SaaStr

MARCH 7, 2023

AE and SDR compensation is another tactic to align GTM with what you want. Offering higher commissions for long-term contracts or generating pipeline in the highest quality vertical can drive GTM efficiency. However, there is a significant pivot to efficient growth with a projected improvement in margins.

Outsourcing Services 173

Outsourcing Services Scaling Venture Capital Forecasting 173

ChurnZero

JUNE 12, 2020

When we represent our organizations, we want to generate more revenue with fewer resources,” explains Smartsheet in their article on calculating productivity. When should I add Customer Success Operations? SaaS businesses typically begin to invest in Customer Success Operations when they reach around $10 million in revenue.

Customer Success 80

Customer Success Scale Underperforming Technical Team Sales Hiring 80

Kellblog

MARCH 11, 2020

Believing that: A customer has a fixed budget that is 100% fungible between ARR (annual revenue revenue) and services. Zero-sum delusion typically presents with the following metrics: Services being less than 10% of total company revenues. Constrain services to no more than 20% of revenue. All that costs you some margin.

Underperforming Technical Team 99

Underperforming Technical Team Sales Hiring Consulting Forecasting 99

Sales Hacker

JANUARY 29, 2018

Reps were hired, trained and compensated to perform as an individual to hit a quota. Traditional Sales Organizations – Growth of headcount in sales was structured around revenue per individual contributor (IC). What complicates this model is the high-velocity it operates on; many clients commit within 90 days or faster.

Sales Recruiting 75

Sales Recruiting Scale Sales Hiring Sales 75

OPEXEngine

DECEMBER 23, 2020

Believing that: A customer has a fixed budget that is 100% fungible between ARR (annual revenue revenue) and services. Zero-sum delusion typically presents with the following metrics: Services being less than 10% of total company revenues. Constrain services to no more than 20% of revenue. All that costs you some margin.

Underperforming Technical Team 52

Underperforming Technical Team Sales Hiring Consulting Forecasting 52

OPEXEngine

DECEMBER 17, 2019

For the Top Down approach to benchmarking, you establish next year’s targets for revenue, gross margin and cash flow. In other words, the targeted revenue won’t support the level of expense requested by the management team. At the highest level, the operating expense ratio is measured as a percentage of recognized revenue.

Benchmarks 40

Benchmarks Metrics Headcount SaaS 40

ChurnZero

DECEMBER 2, 2022

We also had to think about how we were doing their variable compensation to incent fairness across the team. Why not use revenue or multiple factors to segment? Alli: Customer employee headcount aligned well for us with contract value and customer revenue. Who gets to go into enterprise?

Headcount 98

Headcount Underperforming Technical Team Scale Outsourced Development 98