Clouded Judgement

JANUARY 19, 2024

One thing I do want to call out that I don’t see tracked enough is stock compensation. Most public companies don’t report net new ARR, so I’m taking an implied ARR metric (quarterly subscription revenue x 4). Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 177

Cloud Scale Compensation Metrics 177

Andreessen Horowitz

NOVEMBER 1, 2023

Often, these companies have an existing subscription model, and usage-based pricing sounds like it would further align their incentives with their customers’. That’s why software with human end users typically benefits from subscription models. How will you compensate your reps? That said, this isn’t a hard-and-fast rule.

Pricing 88

Pricing Compensation Subscription Payment Features 88

Stax

JANUARY 31, 2024

Visa may modify rates to compensate for expected risks associated with different transaction types. Audit your data security measures. Secure payment processing methods can result in reduced fees, as the card networks offer reduced fees on transactions they deem less risky. Improve your customer retention strategies.

Payment Services 88

Payment Services Merchant Services Payment Methods Accept Credit Card Payments 88

SaaStr

JULY 22, 2020

SaaS Enterprise Sales Compensation Pl an. Not every rep should be involved in chased down invoices. Once you are at $20 or $30m ARR or larger, or maybe, once you have 40-50 reps or more, and are adding another 40-50 or more a year … a Typical Bigger Company sales comp plan works well. It’s tested and proven.

Scale 363

Scale Sales Hiring Sales SaaS 363

Buffer Resources

APRIL 10, 2024

Get started for free → How to make money on Instagram Jump to a section: Partner with brands on sponsored content Livestream and earn Badges from fans Offer paid subscriptions Sell your own products and services Take up affiliate marketing Sell digital products Develop and teach a course Join Instagram’s Creator Marketplace 1.

Payments 91

Payments Payment Methods Marketplace as a Service Payment Services 91

Incredo

OCTOBER 17, 2019

What are 5 common SaaS sales compensation models? The reason is that commission-only position doesn’t guarantee a fixed financial compensation at the end of each month. Pros: With this way of compensating, you reward high-performing sales reps when they show they can do more for you! See below! New and expensive customers.

SaaS Payments 150

SaaS Payments Compensation Payment Services Sales Recruiting 150

Incredo

OCTOBER 17, 2019

What are 5 common SaaS sales compensation models? The reason is that commission-only position doesn’t guarantee a fixed financial compensation at the end of each month. Pros: With this way of compensating, you reward high-performing sales reps when they show they can do more for you! See below! Here’s why.

SaaS Payments 144

SaaS Payments Compensation Payment Services Sales Recruiting 144

Chargify

JANUARY 15, 2020

Multiple billing systems and complicated contract customers that required itemized invoices were being managed manually, within an excessive number of spreadsheets. The subscription world is all about relationships and personalization, and B2B SaaS customers have come to expect that high level of service.

B2B 67

B2B Payment Features Software Review Scale 67

Kellblog

MARCH 29, 2023

Third, a one-slide-per-metric review of the set of metrics that matter in 2023: ARR growth, free cashflow margin, Rule of 40 score, subscription gross margin, burn multiple, ARR/FTE, CAC ratio, CAC payback period, NRR, and GRR. Note that I also did a Balderton webinar ( Balancing Growth and Burn in 2023 ) on this topic with David Thevenon.

Metrics 125

Metrics Compensation Benchmarks Interviewing 125

SaaStr

JULY 23, 2020

The average package price is USD 500 for subscription/month. A bit more here: The ultimate guide to SaaS Sales Compensation Plan | SaaStr. Q: What is a good model for SaaS product sales commission? At the end of the day, most SaaS companies pay their reps from 20%-25% of what they close in total comp — base + bonus.

Scale 164

Scale Compensation Subscription Payment Features 164

Baremetrics

AUGUST 11, 2021

Revenue recognition, as per GAAP, states that payment is recognized as revenue after delivering the product or service in its entirety. In the SaaS industry, subscription fees are paid as monthly recurring revenue (MRR) and can be paid in advance for up to a year. Of course, that’s not how SaaS revenue works. (We

Payment Methods 59

Payment Methods SaaS Payments Payment Features Payment Services 59

SaaSOptics

MAY 22, 2018

Magazines, newspapers, life insurance, phones, security services, and a long list of products and services have been sold for decades using the subscription model. The difference now is how important and meaningful the subscription model has become to the national economic engine. What has changed?

Subscription 40

Subscription Payment Features Technical Review Airlines 40

SaaSOptics

MAY 22, 2018

Magazines, newspapers, life insurance, phones, security services, and a long list of products and services have been sold for decades using the subscription model. The difference now is how important and meaningful the subscription model has become to the national economic engine. What has changed?

Subscription 40

Subscription Payment Features Technical Review Airlines 40

Practical Advice on SaaS marketing

AUGUST 11, 2012

Here's an inquiry from the SaaS Marketing mailbox: Dear SaaS Marketing guy, Do software-as-a- service (SaaS) solutions with a high subscription price per customer have a better chance of success than solutions with a low subscription price? It's the subscription price relative to the cost of acquiring customers.

Acquisition 100

Acquisition Subscription Payment Features Pricing 100

ProfitWell

OCTOBER 7, 2019

Today on Recur Now, the astronomical findings of Zuora’s Subscription Economy Index are released. We’re also talking subscription sports with a pricing expert, and highlighting a former Netflix culture-building badass. Your top subscription news. Subscription Cavaliers. Can you guess who? Zuora's SEI drop.

Subscription 49

Subscription Payment Features Payments Payment Services 49

SaaStr

MARCH 8, 2021

The average package price is USD 500 for subscription/month. A bit more here: The ultimate guide to SaaS Sales Compensation Plan | SaaStr. Q: What is a good model for SaaS product sales commission? Often at roughly a 50/50 ratio. Sometimes for very transactional, low ACV sales, the percent can be lower.

Scale 157

Scale Sales Compensation Churn 157

SaaSOptics

JANUARY 20, 2022

If your organization is using spreadsheets to manage compensation plans and account for sales commissions, you may be doing a lot of rowing without getting very far. Managing commissions and compensation plans in spreadsheets is a common practice, but it’s also inefficient and outdated. Where Are We Going and Who’s Driving the Boat?

Compensation 77

Compensation Scale compliance Forecasting 77

Buffer Resources

FEBRUARY 15, 2024

The program is part of a broader effort by TikTok to enhance monetization opportunities , including other avenues such as LIVE Gifts and subscriptions , TikTok Series , and TikTok Pulse. per 1,000 views, the Creativity Program aims to rectify this by offering enhanced compensation, potentially reaching up to $8.00

Payments 99

Payments Payment Services Payment Solutions Payment Methods 99

Kellblog

JANUARY 2, 2024

While UBP companies were hit harder, as this slightly confusing slide from Iconiq demonstrates [1], they nevertheless grew faster than their subscription counterparts in 2023. Much as SaaS moved the industry from perpetual to subscription (and then consumption) pricing, will AI move the industry to value- or results-based pricing? [18]

AI Search 111

AI Search Technical Review ChatGPT Technical Advisors 111

ProfitWell

APRIL 11, 2019

If you’ve ever caught an episode of our show Pricing Page Teardown , you’ve seen Peter & Patrick rip apart the pricing strategies of the biggest names in subscription. Best of all, it’s a subscription, so your bowl with never go empty. And, like all good things, it comes with a subscription — $35 for four boxes of cereal per month.

Payment Features 45

Payment Features Technical Review Software Review Subscription 45

OpenView Labs

FEBRUARY 9, 2021

But growing with a usage-model is not as straightforward as traditional subscription SaaS. It requires shifts in go-to-market strategy, sales compensation, financial planning, billing, and much more. Some folks might have feared that investors would hate usage-based pricing because customers aren’t locked into a subscription.

Scale 98

Scale Pricing Scaling AWS 98

Chart Mogul

OCTOBER 12, 2017

After several recent high-profile Mac apps pivoted to a subscription model, users are left feeling cheated. Developer MacPaw is planning to solve that, with Setapp - the first all-you-can-eat subscription service for Mac apps. As a business we had a huge demand to move into subscriptions.”. The pitchforks are out.

Subscription 75

Subscription Payment Features Underperforming Technical Team Software Review 75

Buffer Resources

OCTOBER 16, 2023

Meta Creator Compensation for AI Chatbots Meta is investing heavily in creators , with a whopping $5 million deal for a top creator’s contribution to AI chatbots. New Premium Subscription Tiers Twitter/X is working on three new Premium subscription tiers offering varying ad experiences, from full to no ads in the feed.

Social Media 90

Social Media AI Search Payments AI 90

SaaStr

OCTOBER 29, 2019

SaaS is about creating long-term value for your customer, and being compensated appropriately for that value as a business. This is a mobile solution for SMB’s to send an invoice and get paid. Are we being compensated appropriately for that value? Learn actionable monetization tips from a Product/Growth operator turned VC.

Payments 100

Payments Pricing Compensation SaaS Payments 100

Incredo

NOVEMBER 1, 2019

From sales & marketing alignment to SaaS salespeople compensation. If you are satisfied with your sales model and need to learn about employee compensation model, just skip the first article. (3 SaaS Sales team compensation . SaaS Sales team compensation . What are 5 common software sales compensation models?

SaaS Payments 157

SaaS Payments Payment Methods Sales Recruiting Sales Hiring 157

Chargify

SEPTEMBER 10, 2019

The underlying foundation for these new capabilities starts with the ability to add/manage reps and associate them to subscriptions that run through Chargify. . Once a rep-to-subscription association is created, you have instant access to a wealth of revenue data for any given rep. Compensating Other Revenue Generators.

Payments 61

Payments SaaS Payments Scale Compensation 61

User Pilot

MARCH 25, 2024

SDE is the profit of the business owner and his compensation. To calculate the figure, deduct overheads from the gross revenue and add the owner’s compensation (salary, dividends, etc.). The metric is used by companies with quarterly or yearly subscription plans. SaaS valuation formula: SDE.

SaaS 105

SaaS Customer Lifetime Value Acquisition Metrics 105

OpenView Labs

MARCH 16, 2021

But the shift from pure subscription to usage-based pricing is nearly as complex as going from on-premise to SaaS. SaaS companies exploring a usage-based model need to plan for both go-to-market and operational challenges spanning from pricing to sales compensation to billing. Designing sales compensation plans.

Pricing 52

Pricing Payments SaaS Payments Payment Solutions 52

OpenView Labs

SEPTEMBER 8, 2021

The complexities of pivoting from traditional seat-based subscriptions to usage-based pricing are analogous to making the leap from on-prem to SaaS in the first place. . New Relic has even taken this a step further where sales compensation is now 100% consumption-based , a notable change from their previous compensation structure.

Pricing 64

Pricing Customer Success Scale Compensation 64

Valuize Consulting

AUGUST 24, 2021

Build Your Compensation Model. While there are a lot of differing opinions and conversations around Customer Success compensation, it’s crucial to ensure that you are driving desired behaviours with your CS compensation model. Watch our webinar for 5 innovative and impactful ways to increase Net Revenue Retention.

Retention 52

Retention Metrics Compensation Innovation 52

Valuize Consulting

AUGUST 24, 2021

Build Your Compensation Model. While there are a lot of differing opinions and conversations around Customer Success compensation, it’s crucial to ensure that you are driving desired behaviours with your CS compensation model. Watch our webinar for 5 innovative and impactful ways to increase Net Revenue Retention.

Retention 52

Retention Metrics Compensation Innovation 52

ChurnZero

JUNE 10, 2020

Baxter takes readers through every step of the subscription business process – from initial start-up or testing of a new model to scaling the operation for long-term growth and sustainability to revamping your culture so everyone works together to optimize the customer lifetime value.

Customer Success 69

Customer Success Compensation Scale Customer Lifetime Value 69

OpenView Labs

OCTOBER 6, 2021

Shifting from subscriptions to a new consumption-based pricing model. New Relic is perhaps the first and only public SaaS company that has completely changed from a subscription based pricing model to a usage-based pricing model in the public eye. Introducing a new (and generous) perpetual free pricing tier.

Pricing 81

Pricing Scale Compensation Subscription 81

Clouded Judgement

JULY 21, 2023

When new products are being built and engineers are hired you’re paying those engineers compensation when the products they’re building aren’t generating any revenue (because they haven’t been built yet…). Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 130

Cloud Software Sales Hiring Scale 130

Neil Patel

SEPTEMBER 11, 2020

If you offer benefits to your employees, you need a payroll service that helps you effectively manage things like time off, vacation requests, workers’ compensation, insurance, and more. Wave also offers numerous other small business tools for free, including invoicing, accounting, and receipt management. Built-in HR tools.

Payment Services 145

Payment Services SaaS Payments Outsourcing Services Payment Solutions 145

Tom Tunguz

MAY 4, 2016

Plus, value-added resellers charged buyers on a per-project basis which doesn’t align neatly with the recurring subscription intrinsic to SaaS. Plus, there can be some complexities in sales compensation. Most SaaS has little customization, manages all the delivery and are better suited to handling the support.

Underperforming Technical Team 100

Underperforming Technical Team Sales Hiring Compensation Scale 100

Totango

DECEMBER 3, 2020

This continues a trend of high reliance on CS teams in the past few years, and with it has come an evolution in the compensation structures for these team members. In this article, we will breakdown the factors shaping today’s CS compensation structure and discuss how these elements come to impact a business’s revenue and overall success. .

Customer Success 64

Customer Success Compensation Scale Onboarding 64