Sequencing Business Models: The Types of Marketplaces

Casey Accidental

This is part two of a three part series on sequencing business models. Casey’s first sequencing business models essay talked about the transition from a SaaS business model to marketplace business model, and why it’s so difficult.

Understanding the SaaS business model


The SaaS business model powering all of this activity is startlingly unique, still young, and inextricably tied to the power of cloud computing. SaaS, or software as a service, is a delivery model in which a centrally hosted software is licensed to customers via a subscription plan.


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Sequencing Business Models: The Types of Marketplaces

Casey Accidental

This is part two of a three part series on sequencing business models. Casey’s first sequencing business models essay talked about the transition from a SaaS business model to marketplace business model, and why it’s so difficult.

Essentials of a SaaS Business Model


The main difference between traditional businesses and SaaS businesses: the cost of growth. In the traditional world of software, companies like Oracle or SAP base their business on the marketing of licenses for their solutions. The SaaS Business Model.

How to Package and Price Embedded Analytics

struggle to integrate analytics into their products, business models, and pricing strategies in a way that meets a range of user. With this approach, you turn features off and on through visibility controls, conditional logic, and your application’s security model.

Sequencing Business Models: So You Want To Be A Platform?

Casey Accidental

This is part three of a three part series on sequencing business models. In part two of our Sequencing Business Models series , we talked about the different types of marketplaces and what needs to be built to be effective in each of them.

How pricing strategy helps shape your entire business model

Inside Intercom

The SaaS industry is constantly evolving, and for many companies in the space, that means having to evolve their business model. However, that doesn’t necessarily mean a “pivot”, but more often the evolution is a shifting business model as the company scales and the user base grows and changes. No matter the specifics of how your company adapts and grows, it’s crucial to be aware of how your pricing strategy relates to other aspects of your business.

How to Translate Freemium To Any Business Model

OpenView Labs

Freemium , a combination of “free” and “premium” is a business model used widely by software companies to promote product led growth. If that seems dubious to you, think again; countless companies, including DropBox, Hulu, LinkedIn and MailChimp, have seen major success with this model. How to Translate Freemium Into Any Business Model. Will a freemium model be cost-efficient for your business?

Sequencing Business Models: Can That SAAS Business Turn Into a Marketplace?

Casey Accidental

Founders have started reaching out asking for help converting their SAAS or SAAS-like business into a marketplace. I’ve helped their business, but they’re asking for help driving more customers. Now, this story itself explains why many businesses fail to make the conversion to marketplace. What Types of Businesses Are We Talking About? Developer platform: a business where developers can build businesses on top of the business’s software and charge customers.

Why the SaaS Business Model Is Going to Dominate the B2B Tech World


The B2B Tech world is booming with SaaS business models. What Is the SaaS Business Model? The SaaS business model is basically a subscription-based service. Benefits of SaaS Business Model. Stages of a SaaS Business.

A sneak peek into Point Nine's investment thesis

The Angel VC

Over the last couple of weeks and months we spent some time putting our investment thesis on paper. The purpose of this exercise was to challenge and discuss our implicit assumptions and to get everyone on our team aligned on what kind of investments we seek. One of the things that being very clear about our investment focus helps with is getting to “no” faster. We will continue to focus on two business models: SaaS and marketplaces SaaS We use a broad definition of SaaS.

If You Had $10k to Invest, Which Stock Would You Buy?

Tomasz Tunguz

If I gave you $10,000 to invest in one company today among the following four software businesses, which would you pick? The first company is a $100m ARR business growing at 100%, trading at 50x ARR, a $5b enterprise value. Which investment will generate the greatest return? So who are these businesses? Venture investing clocked more than $329b invested last year , up 10x since 2010.

What is the subscription revenue model? | ProfitWell


The subscription revenue model is hardly new. It’s simple: the subscription revenue model benefits both customers and companies. Customers enjoy the convenience of auto-renewals and having access to a high-value offer for a low ongoing investment. It’s no wonder more and more companies are shifting to a subscription business model. What is the subscription revenue model? What kinds of businesses use a subscription revenue model?

SaaS vs PaaS vs IaaS: How the 3 cloud service models differ | ProfitWell


The three major cloud service models are SaaS, PaaS, and IaaS. Many business owners do not know the difference between these offerings and are therefore unaware of which option is best for their company. Cloud service models in 2020. Which service is best for your business?

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Seed Investing Today: What’s Changed, What Hasn’t with Aileen Lee and Jason Lemkin (Video + Transcript)


What Nobody Tells You About Seed Investing with SaaStr CEO Jason Lemkin and Cowboy Ventures Founder and Partner Aileen Lee. I think it gives us a perspective that maybe we don’t get in some other places, in addition to many great investments over the years.

How B2B SaaS Companies Can Gain Real Competitive Advantage through Customer Success


In B2B SaaS or any other business per se, the competitive advantage is an attribute that allows a company to outperform its competitors. It can come from any part of the business. However, customer success is proving out to be one of the main for the B2B SaaS business model.

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Customer Retention: The Foundation of the Subscription Economy


People shifted from the product-focused traditional model to the customer-focused subscription model. The recent SEI data reveals that the revenues of subscription businesses grew five times faster than the revenues of the S&P 500 companies. .

Why a Successful Subscription Business Demands a Clear Customer Engagement Model


There was a time when product based companies used to depend only on fresh sales to grow their business which was decided by the number of customers they acquired. The Saas customer engagement model has opened new avenues for business growth and sustainability for the companies.

Move Over Subscriptions. The Future Is Elastic And Built Around Relationships.


Over the last decade, recurring revenue has emerged as the preferred model for businesses moving beyond transactional commerce. pricing or the traditional “Good, Better, Best” plans—many businesses have found static subscription offers don’t always align with customers’ needs and limit growth potential. Businesses with subscription offers must find new ways to differentiate themselves from competitors by shifting the focus from the subscription to the customer relationship.

Why Every SaaS Company Should Invest in Customer Success


Churn is a major problem for businesses in the SaaS industry. Although it existed in earlier businesses too, the scale at which it occurred was within an acceptable limit. But now it has gone way beyond up to an extent of affecting the business sustainability.

How B2B Subscription-Based IoT Businesses Are Changing The World


At its most basic definition, Internet of Things is “a network of internet-connected objects able to collect and exchange data,” according to Business Insider. A McKinsey Quarterly article points out, “while the consumer’s adoption of fitness bands and connected household appliances might generate more media buzz, the potential for business usage is much greater.”. Why IoT + Subscription Business Models = Success. Benefits Of IoT Subscription Businesses.

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4 Reasons to Make Your Business Online A Subscription Model


Reimagining the way we conduct business seems to be the tagline of the year 2020. The only difference being, now businesses have been forced to put them in practice, and fast. So, now more than ever you need to consider converting your business online into a subscription model.

What animals are WE hunting?

The Angel VC

We can make around 30-40 investments with our fund, so statistically the chances of hitting a unicorn are very low. That doesn’t mean that we’re not trying hard to beat the odds – and if you don’t believe that you can beat the odds you should never become a founder or a VC in the first place – but it means that our business model is not dependent on having a unicorn in every fund that we raise. investing unicorns venture capital

Enterprise SaaS Spending Statistics and Trends for 2019


Software as a service, also known as SaaS, is a highly cost-effective software solution that offers a lot of agility for businesses. More companies are increasingly adopting SaaS solutions as they realize what a reliable option it can be for numerous business models and industries. In 2018, SaaS companies reported having over 9 competitors on average, which makes companies invest even more money into paid channels to get more leads.

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Saying "no"

The Angel VC

Every day you meet great new people, cool products, exciting technologies and interesting new business models. Nothing (in business life) is more exciting than seeing a company grow from two-guys-in-a-garage stage to become a relevant or maybe even dominant player in a large industry sector, and as an early-stage investor you have a realistic chance to be part of some of these success stories. If you make a couple of investments per year, that’s a lot of “no”s.

How To Innovate Faster with Community: Insights From Co-creating Product with Community with GitLab CEO Sid Sijbrandij (Podcast 512 and Video)


Sid Sijbrandij, CEO of GitLab, discusses GitLab’s journey as an open core SaaS business, balancing high revenue potential and community contributions, and delivering safer software faster by collaborating with the wider community. At GitLab, we run on an open core business model.

Why VCs Need Unicorns Just to Survive


Because the (maybe semi-sad) thing for VCs is, only Unicorns make the business model work : Say you have a $200m VC fund (not that large, but basically our current fund, as an example). You get to make about 30 or so investments from that fund.

5 Rules to Win When Competition is Everywhere With Atlassian COO Anu Bharadwaj and Boast.AI Co-Founder Lloyed Lobo


It’s critical for a business to adapt when the situation calls for it, especially in response to new customer preferences, evolving technology, cultural movements, etc. Investing in a Product-Led Model. Invest heavily in R&D for the most successful product-led growth.

10 Things That Tell a VC You May Not Be Ready for “Prime Time”


You change / make up a new valuation based on how much the VC wants to invest. Don’t change the price, at least not explicitly, based on a VC saying they’d invest $Xm or $Xk. “Oh Oh if you want to invest $2m, then the price is $20m.

How to venture into product-led growth and scale successfully


The unique model that the Boston-based VC firm has is to provide strong support to companies post their investment to help them refine business models, pricing, marketing so they can ultimately scale. The guest on the latest episode of the SaaS Revolution Show is Ashley Murphy, Director of Growth at OpenView Ventures. She shares insights about the benefits of product-led growth and how to go about implementing it in your company.

What’s Your Magic Number for Sales and Marketing Efficiency?


Like the benchmarking of any key metric, you will drive operational efficiency and better use of your resources, when you see the variance between your company and your peers at the same stage and with a similar business model.

Your #1 Sales Rep Should Be Driving an M8 Convertible By Month 12. (And Not Buying a Panerai Watch.)


Or for companies that are investing huge amounts in sales & marketing after raising $30m, $50m, $100m+ But they probably won’t work for you until you are Bigger. And buy an M8 Convertible or Model S Performance.

The Secrets Behind Creating Scalable Products with Box’s CEO, Aaron Levie


Aaron Levie, CEO and Co-founder of Box, discusses the approaches he used for scaling his company in terms of hybrid work, adjusting to a dynamic economy during the pandemic, and the importance of the Cloud and digital technology for every business.

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The Future of AI, Open Source, and Enterprise SaaS: Where It’s All Going with Databricks’ CEO, Ali Ghodsi (Podcast #505 and Video)


Databricks’ CEO, Ali Ghodsi, shares why Open Source is becoming a multi-billion investment, why it’s taking over multiple industries, and why it’s here to stay. Community is vital to the success of Open Source businesses. Innovation happens more easily on Open Source in a SaaS model.

AI 201

Recession Planning & Maintaining Growth


They maintained spending on Sales and Marketing, and investing in R&D. usually means a company does not have a sustainable growth model and needs better growth and marketing efficiency. These companies also invested early and continually in reporting and analysis of their metrics.

We?re About To See a Lot More SaaS Debt


Salesforce’s IPO is also seen as a test of a new business model that could shake up the software industry. The company is the poster child for subscription-based software, a model that’s gaining popularity among corporate buyers.

SaaStr Podcast 450: A Guide for Hiring Your First CRO with Skilljar


If you’re a company that has a 100% sales-driven business model, it makes sense to hire a big-deal revenue person. Just note, you’ll need a strong balance sheet and stable investments — it takes money to make money.