November, 2015

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The problem with month-over-month growth rates

The Angel VC

Most fundraising decks contain a slide with a chart that looks roughly like this: Chart #1 Or this: Chart #2 I’ve also seen charts that look like this: Chart #3 Or this: Chart #4 Chart #3 and #4 are good for a LOL (or a “WTF!”, depending on your sense of humour), and fortunately we’re not getting too many of these (if you don’t know what I’m talking about, take another look at the charts).

Startup 192
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The Three Questions to Ask When Hiring Your Startup's Head of Sales

Tom Tunguz

Mark Roberge, the Chief Revenue Officer at Hubspot, has spent 20 years in startups. As he told me a few days ago, he has observed the lack of sales management and sales execution skills as one of the most consistent deficiencies limiting the potential of early stage SaaS companies. Sales execution deficiency manifests itself at roughly the same time as product market fit.

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As markets mature, marketing gets tougher

Practical Advice on SaaS marketing

You’d think that as markets became more mature and people already understood what your solution does, it would be easier to promote and sell. Not exactly. It's true that you don’t need to do as much missionary work, educating prospective customers on the basics. Most of them have read enough or seen enough from others in their industry to know what your kind of solution can do.

Marketing 113
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Achieving SaaS Customer Alignment | Ebook

Chaotic Flow

When your SaaS business is well aligned, your SaaS customers consistently take positive actions that lead to positive business outcomes: they try, they buy, they upgrade and they refer you to a friend. When you are poorly aligned, your SaaS customers consistently take negative actions that lead to negative business outcomes: they bounce, they negotiate, they complain, and they churn.

SaaS 112
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Beyond the Basics of A/B Tests: Highly Innovative Experimentation Tactics You Need to Know

Speaker: Timothy Chan, PhD., Head of Data Science

Are you ready to move beyond the basics and take a deep dive into the cutting-edge techniques that are reshaping the landscape of experimentation? 🌐 From Sequential Testing to Multi-Armed Bandits, Switchback Experiments to Stratified Sampling, Timothy Chan, Data Science Lead, is here to unravel the mysteries of these powerful methodologies that are revolutionizing how we approach testing.

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Integration: Build a list of prospects with LeadFuze

CloseSaaS

We're happy to announce a new integration for our sales CRM, this time with LeadFuze. LeadFuze is B2B lead generation software that allows you to search for prospects and automatically find their emails, domains, and social media profiles.

More Trending

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Do Fewer Things, Better

OnStartups

I'm going to tell you a secret. I have a very simple, 4-word strategic plan (devised it a few years ago). Here it is. Do fewer things, better. This has made my life -- and my work, dramatically better. Here's how I execute on my strategic plan: 1. Decide on what matters the most. 2. Say no to everything else. 3. When something falls in the gray area, re-read #2.

Startup 40
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How Much Cash Should Your SaaS Startup Burn?

Tom Tunguz

As the temperament of the fundraising market shifts, particularly in the later stages, the question of how much a startup should burn will become increasingly important. We’re living in a historic period of very inexpensive venture capital. These cheap dollars have fueled spectacular companies with record-setting growth rates. In such an environment, growth at almost any cost is handsomely rewarded.

Startup 108
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Why You Need a Disclaimer In Your SaaS Agreement?

Aber Law Firm

I have always thought that disclaimers were good things to add to SaaS agreements, but this very recent case demonstrates that they really can make a difference in a legal dispute. By the way, a disclaimer is a statement regarding things you are not liable for. Example , if you provide a medical software service, it is a good idea to state that you are not providing medical advice, and that the doctors are solely responsible for providing medical advice.

SaaS 52
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What is the Optimal Quick Ratio for Your SaaS Startup?

Tom Tunguz

What is the optimal quick ratio for your SaaS startup? Is it 4? Quick Ratio = (New MRR + Expansion MRR) /. (Churned MRR + Contraction MRR). The quick ratio measures a SaaS company’s growth efficiency. The formula for quick ratio is above. It’s the new monthly recurring revenue (MRR) in a month plus the expansion MRR divided by the sum of the churned MRR and the contraction MRR.

Startup 108
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How Investors & Strategic Buyers Evaluate Integrated Payment Strategies

Explore how integrated payment strategies impact investor and buyer evaluations. Payments are more than a feature — they’re a key to long-term success and market differentiation. They help SaaS companies offer seamless user experiences and efficient operations. Investors and strategic buyers assess these integrated payment strategies as a measure of a company's growth potential and sustainability.

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The Next Major Technology to Shape SaaS

Tom Tunguz

Last week, a friend asked me what I thought the future of software would be. At some point, all the workflow processes that still conducted on paper and pencil will be digitized, all of the tasks completed in Excel will be optimized, and the majority of limitations of traditional software will be overcome. It’s not to say that software innovation in its current form will continue to exist for decades, but what is the fundamental shift that resets the ecosystem like the cloud did in the ear

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4 Lessons For SaaS Startups From Optimizely's Early Days

Tom Tunguz

Last night, SaaS Office Hours hosted Optimizely co-founder and CTO Pete Koomen. Pete was a Google Associate Product Manager for AdSense and launched Google App Engine. Then he joined his co-founder, Dan Siroker, also an APM at Google to found three companies, the last of which is Optimizely. As Pete shared with us, the idea of Optimizely was borne from a need Dan saw when managing the teams to build Obama’s fundraising websites during his first campaign.

CTO Coach 101
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The Tech Press Cycle and Unicorns

Tom Tunguz

Just 25 months ago, Aileen Lee coined the term unicorn in her post Welcome to the Unicorn Club and last week the Economist declared these Unicorns “ Gored.” Over the span of those two years, the Unicorn press cycle has swung from euphoric apotheosis to bleak nadir. The rise and fall of unicorns in the press isn’t a unique phenomenon.

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The Biggest Buyers of Software Companies in 2016

Tom Tunguz

In 2015, startups benefitted from a vibrant fund raising market. In 2016, I believe they will enjoy a very active acquisition environment. The roughly 60 or so publicly traded software companies hold more than $380B in cash and short term investments on their balance sheets. Though Microsoft, Google, Cisco and Oracle possess 75% of that cash, 14 other companies have cash reserves of greater than $500M.

Software 100
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The Big Payoff of Application Analytics

Outdated or absent analytics won’t cut it in today’s data-driven applications – not for your end users, your development team, or your business. That’s what drove the five companies in this e-book to change their approach to analytics. Download this e-book to learn about the unique problems each company faced and how they achieved huge returns beyond expectation by embedding analytics into applications.

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Startup Best Practices 20 - Managing Oneself

Tom Tunguz

It’s the end of the year, time for performance reviews, self-reflection, and planning for next year. In addition to preparing our goals for our teams and our businesses, we should prepare goals for ourselves. Oftentimes, it’s easy to let the company’s ambitions drive our OKRs. But there’s something more to consider. In 1999, Peter Drucker, the greatest management thinker of the twentieth century, wrote short book called Managing Oneself.

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SaaS Office Hours with Maia Josebachvilli on Strategic and Tactical Recruiting Metrics

Tom Tunguz

On December 2, SaaS Office Hours at Redpoint will welcome Maia Josebachvilli , VP of Strategy and People at Greenhouse, a fast growing recruiting software company. Before Greenhouse, Maia founded Urban Escapes, a DC-based startup she sold to LivingSocial. Maia is especially well known for her thought leadership in developing best in class recruiting metrics.

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2015 Software Startup IPOs and M&A - What Does the Data Imply for 2016?

Tom Tunguz

In the last 22 months, there have been 4 $1B+ software IPOs and 3 $1B+ software acquisitions. But compared to 2014, 2015 was a meager year for startups looking to go public or be acquired. The chart above plots the M&A activity over this period. The M&A market halved in activity. In 2014, $11B of disclosed M&A occurred. I’m excluding take-private transactions of public companies like SAP/Concur, Bain/BlueCoat, Oracle/Responsys, etc.

Startup 100
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SaaS Office Hours at Redpoint with Pete Koomen

Tom Tunguz

On November 18, SaaS Office Hours at Redpoint will welcome Pete Koomen, Co-Founder and CTO of Optimizely, the incredibly fast growing AB testing and personalization company Pete founded with Dan Siroker. Numbering more than 400 people, Optimizely has built an amazing business since 2009, serving thousands of customers. Before Optimizely, Pete was a product manager at Google building Google App Engine which grew to support 150,000 developers.

CTO 100
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Driving Growth, Customer Satisfaction, and Retention through Usage-Based Pricing

As companies strive to boost revenue, deliver customer value, and stay competitive, they are increasingly embracing the potential of usage-based pricing.

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4 dumb sales mistakes that smart people make

CloseSaaS

When you make mistakes in sales, your propsects likely won't tell you. Instead, they'll let their money do the talking—and close the deal with a competitor. You don't want this to happen and neither do we.

Sales 52
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B2B cold emailing [FREE 1 hour crash course]

CloseSaaS

Want to learn how to fill your sales pipeline with qualified B2B leads, set appointments and close deals? Here's the full recording of our 1 hour B2B cold email course—Steli shares some of his best tips and strategies on using emails to make sales.

B2B 52
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31 sales motivation quotes for 31 days of October

CloseSaaS

In case you’ve missed them or are in serious need of sales motivation quotes, here are all 31 videos we published this month. Theoretically, since each video is less than a minute long, you could watch them in half an hour. Although we can’t guarantee what will happen to you if you do!

Sales 52
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Should you move from self-serve to sales-supported SaaS?

CloseSaaS

You’ve got a great self-serve SaaS product. You have leads coming through your funnel, signing up for a trial and upgrading—without you having to lift a finger.

SaaS 52
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Addressing Top Enterprise Challenges in Generative AI with DataRobot

The buzz around generative AI shows no sign of abating in the foreseeable future. Enterprise interest in the technology is high, and the market is expected to gain momentum as organizations move from prototypes to actual project deployments. Ultimately, the market will demand an extensive ecosystem, and tools will need to streamline data and model utilization and management across multiple environments.

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Enterprise sales: How to deal with "lazy" stakeholders

CloseSaaS

Your software product is up for renewal. You know it’s a great fit for the company, but the administrator responsible for your software seems uninspired.

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3 ways to nurse lost trial leads into activation

CloseSaaS

Like most SaaS businesses, you offer a free trial for your product. Through the trial, you've done your best to drive customer engagement.

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New Research: Black Friday Shoppers Kinda Suck – But You Can Fix It

ReSci

There’s been a lot of buzz this year about the Black Friday-to-Cyber Monday shopping weekend in the past few months, running the gamut from public backlash against Thanksgiving Creep to eCommerce giants like Amazon dropping all pretenses…. The post New Research: Black Friday Shoppers Kinda Suck – But You Can Fix It appeared first on ReSci.

40
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Do Fewer Things, Better

OnStartups

I'm going to tell you a secret. I have a very simple, 4-word strategic plan (devised it a few years ago). Here it is. Do fewer things, better. This has made my life -- and my work, dramatically better. Here's how I execute on my strategic plan: 1. Decide on what matters the most. 2. Say no to everything else. 3. When something falls in the gray area, re-read #2.

Startup 40
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From Whims to Wins: How a Customer-Centric Portfolio Transforms Product Strategy

Speaker: John Mansour - President, Product Management University

You know that sinking feeling. You’ve come up with a winning product strategy, everyone’s on board and energized, and you’re halfway down the path to execution only to have it submarined by something someone convinced your leadership was more strategic! It’s a scenario that’s all too familiar, and it exemplifies one of the biggest struggles with individual product strategies.

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Don’t let your holiday customers go cold after the season: Webinar Recap

ReSci

Customers start churning the moment you acquire them, and after the holidays they churn even faster -- 274% faster according to our latest research. Holding onto these customers you work so hard to acquire was the basis of our latest webinar, The post Don’t let your holiday customers go cold after the season: Webinar Recap appeared first on ReSci.

Churn 40
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3 ways to keep your customers engaged during the holidays

ReSci

We’re a little more than a week away from Black Friday, but many retailers have already begun pushing holiday promotions as early as November 1st. This Thanksgiving creep is most likely because of last…. The post 3 ways to keep your customers engaged during the holidays appeared first on ReSci.

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Retention Metrics Explained: Lead Scoring, Pt. 2 [RS Labs]

ReSci

62% of customers churn immediately after signup, which means once these customers go through the registration process they will not make a purchase. The data science team at Retention Science uses Welcome Purchase Probability to help sort out the good customers from the bad so marketers…. The post Retention Metrics Explained: Lead Scoring, Pt. 2 [RS Labs] appeared first on ReSci.