Company. What goes into COGS for software companies? 2 Gross Margin. 2 Gross Margin.

Metrics 276

Metrics Banking Benchmarks Investment 276

FastSpring

SEPTEMBER 16, 2022

In our first post about our online community , we mentioned launching the Global SaaS Leaders Slack group because we saw a need for the kind of software-and-SaaS-focused community we’d want to be a part of. Our Guiding Principle: Our Software and SaaS Community Must Be Good for You in Order for It to Succeed. Professional moderation.

SaaS Payments 148

SaaS Payments Payment Solutions Merchant Services Software Review 148