Tom Tunguz

JANUARY 14, 2014

Most companies calculate lifetime value with this formula: monthly_revenue x 1/monthly_churn_rate. And that formula makes sense as this Snowplow presentation explains and this Wikipedia on geometric series entry shows. I’ve modeled four different types of customer retention curves below, each with the same 3.5%

Churn 124

Churn Customer Lifetime Value Startup Acquisition 124

Baremetrics

APRIL 13, 2020

Being a Subscription Video On Demand (SVoD) service, subscribers are the lifeblood of our business. Therefore, any sharp spike in churn (cancelled subscriptions) can be catastrophic to us. Within this, we were able to pinpoint the three biggest metrics that we needed to monitor when dealing with customer churn.

Payment Features 99

Payment Features Subscription Data Software Review 99

Baremetrics

OCTOBER 9, 2021

Baremetrics monitors subscription revenue for businesses that bring in revenue through subscription-based services. Baremetrics can integrate directly with your payment gateway, such as Stripe, and pull information about your customers and their behavior into a crystal-clear dashboard. Try Baremetrics free.

Payment Services 98

Payment Services SaaS Payments Payment Methods Payments 98

Blulogix

MARCH 20, 2024

By BluLogix Team Mastering the Art of Complex B2B Recurring and Subscription Billing: Understanding the Renewal Process in B2B Subscriptions In the competitive landscape of B2B subscriptions, the renewal process is a critical moment of truth.

Payment Features 52

Payment Features B2B Subscription Customer Lifetime Value 52

Baremetrics

AUGUST 23, 2021

It acts as a product launch blueprint for your business, enabling you to reach customers and sell your product more effectively. Leading SaaS and subscription businesses rely on Baremetrics to track the success of product launches, essential business metrics, and more. SaaS businesses rely on recurring revenue.

Strategy 104

Strategy Scale Software Review Payment Features 104

Baremetrics

AUGUST 28, 2021

How people typically measure LTV Why measuring LTV with customer churn rate and revenue churn rate is important Use gross profit, not revenue Negative churn and your LTV—what it means and why it is a problem The better way to measure LTV. gross margin and customer lifetime as 1/customer churn rate. gross profit.

Customer Lifetime Value 104

Customer Lifetime Value Churn Outsourced Development Scale 104

Chart Mogul

JANUARY 9, 2025

A demo should help your customer reimagine their reality. Here you present how their approach to work might change by implementing your solution. Keep in mind: a sales demo is more than just a sales presentation; its also another step in the ongoing qualification process.

Scale 52

Scale Sales Hiring Startup Sales Recruiting 52

Practical Advice on SaaS marketing

JUNE 13, 2015

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. Not right now, thank you.

Customer Lifetime Value 100

Customer Lifetime Value Acquisition Payment Features Subscription 100

Buffer Resources

OCTOBER 28, 2024

It has built-in monetization options, including paid subscriptions and an ad network. Custom websites host your content, creating a hub for your newsletter. Frase's monthly subscription option allows me to pay only when I need it, which has saved me over $100 this year compared to annual subscriptions for similar tools.

Social Media 105

Social Media AI Search Marketing Business 105

User Pilot

JULY 26, 2022

Customer retention is a SaaS metric that measures the ability of a product to retain customers over a long timeframe. In this way, you can measure the total value these customers deliver to you over a period of time. As a rule of thumb, the higher your customer retention rate, the more profits you’ll realize.

Retention 98

Retention Metrics Customer Lifetime Value Churn 98

ChurnZero

OCTOBER 5, 2021

No worries if you weren’t able to attend (or even if you did and are looking for a recap), we have pulled together our top ten Customer Success takeaways from SaaStr Annual 2021 that we wanted to share with you here. Are your compensation plans setting your business up for longer-term success or subscription contraction?

Customer Success 95

Customer Success Scale Customer Lifetime Value Compensation 95

ProfitWell

SEPTEMBER 27, 2019

Over her more than twenty-year career, Amy Konary has become an expert within the SaaS subscription space. She saw the importance of the subscription economy since her time as an industry analyst for IBC, running the practice on SaaS there for 19 years. The modern subscription economy is different than the software industry of old.

Payment Features 61

Payment Features Subscription Business Innovation 61

User Pilot

SEPTEMBER 28, 2022

The 10 key product management KPIs and metrics are Customer Acquisition Cost, Trial to Paid Conversion Rate, Customer Lifetime Value, Customer Satisfaction Score, Daily Active Users/Monthly Active Users, Feature Adoption Rate, Monthly Recurring Revenue, Net Promoter Score , Customer Retention Rate , and Customer Churn Rate.

Metrics 96

Metrics Management Customer Lifetime Value Strategy 96

Stax

APRIL 17, 2025

Whether you’re a startup with a freemium model or an enterprise SaaS subscription, upselling and cross selling can drive lasting growth by enhancing customer satisfaction and increasing customer lifetime value. Lets say your customer has been using your billing software to send out invoices.

Payments 88

Payments Merchant Services SaaS Payments Payment Services 88

User Pilot

APRIL 16, 2024

TL;DR A product experience strategy is a set of tactics focused on enhancing user interaction with the product to improve satisfaction, retention , and value. The ultimate goal is to enhance customer satisfaction, retention, and lifetime value by overdelivering on customer expectations.

Strategy 105

Strategy Customer Lifetime Value Onboarding User Experience 105

User Pilot

APRIL 8, 2024

Free trials and freemium enable the users to explore the product and experience its value to convert them into paying customers. The self-service model enables users to buy (or cancel) the subscription, implement the product, learn how to use it, and access support without talking to customer services teams.

Strategy 100

Strategy Business SaaS Customer Lifetime Value 100

User Pilot

DECEMBER 20, 2022

Key retention stage KPIs are customer retention rate, customer lifetime value , customer satisfaction score, and customer churn rate. As the SaaS model is subscription-based, it’s heavily reliant on customer retention. This stage is about meeting and even exceeding customer expectations.

Scale 98

Scale Software Review Customer Lifetime Value Marketing 98

User Pilot

JULY 17, 2024

These user persona templates help streamline the persona creation process, providing structured formats to capture key details: Miro template : Designed for interactive team collaboration with sections for actions, motivations, pains, values, and context. She also focuses on improving conversion rates and increasing customer lifetime value.

Technical Review 105

Technical Review Software Review Market Research Interviewing 105

User Pilot

JANUARY 3, 2023

Monthly recurring revenue. Customer lifetime value. Best tools for automating customer retention: Userpilot , Mixpanel, Tolstoy. What is customer retention? Customer retention is a company’s ability to keep existing customers for as long as possible. Contextual upselling from Asana.

Retention 98

Retention Customer Lifetime Value SaaS Scale 98

User Pilot

MAY 30, 2025

” So someone switching from urgent Slack messages to your app isn’t fully present yet. If you want to make the most of this fragmented, disconnected customer journey, you want to understand every single touchpoint and visualize the journey to identify the story behind it. Subscriptions? What directly drives revenue?

Payment Solutions 104

Payment Solutions Mobile Payments Payment Methods 104

User Pilot

JANUARY 26, 2023

There are ten metrics you can use to measure customer loyalty. This means that the lower your churn rate, the better your customer loyalty is. Customer churn rate formula. Customer retention rate Customer retention is a company’s ability to keep doing business with customers continuously.

SaaS Payments 98

SaaS Payments Payment Solutions Metrics Payment Methods 98

Subscription Flow

MAY 30, 2024

Do you know the subscription economy is touted to reach $1.5 As a business that provides software as a service, you will not only need to jump on this bandwagon, but more importantly, you will need the right set of subscription management tools to stay on it to keep reaping the profits of this booming industry. trillion by 2025 ?

Merchant Services 52

Merchant Services Payment Solutions Payment Services SaaS Payments 52

User Pilot

AUGUST 30, 2024

This level of personalization enhances user engagement and customer satisfaction, increasing the likelihood of user retention. For example, segmenting users of a project management tool based on their roles allows the app to present relevant features tailored to each role.

Strategy 101

Strategy Social Media Payment Features Engagement 101

Chart Mogul

OCTOBER 3, 2019

This sounds complicated — how do you figure out and track whether each customer is profitable when you’re dealing with hundreds (even thousands) of leads and prospects on a daily basis? What is the Customer Acquisition Cost? We’ll ignore the different customers/LTV each might produce for now.). Simple vs. Fully-Loaded CAC.

Acquisition 91

Acquisition Underperforming Technical Team Startup Customer Lifetime Value 91

User Pilot

JULY 22, 2023

Customer behavior data encompasses all customer interactions with your product from the beginning of the customer journey. These interactions can include activities like engaging with the onboarding checklist , clicking on different elements, hovering over specific features, and canceling a subscription.

Customer Lifetime Value 98

Customer Lifetime Value Software Review Underperforming Technical Team Trends 98

User Pilot

NOVEMBER 27, 2023

TL;DR While churn rate vs retention rate measures two different aspects of the customer journey, the goal for both is the same: to routinely track and improve them. The churn rate refers to the percentage of customers discontinuing their subscriptions during a given time period. Then subtract the two to get net revenue lost.

Churn 102

Churn Retention Benchmarks Customer Lifetime Value 102

User Pilot

AUGUST 31, 2023

Acquisition is a multifaceted process encompassing every stage of the customer journey, from initial awareness of potential customers to them becoming paying users. What is the purpose of customer acquisition in SaaS? The purpose of customer acquisition is to help companies expand and make more revenue.

Acquisition 110

Acquisition SaaS Payments Payment Methods Metrics 110

User Pilot

JULY 14, 2024

Benefits of a customer segmentation analysis include: – Building tailored user experiences. – Increasing user loyalty and customer lifetime value. Follow these steps to conduct a customer segmentation analysis: Determine your goals and customer segmentation strategy. Spot loyal customers.

Software Review 109

Software Review Underperforming Technical Team Customer Lifetime Value User Experience 109

User Pilot

AUGUST 14, 2023

The 6 key growth marketing metrics are customer acquisition cost, conversion rate , activation rate , product adoption rate , customer lifetime value , and retention rate. Get a Userpilot demo to execute the most effective growth marketing strategies, drive users across the customer journey, and boost business growth.

Growth Marketing 98

Growth Marketing SaaS Payments Strategy Payment Methods 98

Blulogix

JANUARY 24, 2024

How to Evaluate the Total Cost of Ownership (TCO) of a Robust Subscription Billing Platform By BluLogix Team When selecting a subscription billing platform , it’s important to consider more than just the upfront cost. Take your business further with BluIQ’s flexible, scalable, enterprise-grade intelligent billing solutions.

Payment Features 52

Payment Features Subscription Systems Review Customer Lifetime Value 52

OPEXEngine

MARCH 8, 2022

SaaS firms, in particular, have revenue recognition, subscription billing, and SaaS and GAAP investor reporting needs that require specialized functionality in their financial management systems. Here are 4 reasons why your SaaS business needs a tech stack built for the subscription-based business model. Native general ledger.

Payment Features 52

Payment Features Subscription Startup Scale 52

Baremetrics

OCTOBER 18, 2021

Baremetrics can calculate MRR for Shopify Partner Apps One of the most important metrics is monthly recurring revenue ( MRR ). MRR is the amount of money you bring in monthly from subscriptions. This complication can only increase when your customers tend to change pricing tiers, purchase add-ons, or you implement usage-based pricing.

Outsourced Development 98

Outsourced Development Underperforming Technical Team Churn Systems Review 98

User Pilot

JUNE 8, 2023

In addition to increasing customer satisfaction and reducing customer churn , customer journey analytics helps teams boost customer lifetime value. The first step of customer journey analysis involves mapping out all the stages, actions, milestones, and touchpoints for each user persona.

Underperforming Technical Team 97

Underperforming Technical Team Customer Lifetime Value SaaS Software Review 97

Baremetrics

OCTOBER 8, 2021

Churn can be calculated in two ways, namely customer churn and revenue churn , and there are good reasons to calculate both. When you use Stripe, it can be hard to calculate customer churn as well as many other metrics on their limited analytics dashboard. 1 What is customer churn? 2 What causes customer churn?

Payment Services 98

Payment Services Churn Merchant Services SaaS Payments 98

User Pilot

JANUARY 31, 2022

Increasing your customer lifetime value and LTV:CAC ratio. Boost customer lifetime value (LTV). When you deliver a steady stream of value-packed notifications, you’ll be able to keep the user’s attention longer and reduce the odds of them churning towards a competitor.

Payment Solutions 98

Payment Solutions SaaS Payments Customer Lifetime Value Payment Methods 98

Point Nine Land

NOVEMBER 10, 2020

If you’re an early-stage SaaS startup, still in the process of getting to Product/Market Fit, or doing your first experiments to attract and convert leads, you shouldn’t worry too much about customer lifetime value (LTV or CLTV) and related metrics. 3) NPV = Net Present Value. a reduction of) your CACs. (3)

Outsourced Development 97

Outsourced Development Customer Lifetime Value Churn Forecasting 97

User Pilot

APRIL 30, 2024

A robust customer success strategy enables customers to get the most out of the product. For example, personalized onboarding reduces time to value. To measure the value you deliver, create a system of relevant value metrics, like NPS or Customer Lifetime Value (CLV).

Strategy 105

Strategy SaaS Customer Lifetime Value Education 105