Clouded Judgement

DECEMBER 23, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. Here are the four data points: Net New ARR: Net new ARR added in a quarter represents new customer ARR + expansion ARR - churn / contraction ARR. Subscribe now Share Clouded Judgement Leave a comment Follow along to stay up to date!

Cloud 130

Cloud Sales Hiring Trends Subscription 130

Clouded Judgement

JUNE 23, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Very interesting trend to monitor, and kudos to the Mongo team for sharing this level of detail Quarterly Metrics Trends We’re now through Q1 earnings season. Follow along to stay up to date! Moving to net retention.

Trends 130

Trends Cloud Retention Subscription 130

Clouded Judgement

JUNE 20, 2023

Q1 earnings season for cloud businesses is now behind us. Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g.,

Cloud 161

Cloud Software Benchmarks Scale 161

SaaStr

APRIL 28, 2022

And we religiously track the NRR of all public cloud and SaaS leaders in our 5 Interesting Learning series. It’s epic NRR that has fueled UiPath, Twilio, Snowflake, and so many other Cloud leaders. So don’t get me wrong — NRR is a Top 3 Metric for any SaaS company. High NRR is the key to the magic in SaaS.

Customer Success 213

Customer Success Metrics Scale Retention 213

Clouded Judgement

DECEMBER 20, 2022

Q3 earnings season for cloud businesses is now behind us. Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g.,

Cloud 130

Cloud Software Review Software Benchmarks 130

SaaStr

FEBRUARY 10, 2022

With each passing year, more and more of our online existence becomes tethered to the cloud. But how does the cloud take shape, and what can companies do to position themselves at the heart of its growing infrastructure? Infrastructure: Reloaded for the Cloud. Pro Tips for Modern Cloud Infrastructure.

Cloud 199

Cloud Venture Capital Social Media Technology 199

Sixteen Ventures

JULY 17, 2020

Is 5% a good monthly SaaS Churn Rate? Read on to learn the answer… As a consultant to SaaS and Cloud providers that are looking to grow, I get asked what an acceptable SaaS churn rate is all the time. ” In 2020 I just say, “let’s make churn a non-issue.” Monthly vs. Annual Churn Rates.

Churn 133

Churn SaaS B2C Pricing 133

OPEXEngine

MAY 18, 2021

According to Bessemer ’s State of the Cloud 2021 as of this January, there were a total of 527 private unicorns (a unicorn is a private company with a valuation over $1B), with a total cumulative value of more than $1.9 The following 4 metrics are critical to the valuation of a private SaaS business. trillion dollars.

SaaS Payments 98

SaaS Payments Metrics Payments Payment Services 98

Kellblog

MAY 16, 2020

It’s quite a line-up: A Brief History of SaaS with Phil Wainewright , co-founder of Diginomica and recognized authority on cloud computing. Key SaaS Metrics with me. His goal was to do an interview that effectively functioned as a “SaaS Metrics 101” class and I think he succeeded. Renewal and churn rates.

Metrics 96

Metrics SaaS Technical Review Interviewing 96

SaaStr

JULY 5, 2023

So some SaaS and Cloud leaders have seen big impacts from the post-Covid hangover, but others have just kept accelerating. That’s about as good as it gets in SaaS and Cloud! Are we near or past the lows in SaaS and Cloud buying patterns? But those accounts grow dramatically over time, and don’t really churn.

Scale 186

Scale cloud efficiency Cloud Business Model 186

SaaStr

JANUARY 20, 2022

You get a complete overview of your global subscriber base; MRR, ARPU, ASP, churn and LTV are presented in a beautiful and easy to use dashboard. Our mission is to build powerful and secure cloud software for subscription businesses of all sizes, with a strong emphasis on good design and ease of use.

DevOps as a Service 217

DevOps as a Service AI Search Cloud compliance 217

OPEXEngine

NOVEMBER 8, 2022

Usually, customer churn rate is every SaaS company’s worst enemy. But in this article, we’re going to show you how to not only deal with churn effectively but also how you can use your customer churn data as a valuable tool to build your business. Voluntary churn vs. involuntary churn: What’s the difference?

SaaS Payments 52

SaaS Payments Finance Churn Payment Services 52

OPEXEngine

NOVEMBER 8, 2022

Usually, customer churn rate is every SaaS company’s worst enemy. But in this article, we’re going to show you how to not only deal with churn effectively but also how you can use your customer churn data as a valuable tool to build your business. Voluntary churn vs. involuntary churn: What’s the difference?

SaaS Payments 52

SaaS Payments Finance Churn Payment Services 52

The Angel VC

APRIL 24, 2015

When I talk to SaaS startups and take a look at their metrics, it still happens quite often that some of the numbers aren’t quite clear to me and it takes some time to clarify things. That said, I believe most SaaS companies can focus on a small number of revenue metrics which aren’t overly complicated. Probably just out of habit.

Payments 193

Payments SaaS Payments Metrics Revenue 193

SaaStr

MARCH 31, 2021

UiPath is one of the most amazing not-really-an-overnight success stories in Cloud, SaaS and software. It was founded way back in 2005 as an outsourcing company, then developed Windows software to automate scripts and more, and turned this into a powerhouse for automating complex functions integrating Cloud and on-prem. ” #5.

Outsourcing Services 361

Outsourcing Services Outsourced Development Payment Features Cloud 361

SaaStr

MARCH 13, 2021

running across multiple clouds. The size and power of the Cloud is just awesome these days. Breathtaking acceleration of MongoDB downloads — a good proxy for acceleration in the Cloud overall. Multi-cloud is one of their top accelerants. Multi-cloud is one of their top accelerants. Mongo shows very.

Scale 300

Scale Outsourced Development Cloud Scaling 300

SaaStr

MAY 19, 2023

It’s a time when SaaS and Cloud spend are also at record highs , and many Cloud leaders are still growing at strong rates … yet many startups have stopped growing at all. Don’t use “quarterly MRR”or other weird metrics. So 2023 is a unique time in venture fundraising. And really worst of all is multiples. Not so much today.

New CTO 251

New CTO CTO Banking Cloud 251

Chart Mogul

JANUARY 20, 2022

Configure Amazon S3, Google Cloud Storage, or Azure Blob Storage as a destination in ChartMogul and export your activities for further analysis. You can export your MRR movements as a CSV , and for a programmatic approach, using the Metrics API. Export activities to predict churn and generate forecasts.

Azure 52

Azure Cloud Forecasting Churn 52

SaaStr

OCTOBER 31, 2019

Bessemer Venture Partners’ Alex Ferrara takes a look at trends and predictions for the cloud industry in 2019. One of the most popular sessions from SaaStr Annual, this presentation will provides an in-depth look at the cloud computing industry across Europe and globally. Want to see more content like this? A few more.

Cloud 100

Cloud Scale AWS Machine Learning 100

Full Session

DECEMBER 4, 2022

For this reason, companies must conduct a customer churn analysis and keep a finger on their churn rate – a statistic that shows the percentage of customers who stopped making purchases from a company. To conduct customer churn analysis, you need specialized tools that help you collect user behavior data. What is customer churn?

Churn 52

Churn Payment Services Payments SaaS Payments 52

SaaStr

JUNE 5, 2020

I argue that standard saas metrics make it possible for founders to scale using debt capital (production capital thats cheaper) instead of solely relying on venture capital (financial capital thats more expensive). . As SaaS Metrics Become Standardized, Banks Want In On The Action. Things started changing in 2011.

Venture Capital 219

Venture Capital Technical Review SaaS Scale 219

SaaStr

DECEMBER 14, 2020

Ask your existing investors if you really have the metrics to raise right now. If your net churn is negative, you have a superpower. Yes, these are the Best of Times in Cloud. With the Cloud being bigger than ever, the leaders in SaaS are growing faster than ever. If you fall out of hyper-growth mode, still go long.

SaaS 342

SaaS Acquisition Cloud Finance 342

Chaotic Flow

APRIL 8, 2014

While SaaS financial metrics , such as recurring revenue, acquisition cost, service cost, churn, growth and lifetime value have dramatically increased our understanding of the economics of SaaS businesses, they have proven inadequate for managing them. As useful as they may be, SaaS financial metrics look at the past, not the future.

Metrics 127

Metrics SaaS Business Customer Success 127

CloudGeometry

MARCH 3, 2022

Cost to serve a customer-facing feature is money that comes out of your pocket, and goes straight into the cloud provider’s pocket. When you want to procure more cloud resources faster, cloud providers make it easiest to buy speed, whether or not that pays off for you in the long run. This is known as a unit metric.

Well Architected Framework 130

Well Architected Framework VPCs (Virtual Private Cloud) SaaS Cloud 130

Kellblog

JUNE 10, 2021

Problems with historical installed-base valuation metrics such as churn, customer lifetime (CLT), and lifetime value (LTV), building on my SaaStr 2020 presentation, Churn is Dead, Long Live NDR. The rise of NDR as the SaaS metric of choice. Exception: public company NDR median is 111%.).

Benchmarks 109

Benchmarks Retention Subscription Payment Features 109

Baremetrics

APRIL 6, 2021

ProfitWell is a cloud-based app that generates real-time financial and subscription metrics for data-driven SaaS enterprises. It generates real-time subscription metrics from a custom dashboard for greater precision and performance. This platform drives explosive subscriber growth with an enormous suite of SaaS metrics.

SaaS Payments 93

SaaS Payments Payment Services Payments Payment Solutions 93

SaaStr

DECEMBER 14, 2020

More on that here: Two SaaS Metrics That Actually Don’t Matter That Much: Absolute Churn and Sales Cycles. Do all the “enterprise stuff”, from SOC-2 to HIPPA to DR Policies to Hybrid Cloud to 100% Uptime and more. Certainly, you can’t as a new-ish start-up. Be zealous about shortening sales cycles. A lot more.

Scale 291

Scale Sales Hiring Underperforming Technical Team Point of Sale 291

SaaStr

OCTOBER 29, 2020

Ok so what are the top 5 learnings here for SaaS and Cloud founders? Zendesk’s churn is still a bit higher than pre-Covid, but is almost back to pre-Covid levels. So if you sell to SMBs, or a mix of SMBs and enterprise like Zendesk does (with 160,000 total customers), well … enough with the excuses on churn.

SMB 237

SMB Enterprise Churn Retention 237

SaaStr

AUGUST 9, 2019

Eyal and Megan host a fireside chat between Google Cloud and Zenoss, a leader in software-defined IT operations. I thought CRM, in the cloud, et cetera, was never going to be anything. Do you not think that actually we’ve just transferred to cloud lock-in versus on-prem lock-in? So what do I know right? vendors right?

SaaS Payments 130

SaaS Payments Cloud Technical Review Scale 130

SaaStr

MARCH 31, 2019

While companies that are about to go public get a lot of metrics analysis, we can perhaps learn even more interesting things from the quarterly reports and check-ins from various public SaaS companies after they’ve IPO’d. The space Ring Central plays in is huge, but has been surprisingly slow to move to the Cloud.

Systems Review 205

Systems Review SMB Cloud Enterprise 205

SaaStr

JANUARY 17, 2023

This is usually an executive who cares about capital cost savings, reduction in cloud spend, velocity increases, etc., Buyers want KPIs and keywords typically quantified in pain, metrics, and value. Landing and expanding with a user requires a bottoms-up, product-led approach. . and requires a top-down, sales-led approach. .

Startup 227

Startup Sales Sales Funnel Education 227

Subscription Flow

FEBRUARY 27, 2024

Useful Revenue Evaluation: Subscription billing systems give companies insightful information about revenue trends, allowing them to examine growth trends, churn rates, and subscription data to make wise decisions. Businesses increase customer loyalty and lower churn rates by consistently providing value to their customers.

SaaS Payments 78

SaaS Payments Payment Services Payments Payment Solutions 78

Chart Mogul

DECEMBER 20, 2022

With our new destinations, you can send your clean and tidy revenue data to be combined with other data points in: Amazon S3, Google Cloud, Microsoft Azure , Snowflake, Amazon Redshift, or Google BigQuery. But that’s just cloud storage and data warehouse destinations! . Cloud storage and data warehouses. Try it out. .

Systems Review 52

Systems Review Payments Payment Solutions Azure 52

Blulogix

FEBRUARY 20, 2024

From data analytics and AI to blockchain and cloud computing, technological advancements offer businesses unprecedented opportunities to optimize their revenue models and deliver superior customer experiences. Data Analytics and AI: Analytics and artificial intelligence are at the heart of understanding customer behavior and preferences.

Payments 52

Payments Payment Services Artificial Intelligence Technology 52

Blulogix

JANUARY 5, 2024

Importance: Recurring revenue is a key financial metric for subscription businesses. Example: Adobe generates recurring revenue through its subscription-based Adobe Creative Cloud service. Importance: A high churn rate can erode your recurring revenue quickly.

Subscription 52

Subscription Payment Features Payment Services Payments 52

Teamgate

OCTOBER 10, 2019

Reducing sales churn is the holy grail of every sales director. . The more customers you lose – churn – the less likely it is that your company is going to grow significantly any time soon. If your business is churning customers more frequently than you would expect, you need to find out why, and fast.

Churn 40

Churn Sales Software Review Sales Funnel 40

Stax

FEBRUARY 28, 2024

This convenience reduces the chances of churn and promotes long-term customer retention. You can track key metrics in real time, allowing you to make up-to-date, data-driven decisions. This means you need a SaaS billing platform capable of tracking a range of important metrics, including: Monthly Recurring Revenue (MRR).

Payments 88

Payments SaaS Payments Payment Services Merchant Services 88