ChurnZero

OCTOBER 21, 2022

Today’s customers recognize the competition in the subscription market and look for renewal-worthy experiences built upon enduring returns. To help your customer success teams prioritize customer results, consider adding variable pay to their compensation package, such as a variable based on retention.

Subscription 98

Subscription Payment Features Scale Business 98

Clouded Judgement

JANUARY 19, 2024

.” If we look historically at the period from 2015-2020 (ignoring 2021 IPOs) the rough medians were ~$200m ARR (minimum was $100m ARR), 50% YoY growth, and >120% net retention. One thing I do want to call out that I don’t see tracked enough is stock compensation. These figures are incredibly impressive!

Cloud 187

Cloud Scale Compensation Metrics 187

Blulogix

NOVEMBER 13, 2024

However, it’s essential to determine whether the revenue generated by discounted sales compensates for the reduction in margin. For MSPs and SaaS companies, offering discounts on recurring subscriptions can have a long-term impact on profitability.

Customer Lifetime Value 59

Customer Lifetime Value Compensation Subscription Payment Features 59

Totango

AUGUST 13, 2024

” Customer renewals are the lifeblood of any subscription-based business, directly impacting your company’s revenue, growth, and long-term success. By implementing CSQOs into your compensation plan, you empower your CS team to drive expansion, while maintaining their focus on customer success and retention.

Customer Success 101

Customer Success Compensation Management Consulting 101

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

SaaStr

OCTOBER 29, 2019

SaaS is about creating long-term value for your customer, and being compensated appropriately for that value as a business. I was on the product team and saw this opportunity for us to work more cross functionally across the company and focus heavily on retention and monetization. Are we being compensated appropriately for that value?

Payments 108

Payments Pricing Compensation Scale 108

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. After all, the more their customers use their product, the more revenue they capture.

Pricing 103

Pricing Compensation Subscription Payment Features 103

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.

Customer Success 97

Customer Success Pricing Scale Compensation 97

User Pilot

JULY 11, 2024

Starting a career as a retention manager requires understanding the key steps, skills, and experiences needed for success. In this article, we will outline the typical journey for retention managers, covering educational requirements, entry-level positions, potential advancements, and long-term opportunities.

Retention 52

Retention Management Scale Data Analysis 52

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

FastSpring

AUGUST 3, 2022

As for internal data, on a high level, you should be consistently monitoring your net retention rate, bookings, and average deal size. You don’t always have time to compensate for unexpected events in your market, but the key is to speed up how quickly you can measure the impact of the investments you’re making today. Learn more here.

Scale 146

Scale Revenue Sales Compensation 146

User Pilot

JULY 28, 2024

Understanding the salary landscape for retention managers is crucial whether you’re entering the field or looking to advance your career. In this guide, we’ll provide an overview of typical retention manager salaries, explore factors that can influence earnings, and share valuable resources to help you progress in your career.

Retention 52

Retention Management Scale Software Review 52

Valuize Consulting

AUGUST 24, 2021

Net Dollar Retention (NDR) has quickly become the most important value metric in SaaS organizations and for good reason; NDR provides a clear picture of a company’s overall health and valuation. Here, we outline the 5 steps you need to take to effectively align your entire organization around growing Net Dollar Retention.

Retention 52

Retention Metrics Compensation Innovation 52

Valuize Consulting

AUGUST 24, 2021

Net Dollar Retention (NDR) has quickly become the most important value metric in SaaS organizations and for good reason; NDR provides a clear picture of a company’s overall health and valuation. Here, we outline the 5 steps you need to take to effectively align your entire organization around growing Net Dollar Retention.

Retention 52

Retention Metrics Compensation Innovation 52

Chart Mogul

JANUARY 9, 2025

An effective onboarding process can significantly impact customer retention, as its the first real experience the customer has with your product beyond the demo. Setting quotas too high can lead to a flurry of new customers who arent well-qualified, driving up acquisition costs without much payoff in terms of long-term retention.

Scale 52

Scale Sales Hiring Startup Sales Recruiting 52

InsightSquared

MAY 7, 2019

Customer churn or retention rates. Contract value: Companies selling subscriptions with larger average contract values also have longer sales cycles than companies selling low priced, low touch subscriptions. Customer lifetime value (CLV).

Scale 102

Scale Sales Hiring Metrics Sales 102

Sales Hacker

AUGUST 7, 2024

There is no longer an appetite for CS functions that lack a commercial focus and don’t own metrics such as Net Dollar Retention (NDR). What type services should be included in with a software subscription as opposed to something I charge customers for? It’s worth reflecting on how we got here. The answer is usually inertia.

Underperforming Technical Team 118

Underperforming Technical Team Technical Review Sales Hiring Scale 118

ChurnZero

OCTOBER 5, 2021

Are your compensation plans setting your business up for longer-term success or subscription contraction? Customer Lifetime Value and Client Retention: What’s the Connection – Find out how to improve customer lifetime value as well as your customer retention rate.

Customer Success 95

Customer Success Scale Customer Lifetime Value Compensation 95

User Pilot

MAY 20, 2024

You will find out what customer advocacy is, how it improves retention and other key metrics, and learn about different types of customer advocacy programs and how to build them. This, combined with their high loyalty and retention , drives product growth. They foster long-term customer retention , engagement – and advocacy.

Scale 105

Scale Strategy Social Media SaaS 105

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

OpenView Labs

MARCH 16, 2021

And compared to their peers, companies with usage-based pricing trade at a 50% revenue multiple premium and see 10 percentage points better net dollar retention rates. But the shift from pure subscription to usage-based pricing is nearly as complex as going from on-premise to SaaS. Designing sales compensation plans.

Pricing 69

Pricing Payments SaaS Payments Payment Solutions 69

Chart Mogul

MAY 30, 2019

How do you build a compensation plan for a new customer success team and strategy? Logo retention is the percentage of customers retained over a given period of time. Whereas revenue retention is simply the percentage of revenue retained over a period of time. Logo and revenue retention.

Underperforming Technical Team 78

Underperforming Technical Team Development Strategy Management 78

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

SaaStr

JULY 1, 2020

I’m looking at it and I’m like, “Who’s got the Wall Street Journal subscription? Because sales folks want to close the biggest deal and they may not like downgrades or logo retention, how are you thinking about this issue? For us, it’s been, “Migrate things that you have on invoice over to card.”

Merchant Services 247

Merchant Services Scale Sales Recruiting Sales 247

Totango

DECEMBER 3, 2020

As compared to 2019, companies are increasingly growing their Customer Success teams to maximize retention and drive growth from existing customers. . 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.

Customer Success 65

Customer Success Compensation Scale Onboarding 65

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

User Pilot

MARCH 24, 2025

Your decisions will be backed by data-driven insights, leveraging A/B testing and user research to optimize the engagement loops and retention strategies that keep users inspired and returning again and again. Certain locations may be eligible for greater other compensation. Who would be the best fit for this job?

Mobile 52

Mobile Underperforming Technical Team Management Scale 52

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

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

Unbounce

SEPTEMBER 1, 2020

It’s not always an easy balance, but a tagline like “Get ready to see happiness” is both cute and concise, making it perfect for this contact lens subscription service—especially when paired with a straightforward benefits statement and a direct CTA. ClaimCompass : “Claim your compensation” (Clickthrough).

Social Media 145

Social Media Compensation AI Search Branding 145

User Pilot

MARCH 25, 2024

Metrics that can affect SaaS business valuation include Monthly /Annual Recurring Revenue, Customer Acquisition Cost , Customer Lifetime Value , Net Revenue Retention, Total Addressable Market, and YoY Growth Rate. SDE is the profit of the business owner and his compensation. SaaS valuation formula: SDE.

SaaS 105

SaaS Customer Lifetime Value Acquisition Churn 105

Baremetrics

JULY 30, 2020

Until you’ve built a solid retention strategy that reduces churn and improves LTV , it doesn’t make a ton of sense to focus on getting more people in the door. It’s like trying to work out to compensate for your poor diet. But if the rest of your customer journey is lacking, you could be wasting a lot of money.

Churn 125

Churn Acquisition Pricing Revenue 125

SaaSOptics

MAY 2, 2022

Finally, consider implementing a “commission-free” compensation plan at the early stages to prevent reps from chasing accounts with high ACV’s that aren’t a good fit for your product. SaaSOptics and Chargify are the leading providers of financial operations and subscription billing management solutions for subscription businesses. .

Scale 97

Scale Sales Hiring Underperforming Technical Team Sales 97

Totango

MARCH 14, 2019

If you can offer a refund or some other kind of compensation, offer it. By contacting you, the customer gave you the chance to resolve the issue; they could have simply cancelled their subscription or never contacted your company again. Request a demo to explore Spark and start raising customer retention rates today.

Social Media 91

Social Media Compensation Customer Success Communication 91

User Pilot

FEBRUARY 4, 2022

SaaS sales compensation tends to be higher when targeting enterprise customers since it takes longer to close deals and each contract brings in more annual recurring revenue ARR for the company. Cloud-hosted and subscription-based solutions are the most common SaaS sales models because they bring in recurring revenue.

SaaS Payments 98

SaaS Payments Scale Payment Services Payment Solutions 98

User Pilot

AUGUST 31, 2023

New customers bring in subscription fees, licensing charges, or usage-based payments, which are the lifeblood of SaaS businesses. Conversion The conversion stage is where potential customers make the decision to upgrade from a trial or freemium account to a paid subscription. Book a demo now to learn more.

Acquisition 110

Acquisition SaaS Payments Payment Methods Metrics 110

ChurnZero

OCTOBER 12, 2021

The effects of CS run deeper than just customer retention – this instrumental function can have a profound impact on your long-term corporate success. They also increased client retention among SMB subscriptions by 2%. Announcing the Winners of ChurnZero’s 2021 ChurnHero Awards. Renewal/Expansion Hero – Jisr.

Healthcare 98

Healthcare Systems Review Scale Point of Sale 98