SaaStr

JANUARY 24, 2024

Mark Roberge , SaaStr fan-favorite and Co-Founder and Managing Director of Stage 2 Capital brought together some of the top CROs in SaaS during the SaaStr Annual to share some of their greatest learnings and pivotal moments leading some of the Cloud 100 SaaS companies. How do you diagnose and solve churn? Often, they do.

Scale 238

Scale Sales Hiring Scaling Revenue 238

SaaStr

OCTOBER 2, 2022

State of the Cloud 2022: The Centaur Report With Bessemer Venture Partners (Pod 593 + Video). The Challenge with SMB SaaS: High Growth Can Only Mask High Churn For Just So Long (Updated). The post Top SaaStr Content for the Week: Y Combinator, Mark Roberge, State of the Cloud 2022 and lots more! I Mean, It’s Crazy.

Cloud 264

Cloud Scale SMB B2B 264

Clouded Judgement

SEPTEMBER 12, 2023

Q2 earnings season for cloud businesses is now behind us. Extra pressures around optimizations still exist, however gross churn levels have stabilized, and commentary on earnings calls suggest conversations around new bookings are starting to pick up. We will see this show up in revenue figures in a quarter or two.

Cloud 169

Cloud Software Benchmarks Retention 169

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. The below chart shows the change in 2023 consensus revenue estimates pre / post earnings.

Cloud 130

Cloud Sales Hiring Trends Subscription 130

Clouded Judgement

APRIL 12, 2023

Q4 earnings season for cloud businesses is now behind us. Beating consensus revenue estimates is the first aspect of a successful quarter. As you can see from the data below most cloud businesses beat the consensus estimates for Q4. This quarter more than half of cloud software businesses missed next quarters consensus.

Cloud 161

Cloud Software Benchmarks Retention 161

Clouded Judgement

JUNE 23, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. The broader commentary suggests gross churn hasn’t dropped off that much, but expansion revenue has really fallen. Revenue multiples are a shorthand valuation framework. 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. Beating consensus revenue estimates is the first aspect of a successful quarter. As you can see from the data below most cloud businesses beat the consensus estimates for Q1. The formula to calculate this is: (Q1 ’23 revenue) / (Q1 ’22 revenue) - 1.

Cloud 161

Cloud Software Benchmarks Scale 161

Clouded Judgement

DECEMBER 20, 2022

Q3 earnings season for cloud businesses is now behind us. Beating consensus revenue estimates is the first aspect of a successful quarter. As you can see from the data below most cloud businesses beat the consensus estimates for Q3. This quarter more than half of cloud software businesses missed next quarters consensus.

Cloud 130

Cloud Software Review Software Benchmarks 130

SaaStr

DECEMBER 27, 2023

So is it possible to be too efficient in SaaS and Cloud? Digital Ocean is only growing 16% now at $700m ARR, and churn is up and NRR down. But it’s raining cash, and earnings per share is growing 22% — faster than revenue. Churn Stable. Even small cloud customers worked to bring down their spend in 2023. #5.

Scale 238

Scale AWS Azure Cloud 238

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

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 207

Cloud Venture Capital Social Media Technology 207

SaaStr

FEBRUARY 20, 2023

With 100+ public Cloud companies, it’s now a bit clearer that at least after a certain point in time, SaaS vendors have a lot of stability. If they require your revenues, just share them. Second, few SaaS companies past $20m in ARR with negative churn seem to fail. The revenue recurs, after all.

Innovation 310

Innovation Churn Cloud Branding 310

Intercom, Inc.

AUGUST 12, 2021

He’s been the Chief Revenue Officer and Chief Strategy Officer at Dialpad, the cloud communication platform, since the spring of 2018, but his fascination for conversations and natural language processing came even sooner. Push support to drive revenue. Dialpad is a cloud communication and collaboration platform.

Revenue 223

Revenue Scale AI Search Customer Support 223

SaaStr

FEBRUARY 27, 2021

This trend has been true for a while, and now both its Service Cloud and its Platform group are bigger and faster growing than the classic CRM product we all know and use. It’s super interesting that today, Salesforce is more of a Service Cloud than a Sales Cloud. Churn Still a Bit Elevated Since Covid.

Deferred Revenue 297

Deferred Revenue Cloud Churn Scale 297

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. seed round.

Outsourcing Services 362

Outsourcing Services Outsourced Development Payment Features Cloud 362

Baremetrics

AUGUST 18, 2021

Overview Baremetrics Application of Baremetrics on Net Revenue and Operating Income Dashboards and metrics Forecasts Benefits of using Baremetrics Why Do You Need Baremetrics? Overview In general conversation, the terms revenue and income are interchangeable. Table of Contents. Conclusion. It is a SaaS analytics platform.

Payment Services 90

Payment Services Payments Revenue SaaS Payments 90

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? New workloads, new uses of Mongo are actually just a small percent of revenue.

Scale 194

Scale cloud efficiency Cloud Business Model 194

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. to unlock growth.

DevOps as a Service 224

DevOps as a Service AI Search Cloud compliance 224

SaaStr

JANUARY 2, 2021

Again, the latest crop of Cloud IPOs shows SMBs seem to have no limit in terms of TAM, with SMB growth at Shopify and Zendesk keeping up with enterprise, and even at Asana, SMB growth is still impressive at $250m ARR. Yes, bigger customers are becoming a larger chunk of Asana’s revenue. Agile is important in competitive spaces.

SMB 351

SMB Enterprise Cloud Churn 351

Blulogix

JANUARY 6, 2024

Unlocking Revenue Potential with a Robust Subscription Billing Platform By BluLogix Team Welcome to the fifth installment of our series on selecting the right subscription billing platform for your business. Today, we’re focusing on the critical role a robust subscription billing platform plays in unlocking your revenue potential.

Payments 52

Payments Subscription Payment Features SaaS Payments 52

SaaStr

NOVEMBER 3, 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.

Payments 234

Payments Payment Services GCP(Google Cloud Platform) Payment Solutions 234

SaaStr

DECEMBER 27, 2020

New Relic is one of my favorite Cloud stories. Times have changed, the Cloud has gotten a lot bigger, and there are many more vendors, including the red-hot DataDog, to grab mindshare. Do whatever you can to drive up NRR / net negative churn. New consumption pricing model has increased revenue 15% where rolled out.

Scale 310

Scale Outsourced Development SMB Cloud 310

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

SaaStr

MARCH 1, 2022

Atlassian has gone almost 100% Cloud since then, and has held up nicely in the overall public markets even as others have taken bigger hits. 30% New Customer Growth Fueling 37% Revenue Growth. Cloud product pricing went up 5% a year last year, and legacy server products went up much more. Transition to Cloud takes time at scale.

Scale 307

Scale Marketplace as a Service Headcount Cloud 307

SaaStr

MARCH 22, 2023

So few Cloud software companies have had a more interesting history than UiPath. Billion in ARR, and most importantly, 30% growth its recurring revenue business — and now, 22% non-GAAP operating margins. While UiPath hasn’t yet hit the 20%+ that Wall Street wants for Cloud companies at scale, importantly, it’s on the way.

Scale 250

Scale Cloud Scaling Churn 250

SaaStr

MARCH 13, 2021

running across multiple clouds. The size and power of the Cloud is just awesome these days. The top ~100 of its 25,000 customers make up perhaps 15% of their total revenue base, and that’s growing fast. Breathtaking acceleration of MongoDB downloads — a good proxy for acceleration in the Cloud overall.

Scale 307

Scale Outsourced Development Cloud Scaling 307

SaaStr

SEPTEMBER 3, 2023

Recurring software revenue is now recognized as a great way to generate tons of cash for investors,” says Gerety. Do public markets understand recurring revenue and SaaS models?” Fast forward, and Box is over $1B in revenue. Almost all Cloud and SaaS leaders have become profitable. But that wasn’t always the case.

Sales Hiring 239

Sales Hiring Headcount Finance Technical Review 239

Baremetrics

MAY 16, 2021

Revenue forecasting software is used to create predictions of sales. All the data your startup needs Get deep insights into your company's MRR, churn and other vital metrics for your SaaS business. 1 Why Use Revenue Forecasting Software? Why Use Revenue Forecasting Software? Why Use Revenue Forecasting Software?

Payments 80

Payments Forecasting Payment Solutions SaaS Payments 80

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. What public (and private) SaaS companies are valued at as a multiple of revenue. Don’t count deals that haven’t closed as revenue. Not so much today.

New CTO 259

New CTO CTO Banking Cloud 259

SaaStr

JULY 6, 2022

At a $6 Billion revenue run ($4.5B in SaaS revenue), it’s growing an impressive 22% with fairly epic operating cash flows of 30% (more on that below). #1. 9,500 customers at $6B in ARR, so about $600,000 ACV per customer. GRR is revenue retention from existing accounts, including churn but excluding any account expansion.

B2C 259

B2C Scaling Finance Enterprise 259

SaaStr

OCTOBER 13, 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.

GCP(Google Cloud Platform) 202

GCP(Google Cloud Platform) Azure AWS Enterprise readiness 202

The Angel VC

APRIL 24, 2015

I’m not referring to sophisticated reports or analyses but to the much more mundane question of what exactly people mean when they use a term like “revenues”. That said, I believe most SaaS companies can focus on a small number of revenue metrics which aren’t overly complicated. Say you’ve acquired two new customers.

Payments 193

Payments SaaS Payments Metrics Revenue 193

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. ChartMogul is only one part of a larger ecosystem of tools an organization with recurring revenue uses. Export activities to predict churn and generate forecasts.

Azure 52

Azure Cloud Forecasting Churn 52

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

SEPTEMBER 29, 2022

Almost everything is going well in SaaS and Cloud these days — except multiples. Together, it means they only spend 38% of revenue on Sales & Marketing. Consistent growth, insanely high GRR, almost no churn, and deal sizes going up. Yet, the markets are down for eveyone, and Jfrog is only worth $2.2

Scale 242

Scale SMB Software Development Cloud 242

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. And expansion revenue is higher than pre-Covid. It’s OK for churn to still be a bit elevated, but you should be on the path to normalcy.

SMB 239

SMB Enterprise Churn Retention 239