SaaS Metrics Refresher #5: Customer Lifetime Value

Chart Mogul

Imagine being able to know the total revenue you’ll receive from a single customer on average — that’s the promise of customer lifetime value (LTV). “LTV is a good indicator to segment customers and prospects to plan pursuit, nurture and coverage.

How to Calculate Adoption Rate and its Impact on Customer Lifetime Value


If your customers aren’t using your product, then they’re not really your customers. They may have subscribed, but if they’re not actively engaging with the product, they’ll never see the value of their investment. This critical phase of the customer journey deals with how well a customer integrates your product into their business process and whether they are using the right functionalities to realize lifetime value.

How to Calculate Customer Lifetime Value

Nimble - Sales

The customer lifetime value is a necessary point on the list. If you’ve never heard of it, we’ll tell you everything you need to calculate your potential profit from your loyal customers. What Is the Customer Lifetime Value? […]. The post How to Calculate Customer Lifetime Value appeared first on Nimble Blog. Every business owner needs to pay attention to a number of different things important for the business.

SaaS Marketing | Maximizing Customer Lifetime Value

Chaotic Flow

What’s the stronger driver of SaaS company growth: customer acquisition or customer lifetime value? Rapid, sustainable SaaS growth is equal parts customer acquisition and customer lifetime value. Two Views of Customer Lifetime Value.

Making customer lifetime value more actionable

Chart Mogul

For businesses with a low customer count or without much historical churn data, the traditional customer lifetime value (LTV) formula can be unpredictable and produce results that fluctuate from one month to the next. SaaS Metrics Refresher #5: Customer Lifetime Value.

5 Interesting Learnings from Xero. As It Crosses $650m in ARR.


Aim for that at least in your SMB segment if you can, and if you can provide at least as much value as Xero. Customer Lifetime Value is 81 months, from SMB That’s impressive. That means an effective 81 month customer lifetime value from SMBs.

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Feature Engineering: A Closer Look, Part 2 [RS Labs]


At Retention Science, we want to capture all sorts of variability in customer behavior in order to model behavior such as calculating purchase probability, predicting customer lifetime values, and optimizing which discounts are most appropriate for which customers.

1 Key SaaS Sales Metric to Fine-Tune Sales Productivity


Sales is the engine driving SaaS company value. At the highest level, SaaS companies look at sales expense, headcount, sales productivity and SaaS metrics like: The cost of new customer acquisition (CAC). Customer lifetime value (CLV). Sales is the Growth Engine.

Driving SaaS Growth Through The Customer Lifecycle

Chaotic Flow

At any given time, you can calculate the SaaS growth ceiling for your SaaS business with a simple formula: customer acquisition rate divided by percentage churn rate. New customers come in the front door, while old customers leave out the back.

Highlights from TSW ‘18 in Las Vegas


It was a valuable and insightful event and the turnout at our booth from prospects and customers plus the successful session with our CEO Guy Nirpaz and Dilip Kumar, COO of Dimension Data, as they presented how Dimension Data has achieved better business results overall running on Totango, was by far the highlights for us. Dimension Data has seen benefits in a big way including accelerating their customer lifetime value while exceeding customer adoption, expansion, and renewals goals.

SaaS Growth Strategy | A Customer Lifecycle Approach

Chaotic Flow

But within one short customer lifetime, every SaaS CEO startles awake to the fact that the churn monster is always looking over your shoulder. SaaS churn naturally scales with the size of your customer base making it negatively viral.

Google Play integration completes mobile subscription analytics puzzle

Chart Mogul

With this new integration you can: Analyze and use all of our favorite subscription metrics like monthly recurring revenue, churn rate, and customer lifetime value.

Add ChartMogul metrics to Octoboard

Chart Mogul

Many of our customers like to see their ChartMogul numbers alongside other business data. That’s why we make sure to collaborate with partners and customers on syncing key metrics with other systems, like Geckoboard, Visible and Numerics. Customer lifetime value.

The Complete Guide to Improving Your Customer Success Health Score


This is certainly true of the customer success health scores used to monitor the status of customers. When a health score indicates that a customer requires attention, you also need to know what went wrong and how to fix it. To improve the diagnostic value of customer success health scores, build them around the right metrics and derive solutions by understanding how those metrics impact customer lifetime value.

IDG Contributor Network: 3 leading indicator Software-as-a-Service metrics to understand where your business is heading

Network World

We all know the flagship metrics by which Software-as-a-Service businesses are gauged — Customer Acquisition Cost, Customer Lifetime Value, churn and the like.

IDG Contributor Network: 3 leading indicator Software-as-a-Service metrics to understand where your business is heading

Network World

We all know the flagship metrics by which Software-as-a-Service businesses are gauged — Customer Acquisition Cost, Customer Lifetime Value, churn and the like.

Announcing the ChartMogul PayKickstart integration

Chart Mogul

PayKickstart merchants can now connect to the ChartMogul platform for powerful insights into their recurring revenue, subscription metrics, churn and customer lifecycle data. Customer Lifetime Value (LTV).

A Peek Into Demandbase’s Data-Driven Field Marketing Approach


However, advances in technology allow for not only prospects and customers to receive personalized marketing campaigns, but also for marketers to customize their approach to an individual rep, team or region. Pipeline Value per Employee.

ChartMogul is one of the first to join new Stripe Partner Program

Chart Mogul

By joining the program, our mutual customers will now benefit from the combination of ChartMogul’s subscription revenue and customer analytics and Stripe’s seamless payments platform.

Proven SaaS Customer Success Best Practices to Increase Lifetime Value


The digital transformation of business has led to an explosion of demand for SaaS products, but the low barrier to entry and the fluidity it has afforded customers has created immense competitive pressures. SaaS Customer Success Best Practices That Work. Shared customer information.

New: Start analyzing your iTunes Connect data in ChartMogul

Chart Mogul

We’re excited to announce that our iTunes Connect integration is now available to all ChartMogul customers! This focus on user experience has led many companies to develop native apps — in addition to web-based apps — in an effort to best support customers on whichever device they prefer.

The Ultimate Guide to Creating a Customer-Centric Culture


It is a tangible presence customers can see and feel in the way you engage them, respond to them, and present the product. This way, every customer interaction is informed by as much personal information as possible. Why a Customer-Centric Culture Matters.

Solving the number-one blind spot in customer success


The promise at the heart of the SaaS business model has always been that by sacrificing relatively large one-time payments, you’d maximize revenue over the long-term lifetime of the customer. In four letters, the promise of the SaaS model is CLTV (Customer Lifetime Value). But baked into that promise is a catch: your revenue needs to actually recur in order to make servicing and supporting your customers worthwhile. The Customer Success Paradox.

Reduce your churn with a retention messaging strategy

Inside Intercom

A successful SaaS business is built on retaining your existing customers, not just acquiring new ones. Today, we’re launching The Customer Retention Starter Kit to help. It increases monetization, as the more often users return to your product, the more opportunities you’ll have to increase their lifetime value. And it increases acquisition, as the more you increase customer lifetime value, the more money there will be available to acquire more customers.

Announcing our Billforward integration!

Chart Mogul

Now BillForward customers can measure, understand, and grow their subscription business using ChartMogul's analytics. Introducing powerful analytics for Billforward customers. Customer Lifetime Value (LTV).

Excel template for cohort analyses in SaaS

The Angel VC

Cohort analyses are also essential if you operate a SaaS business and want to know how you’re doing in terms of churn, customer lifetime and customer lifetime value. Start with January 2013 and enter the number of new customers that you’ve acquired in that month.

Announcing the Vindi ChartMogul integration!

Chart Mogul

We're excited to announce our partnership with subscription billing provider Vindi - giving Vindi customers access to the full ChartMogul suite of analytics and tools for building a better subscription business. Customer Lifetime Value (LTV).

GymForLess Uses ChartMogul to Reduce Churn, Enhance Services

Chart Mogul

Since customers can cancel at any time, GymForLess knows they need to earn their business each month, which means they’re laser focused on metrics like churn, retention and customer lifetime value. Our top metrics — number of customers, passes sold — lived in Excel.”

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How to Calculate and Improve Your Customer Retention Rate


Customer retention is the lifeblood of any savvy enterprise. It’s the only way to be successful in this customer-centered economy and ensure scalable long-term revenue. To retain customers, companies must make the customer experience better and ensure customers never stop seeing value from their product or service. Your customer retention rate (CRR) indicates the percentage of customers you’ve retained within a certain length of time.

Where Up-Selling Goes Wrong

Practical Advice on SaaS marketing

It’s a winner on two counts: It boosts revenue per customer It usually lowers the cost of customer acquisition. According to one critical SaaS metric - Customer Lifetime Value/Cost of Customer Acquisition - up-selling is a formula for success.

Preparing For Acquisition - The Due Diligence Checklist

Cardin Partners

Preparing to sell your company requires a lot of work. Whether planned or unsolicited, when the time comes to ready the company for sale, you will be able to move much more quickly if your financial house is in already in order.

The 1 Critical Metric You Need To Plan Your Customer Experience Strategy

OpenView Labs

Every day, I talk with CEOs and executives at growing companies about their customer experience strategy. How much should I spend on customer experience and customer support? The short answer: It depends on your Customer Lifetime Value , or CLV.

A KPI dashboard for early-stage SaaS startups – new and improved!

The Angel VC

Needless to say a template can only be a starting point, as every SaaS startup is different and needs to build its own, customized dashboard.

Cohort Analysis: A (practical) Q&A [Guest Post]

The Angel VC

Without further ado, here it is! - - - - - - - - - - At Point Nine we believe that the only way to get a real sense of user retention and customer lifetime is doing a proper cohort analysis.

Are you data rich, but insight poor?


For a customer support org, it may be agent productivity versus customer satisfaction rating. Another example of complementary metrics is CAC (customer acquisition costs) and LTV (customer lifetime value), which balance spend and revenue.

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Reorganizing Your SaaS Startup’s Organizational Structure to Optimize the Customer Lifecycle

Tom Tunguz

Recently, I wrote about customer/revenue operations , an idea that seems to be taking hold at many different SaaS companies. Instead of optimizing the performance of each individual step of the customer lifecycle, customer operations optimizes it over the entire journey. This is a fundamental change in the way a business manages its customers, and it’s now starting to be reflected in the organizational structure of SaaS startups.

How Best to Create a B2B Customer Survey


So, even if you are working hand in glove with a client on a regular basis, the formal customer survey can be deployed to great effect, garnering answers you never thought about, and identifying pain points or positive reactions that your clients may not have revealed to you otherwise.

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5 SaaS Renewal Process Best Practices for Customer Retention


With a focus on lifetime customer success rather than on quick revenue raising, you can turn your renewal process into a celebration of an ongoing partnership. Customer retention is about the promise of continued growth. Understand your customer’s journey.

Part 1: How to Build an Effective Health Model


Today we hosted a webinar on Customer Health with our customer, iPerceptions. There has been a TON of interest in this topic which is why we’re calling it Part 1 of our Customer Health series. What is a Customer Health Model?

The Most Important Customer Success Metrics to Track and How to Improve Them


Customer success metrics are used to discover what kind of customer experience you are really delivering. You can position yourself as a customer-centered business and embrace a company-wide ethos of nurturing customer growth, but you still need to know if the product is having a practical, positive impact on a customer’s daily workflow. The goal of customer success is to generate recurring revenue by creating customer lifetime value.

SaaS and ISV strategies for user growth


Looking more at the tactical end of things but with added analytics and research data across industries, the McKinsey blog takes a look at driving growth through customer success. “A

18 essential sales KPIs: What to measure and how to track everything

Customer acquisition cost. Customer lifetime value. Pipeline value. Average purchase value. At this point, you know your lead fits your ideal customer profile , they’ve responded to your outreach, and are ready for your pitch. Pipeline value.

10 Customer Success Takeaways from INBOUND 2018


INBOUND is an industry event designed to gather Marketing, Sales, and Customer Success professionals all in one place to learn and get inspired together. Check out our top ten Customer Success takeaways from INBOUND 2018. Customer Support does not equal Customer Success.