SaaStr

DECEMBER 14, 2020

“Churn” is a term we all use in SaaS as a core metric, but its roots, as near as I remember and can tell, come from our B2C colleagues. Folks churn out of their Verizon plan, their Netflix subscription, etc. And sometimes they’ll churn even just for a modestly better deal. the dynamics are similar.

Churn 362

Churn Sales Hiring Systems Review B2C 362

SaaStr

APRIL 26, 2021

A curious thing happened on the way to SaaS in 2021+. Everyone seemingly became an expert in churn. Your churn rate should be 0.123909% per month. Churn is not a GAAP metric. In fact, Christoph Janz had a great post a ways back noting how even public companies define churn differently. It should be net negative.

Churn 261

Churn Retention Metrics B2B 261

SaaStr

APRIL 30, 2022

So the first question is what made SaaS so successful. If you kind of that question, thinking about the stakeholders and the decisions and companies of using SaaS products, there’s kind of three types. Customers love SaaS products and tools because it simply works. Why do developers love SaaS products? Why is that?

SaaS Payments 236

SaaS Payments Metrics Payment Methods Scale 236

User Pilot

NOVEMBER 28, 2022

Churn is the enemy of product growth. A churned user means lost future revenue and a waste of the resources it took to acquire them. How do you lower your churn rate and make sure all your users stick around? In this article, we’ll show you: What customer churn is and why it matters. Let’s get started.

Churn 88

Churn Software Review SaaS User Experience 88

User Pilot

JANUARY 16, 2023

Are you searching the market to find the best churn management software for your SaaS company? Read on to learn how each tool can help you retain customers , the pros and cons for each, as well as pricing information. Baremetrics for churn analysis. Churnzero to track revenue churn and data points. Segmentation.

Software Review 103

Software Review Churn Retention Software 103

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.” And that’s okay.

Churn 133

Churn SaaS B2C Pricing 133

User Pilot

MAY 21, 2024

What is churn ? Simply put, churn measures how many customers businesses are losing over time — a central concern for companies dependent on customer retention , like those in the SaaS industry. Customer churn in SaaS is the rate at which customers stop using a service within a set timeframe.

Churn 52

Churn Retention Software Review Metrics 52

FastSpring

APRIL 26, 2022

Last week, I canceled an annual SaaS subscription (I had three weeks left until renewal). In the language of SaaS, I churned. And the experience got me thinking: Was immediate removal of paid features the best chance to keep me from churning? When did I officially count as “churned”? Part I: SaaS Churn Benchmarks.

Benchmarks 141

Benchmarks Churn Payments SaaS Payments 141

Baremetrics

AUGUST 8, 2021

For most SaaS businesses, customer acquisition is one of the most challenging stages of growth. For most, the easiest ways to increase customer acquisition rates are to offer a freemium model or price your product on the lower end of the spectrum. However, to keep your business afloat, you’ll need to effect a SaaS price increase.

Pricing 111

Pricing SaaS Scale Churn 111

FastSpring

JANUARY 25, 2022

“Acquisition, conversion, and churn often require major cross-functional efforts to improve. Pricing typically requires replacing a small number with a bigger one.” At Accel-KKR, I was responsible for drafting ‘Value Creation Plans’ for many of our growth-stage SaaS portfolio companies. What if we raised prices 20%?

Pricing 140

Pricing SaaS Technical Review Software Review 140

SaaStr

AUGUST 16, 2021

We put out a call on Twitter the other day for folks’ best tips on what has really lowered churn for them this year. “1/ Divide your churn into manageable and unmanageable areas 2/ Strip out definable areas of churn reason (e.g. Are you segmenting churn? High usage can still mask churn.

Churn 312

Churn Sales Hiring Headcount Technical Review 312

Chart Mogul

JULY 6, 2023

Churn, SaaS companies should avoid it like the plague. But is the term churn always bad? Say hello to negative churn, churn’s much more friendly sister metric. You won’t avoid negative churn, in fact, you should do everything in your power to achieve it. But is the term churn always bad?

Benchmarks 52

Benchmarks Churn SaaS Customer Lifetime Value 52

SaaStr

NOVEMBER 8, 2022

You know what’s back in fashion today in SaaS? And that’s a lot rarer in SaaS. But so many SaaS leaders aren’t really profitable at $1B ARR even, Why not? And it’s not just public SaaS companies that are often struggling to get profitable. I’m an investor in maybe 30 SaaS startups. So is SaaS cursed?

Scale 278

Scale SaaS Banking AWS 278

User Pilot

JULY 18, 2023

Tracking your customer churn rate will help you keep tabs on business growth. You will have data sets for analyzing your churn/retention history, which will better position you to make intelligent business decisions. Types of churn rates you should calculate: customer churn rate, revenue churn rate , and involuntary churn rate.

Churn 80

Churn Payments SaaS Payments Payment Solutions 80

Subscription Flow

JANUARY 3, 2024

Consider the potential for growth if you make your pricing model a consistent priority for your company. Most SaaS companies, on the other hand, treat pricing as an afterthought, setting it and then forgetting about it, rather than viewing SaaS flexible pricing strategies as ongoing processes critical to their success.

Pricing 52

Pricing Payment Features SaaS Marketplace as a Service 52

User Pilot

SEPTEMBER 19, 2023

As your business grows and your focus shifts from acquiring new customers to retaining existing ones, churn prediction becomes an invaluable tool in your toolkit. Accurate churn prediction models help you improve the customer experience and prevent voluntary customer departures. What is churn prediction? Churn is expensive.

Churn 96

Churn Machine Learning Artificial Intelligence Data Analysis 96

SaaStr

MAY 7, 2024

What I mean what you want is a pricing structure that anticipates discounts so the net effect is revenue positive. Later, when you implement a CPQ and other more sophisticated systems to manage pricing for a large sales team, these processes and systems will be designed to help you do just that, at least in part.

Pricing 228

Pricing Churn Enterprise Branding 228

SaaStr

MAY 15, 2024

A lot of you reading SaaStr are probably more B2B SaaS oriented and may not be paying attention to the consumer market, but it’s already massive and is continuing to grow quickly. So, let’s look at the state of subscription apps and how B2B SaaS can learn from it. You can tune into Workshop Wednesday every single Wednesday at 10 a.m.

Subscription 261

Subscription Payment Features B2B Mobile 261

User Pilot

MAY 10, 2022

The churn prevention strategies discussed in this article will help with your product engagement strategy. In addition, you’ll also learn how to calculate churn for your SaaS and see the three main reasons why SaaS customers stop interacting with your product and what you can do to prevent that. Churn explained.

Churn 85

Churn Strategy SaaS Engagement 85

Baremetrics

JUNE 27, 2021

Churn is everywhere in the SaaS world. But not everyone is on board with churn. They demonstrate through simulation experiments that churn, under certain circumstances, will show the opposite of what it should. They argue that churn is useless. We thought we would similarly look at churn. Let’s review churn.

Churn 64

Churn Pricing SaaS Subscription 64

Sales Enablement, SaaS and Growth

OCTOBER 29, 2018

Retention truly is the foundation of growth for software as a service (SaaS) companies, but oftentimes, it is overlooked and undervalued. High SaaS churn is a corollary of poor retention - but it can creep up unannounced, and rather than deal a single fatal blow, it causes death by a thousand small cuts. Allow me to explain.

Churn 152

Churn SaaS Payments SaaS Payments 152

SaaStr

APRIL 1, 2020

Downgrades are not churn. It may be time to segment your “churn” into lost customers vs. downgrades. Fair pricing is always the best pricing. In a recurring revenue model, a customer that churns is a customer you never really had at all. And in SaaS, it’s really only the future that matters. __.

Churn 266

Churn Pricing Retention Branding 266

Baremetrics

JANUARY 24, 2021

This article will discuss the relationship between price change and customer retention. If I raise the price, will customers leave? The biggest challenge that leaders face is understanding how to think about price optimization and customer retention with the right framework. Does my new price make customers unsubscribe sooner?

Retention 126

Retention Pricing SaaS Subscription 126

User Pilot

JULY 1, 2021

Implementing churn surveys in your SaaS is one of the most important and effective ways to improve customer retention and satisfaction. Not sure what churn surveys are or how to get started with them? What are churn surveys? Benefits of in-app vs. email churn surveys. Churn survey questions and examples.

Churn 98

Churn Software Review SaaS Technical Review 98

SaaStr

APRIL 10, 2024

So I’ve been doing SaaS long enough to remember when Dropbox was a super hot SaaS startup. Many in SaaS have found a way to drive their ACV and ARPU up over the past 18-24 months with price increases, more products, and more. On Track for Almost $1 Billion in Free Cash Flow in Fiscal 2024 Yes, SaaS models can.

Scale 221

Scale Churn Scaling Pricing 221

USIO

JANUARY 15, 2024

Subscription Models: Usio will provide general insights into why subscription-based payment processing is often considered advantageous for Software as a Service (SaaS) businesses. Predictable Revenue Streams: Subscription models provide a consistent and predictable revenue stream for SaaS companies.

SaaS Payments 130

SaaS Payments Payment Services Payments Payment Solutions 130

SaaStr

JUNE 27, 2019

No hiding the monthly option, no pricing confusion: In fact 26% of Zoom’s customers still pay monthly, even at $500m+ in ARR: More here: 5 Interesting Learnings From Zoom. Small business and individuals often prefer to pay monthly, even at a significantly higher price (e.g., Then maybe pricing games are worth it. As It IPOs.

Pricing 176

Pricing SaaS Payments Payment Solutions Payment Services 176

SaaStr

MAY 22, 2024

OK Gartner is NOT a SaaS or Cloud company. So while not SaaS, it is “Research as a Service” Or something like that. And its stock price is up +35% the last year, and +192% the past 5 years: 5 Interesting Learnings: #1. A lot of “pseudo SaaS” doesn’t see this type of revenue retention.

Revenue 209

Revenue Enterprise Cloud Pricing 209

SaaStr

DECEMBER 17, 2021

Pricing is one of the most challenging elements to get right for SaaS companies. How much should you charge, and what pricing model works best? In an era of empowered buyers, vendors should take care to remove obstacles from the pricing process or risk losing the customer to a competitor.

Pricing 206

Pricing Scale Retention AI 206

User Pilot

MAY 5, 2022

Churn analytics helps you detect your product friction points and understand why users stop using the tool. 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. A churn rate over 10 % indicates trouble. Let’s begin!

Churn 95

Churn Retention Subscription Payment Features 95

OpenView Labs

JULY 2, 2020

Pricing is a SaaS company’s most efficient profit lever, but it’s also one of the easiest things to screw up. Nailing your SaaS pricing strategy requires more than just picking the optimal price and forgetting about it. SaaS Pricing and COVID-19. SaaS Pricing Basics.

Pricing 135

Pricing SaaS Payments Payments SaaS 135

Baremetrics

SEPTEMBER 22, 2021

Price analysis is a shortcut to understanding what the market considers a fair and reasonable price. Sometimes the information needed for a more in-depth analysis of the market isn’t available, or the timeframe in which you need to make a decision is too short for a more accurate pricing strategy. Conduct a pricing experiment.

Pricing 83

Pricing SaaS Payments Payments Payment Methods 83

User Pilot

MARCH 25, 2024

Whether you’re planning your exit, seeking VC funding, or setting up ESOPs, a SaaS valuation is a must. Our article: Explains different SaaS valuation methods. Shows how to leverage PLG strategies to boost the value of your SaaS business. Want to learn how Userpilot can help you improve your SaaS valuation?

SaaS 88

SaaS Customer Lifetime Value Acquisition Metrics 88

Baremetrics

SEPTEMBER 26, 2021

Gone are the days where you can throw a dart to pick your starting price and work towards the correct one (okay, maybe this was never the case). While price analysis and price experimentation are the basis of price optimization , you need to start with a sound pricing strategy. What is a pricing strategy?

Pricing 92

Pricing Strategy SaaS Leadership 92

User Pilot

JULY 20, 2023

Wondering how to reduce customer churn rate for your business? In this article, we review different ways to identify potential churn and deal with it. The main reasons for customer churn are: Bad product-customer fit. The main reasons for customer churn are: Bad product-customer fit. What is customer churn?

Churn 80

Churn SaaS Payments Payment Solutions Payments 80

Subscription Flow

MAY 22, 2024

First impressions are rarely the last impressions, but they can prove to be just that for your company if you do not strategize a high customer lifetime value (LTV) for SaaS businesses. Churn is expensive!) Why is CLTV an important SaaS metric? But don’t worry, because we have got you covered.

Customer Lifetime Value 93

Customer Lifetime Value SaaS Payments Technical Advisors Payment Solutions 93

Stax

FEBRUARY 28, 2024

Software-as-a-service (SaaS) businesses need to constantly evolve their offerings to stay fresh and relevant. By partnering with a trusted SaaS billing platform. In this guide, we’re going to cover what companies need to consider when choosing a SaaS billing platform—and how Stax Connect makes this process simple.

Payments 88

Payments SaaS Payments Payment Services Merchant Services 88