Clouded Judgement

SEPTEMBER 12, 2023

Q2 earnings season for cloud businesses is now behind us. As you can see from the data below most cloud businesses beat the consensus estimates for Q2 Source: company filings and Pitchbook consensus estimates Historically, the median beat of consensus estimates is closer to ~4%.

Cloud 169

Cloud Software Benchmarks Retention 169

Clouded Judgement

APRIL 12, 2023

Q4 earnings season for cloud businesses is now behind us. 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. I consider >120% best in class for companies selling to SMBs (like Bill.com).

Cloud 161

Cloud Software Benchmarks Retention 161

Clouded Judgement

JUNE 20, 2023

Q1 earnings season for cloud businesses is now behind us. As you can see from the data below most cloud businesses beat the consensus estimates for Q1. For businesses selling predominantly to SMB customers, these benchmarks are all slightly lower given the higher-churn nature of SMBs.

Cloud 161

Cloud Software Benchmarks Scale 161

Clouded Judgement

DECEMBER 20, 2022

Q3 earnings season for cloud businesses is now behind us. 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. I consider >120% best in class for companies selling to SMBs (like Bill.com).

Cloud 130

Cloud Software Review Software Benchmarks 130

SaaStr

NOVEMBER 2, 2022

While the average Cloud stock has fallen almost 50% in 2022, Duolingo’s has stayed up, and is down just 10% in the past 6 months. The core product is very B2C, but the upgrade to paid has very SMB B2B metrics, and 80% of the revenue is subscription based. So it’s doing what Wall Street wants today.

Scale 300

Scale B2C SMB B2B 300

Tom Tunguz

AUGUST 2, 2016

Channel distribution represents one of the biggest and most important changes in customers acquisition for SMB SaaS startups in quite a while. One of the most interesting examples is Microsoft’s Office 365 SMB business. It’s the most successful SMB SaaS acquisition channel ever built. by Thomas Hansen.

Outsourcing Services 109

Outsourcing Services SMB Acquisition Scale 109

SaaStr

MARCH 31, 2022

Jessica Alexander, Senior Director Cloud Technology & OEM Partnerships, Crowdstrike. So for the audience, cloud giants are turbocharging startup sales, and the predominant reason for this is because they’re fundamentally changing IT budgets at the customers that we’re all selling to. Rico Mallozzi, Sr.

Scale 210

Scale Marketplace as a Service Cloud SaaS Payments 210

FastSpring

OCTOBER 18, 2018

In other words, we are now in an era of subscriptions, in which businesses are progressively moving towards subscription-based business models. With subscriptions poised to disrupt the traditional business model, it’s only natural for you to wonder if offering a subscription model can benefit your business.

Payment Features 61

Payment Features Payment Services Subscription Payment Methods 61

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. In New Relic’s case, moving from subscription to consumption based usage has increased net revenue 15%. An incredible streak.

Scale 309

Scale Outsourced Development SMB Cloud 309

SaaStock

JANUARY 25, 2019

Its focus is on helping companies handle financial routine and streamlining processes related to accounting, banks, stock, and electronic invoicing, among others. Omie main goal is to bridge the efficiency gap in Brazilian SMB, helping customers to be more prosperous. The tool supports multi-currency billing and electronic invoicing.

SaaS Payments 257

SaaS Payments Payment Solutions Payment Methods Payments 257

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 ARR = (Overall subscription per year + recurring revenue from add-ons or upgrades) – revenue lost from cancellations.

SaaS Payments 98

SaaS Payments Metrics Payments Payment Services 98

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.

Scale 236

Scale Sales Hiring Scaling Revenue 236

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

OPEXEngine

JANUARY 11, 2022

Companies that do not need to lock customers in with minimum commitments, particularly in the SMB space, use these types of models. Many companies want to migrate their subscription or perpetual business to consumption pricing models; however, it doesn’t always result in incremental business. Uncommitted contracts. Higher valuations.

Pricing 52

Pricing Payment Solutions Outsourced Development Compensation 52

SaaStr

JANUARY 7, 2021

SaaStr 308: RevenueCat CEO Jacob Eiting on Managing Millions in Mobile Subscriptions While Growing 20% a Month. Most of us think a lot about standard B2B SaaS and Cloud subscriptions, but we are still new to the issues, challenges, and opportunities in mobile subscriptions. Romain Lapeyre is CEO of Gorgias.

Scale 254

Scale Sales Hiring Scaling B2B 254

Point Nine Land

OCTOBER 8, 2021

At the same time, the industry is known for delays in projects and in payments, and small companies often struggle with cash management as they deal with multiple projects at the same time, relying mainly on excel and word to issue budgets and invoices, as well as manage their receivables across several projects.

Technical Cofounder 52

Technical Cofounder Construction Payment Solutions SaaS Payments 52

SaaStr

NOVEMBER 1, 2019

About the episode: Tien Tzuo is the Founder and CEO of Zuora, one of the fastest-growing SaaS companies that has been at the forefront of the rise of subscription business models. About the episode: Dave Kellogg is the CEO @ Host Analytics, the leader in cloud-based enterprise performance management (EPM). Episode No. Episode No.

Technical Review 153

Technical Review Development Team Review Scale Software Review 153

OPEXEngine

MAY 12, 2020

Now you might be thinking “SaaS and cloud are already THE future – they replace the legacy software world of the past.” I’ve met thousands and thousands of SaaS CEOs and execs and I can affirmatively say that most SaaS businesses have adopted the product model of the future (cloud) but still employ the internal practices of the past.

Technical Review 59

Technical Review SaaS Software Review Sales Hiring 59

CustomerSuccessBox

FEBRUARY 28, 2022

You mostly need repeat purchases to get payments with a subscription model and it is easier to impress existing customers than starting all over to acquire new ones. Best practices: Consumption vs subscription. Meaning they have a good customer retention rate who are paying for subscriptions, have upsells and expansions as well.

Retention 52

Retention SaaS Payments Payments Payment Methods 52

Sales Hacker

FEBRUARY 12, 2021

Enterprise CRM vs. SMB CRM. Price : Salesforce Sales Cloud Enterprise is $1500/month for 10 users (billed annually). Inventory management capabilities: price, quotes, invoices, purchase orders. Microsoft Dynamics 365 combines Microsoft’s enterprise resource planning (ERP) tool and CRM into one cloud-based solution.

Payment Solutions 85

Payment Solutions Enterprise Scale Payments 85

SaaStr

MARCH 13, 2020

315: Harry Hurst is the Co-Founder & Co-CEO @ Pipe, the startup that gives you control of your cash flow by giving you access to the full annual value of your monthly subscriptions, upfront. And I think the SMB mid-market sector is actually what’s fueling this tremendous growth we’re seeing year over year.

SaaS Payments 210

SaaS Payments Payment Methods Finance Payments 210

ChurnZero

OCTOBER 12, 2021

VAIRKKO is an online cloud HR and LMS software company that provides innovative and affordable HRIS and Training Management solutions exclusively written for businesses within the small to mid-sized marketplace. They also increased client retention among SMB subscriptions by 2%. Onboarding Hero – VAIRKKO.

Healthcare 98

Healthcare Systems Review Scale Point of Sale 98

Sales Hacker

APRIL 25, 2019

The SMB Decision: In-House vs. Outsourced Sales Development. As a high-growth SMB, your number-one focus is consistent sales. You might use three of these tools, as well as G Suite, ZeroBounce, cloud storage, and more. But is it realistic for SMBs to have a dedicated research team for finding leads to pass to SDRs?

Outsourcing Services 76

Outsourcing Services Sales Hiring Sales Outsourcing Outsourced Development 76

Aaron Beashel

MARCH 9, 2018

The end users of their software are marketers at SMB companies and they sell their product for around $100 per month (Meaning the Annual Contact Value is around $1000). However, the SMB end of the market is largely underserved by these other competitors, so it made sense to go there. Factors to consider. Business Resources.

Scale 192

Scale SaaS Payments B2B Strategy 192

SaaStr

AUGUST 19, 2022

This morning, a pretty slow growing player, Ping Identity, slow to move to SaaS, slow to move to the cloud, struggled in some ways to compete with Okta and others, was acquired for 2.3 And I think it shows that the top PE firms are pretty optimistic that things are going to remain good and get even better in SaaS and cloud.

Scale 221

Scale Sales Hiring Scaling VP of Engineering 221

SaaStr

JUNE 7, 2019

Finally, before that, Amit was the Founder & CEO @ SparkThis, an outsourced marketing and sales service for cloud companies. And finally, before that, Amit was the founder and CEO at SparkThis, an outsource marketing and sales service for cloud companies. Be it enterprise or SMB. Amit Bendov: I mean it varies.

Outsourced Development 130

Outsourced Development Outsourcing Services Sales Hiring Scale 130

Kellblog

FEBRUARY 2, 2023

Former Redpoint VC Tomasz Tunguz pointed out that product-led growth (PLG) firms are less profitable than sales-led growth firms, poking a hole in the “product sells itself” myth, and clouding dreams of liberation from costly S&M departments. What drove people to the trial again, anyway?) Consumption pricing. Bankruptcy.

Software Review 119

Software Review Development Team Review Underperforming Technical Team Scale 119

SaaStr

JULY 1, 2020

There’s not that many people that have been the first salesperson in to managing a global footprint at a cloud leader. I’m looking at it and I’m like, “Who’s got the Wall Street Journal subscription? For us, it’s been, “Migrate things that you have on invoice over to card.”

Merchant Services 180

Merchant Services Scale Sales Recruiting Sales 180

Neil Patel

DECEMBER 16, 2021

Also, be sure there’s an email subscription option on each of your web properties. Since its launch in 2007, Dropbox has quickly become a market leader in cloud storage. How can I grow my SMB using online marketing? These platforms provide simple templates and automated emails based on triggered events. Start an eBay Store.

Social Media 145

Social Media Strategy Marketing Business 145

ChurnZero

OCTOBER 12, 2021

Onboarding Hero – VAIRKKO VAIRKKO is an online cloud HR and LMS software company that provides innovative and affordable HRIS and Training Management solutions exclusively written for businesses within the small to mid-sized marketplace. They also increased client retention among SMB subscriptions by 2%.

Healthcare 52

Healthcare Systems Review Scale Point of Sale 52

SaaStr

NOVEMBER 22, 2019

I had the good fortune, my first SaaS experience was at the Mothership Salesforce in 2006, prior to even the word cloud being thrown around. Because that is a very clear measure of a subscription model health. So that’s changed of course, clearly with a subscription business model. What advice do you give to startups?

Underperforming Technical Team 157

Underperforming Technical Team SaaS Payments Payment Services Technical Advisors 157

SmartKarrot

DECEMBER 21, 2020

Analysis of operational metrics to determine strategic wins and drive improvements that will increase value for cloud customers. Collaborate with key knowledge partners (Cloud product leadership, Support & Success leadership, etc) to drive visibility of cloud support customer needs and ensure multi-functional collaboration.

Customer Success 10

Customer Success Scale Leadership SMB 10

Sales Hacker

OCTOBER 15, 2018

We think customer success is the new way to think about sales because we think in new business models, like subscription, SaaS, Cloud, etc., If you’re an SMB oriented business, or you’re in the 80s, you’re probably reasonably efficient. customers have so much power and they can basically vote with their wallet.

Customer Success 47

Customer Success Scale Underperforming Technical Team Retention 47

Neil Patel

DECEMBER 5, 2020

Phoneburner – Best for Remote Teams VanillaSoft – Best for Outbound Sales Voicent Cloud – Best Standalone Auto Dialer Software Mojo – Best for SMB Sales RingCentral – Best for Compliance Kixie – Best for Local Presence. An annual subscription costs $1,512, which breaks down to $126 per user/month.

Software Review 143

Software Review Software Scale compliance 143

SaaStr

JUNE 10, 2020

If you have not set your workforce up to deal with this and you are not online and in the cloud and all the things that we need as employees in a business, you’re making that transformation now. If you have a lot of SMB and commercial companies and they start to go out of business then that’s out of your control.

Travel 174

Travel Marketing Scale Outsourcing Services 174

Neil Patel

JANUARY 7, 2021

Schoology – Best for K-12 education D2L Brightspace – Best for higher education Tovuti – Best for selling online courses Looop – Best for SMB employee training Docebo – Best for enterprise learning Sensei – Best LMS plugin for WordPress. The Top 6 Options for LMS Software. Administrator Control.

Systems Review 138

Systems Review Management Scale Education 138

Sales Hacker

OCTOBER 7, 2021

Cassie spent the first pre-SaaS chapter of her tech career in growth roles in subscription and marketplace businesses (TheLadders.com, GLG). It took me a long time to admit to myself that I don’t enjoy transactional SMB sales. One of my clients sold cloud-connected sprinklers that saved money and helped the environment.

Scale 130

Scale Sales Recruiting Sales Hiring VP of Engineering 130