Kellblog

MARCH 29, 2023

Just a quick post to share the slides from the presentation I gave today at the KiwiSaaS conference to discuss the SaaS metrics that matter in 2023 and 2024. This includes an explanation of why I excluded (what I view as old school) churn, lifetime value (LTV) and LTV/CAC analysis from those metrics.

Metrics 121

Metrics Compensation Benchmarks Interviewing 121

Sage Intacct

JUNE 23, 2022

If you’re the CFO of a subscription billing company, you want to bring clarity to decisions, understand where to invest, and track cash-flow and SaaS metrics, in the chaos of dynamic, competitive markets.

Metrics 119

Metrics Software Subscription Payment Features 119

Clouded Judgement

MAY 17, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 152

Cloud Subscription Payment Features Metrics 152

Clouded Judgement

MARCH 1, 2024

” I heard that a lot in 2021, and unfortunately not many call options hit… It’s hard to invest at 100x ARR and exit at 10x and make a return VCs aim for. Update on Q4 Earnings One metric I love tracking in net new ARR added in a quarter. I created this subset to show companies where FCF is a relevant valuation metric.

Cloud 311

Cloud AI Investment Metrics 311

Subscription Flow

DECEMBER 28, 2023

There are many people who have amazing SaaS business ideas, however, they do not have enough money to invest so that their ideas can be materialized. Here, in this article, we are going to jot down the SaaS financial metrics that investors look into before giving you funding for your project or business idea. What should be done?

Metrics 52

Metrics SaaS Finance Acquisition 52

Blulogix

JANUARY 23, 2024

The ROI of Your Subscription Billing Platform By BluLogix Team Selecting a powerful subscription billing platform is a strategic move with the potential to revolutionize your business operations and yield considerable returns on investment (ROI). Why Choose BluIQ by BluLogix?

Payment Features 52

Payment Features Payment Services Payments Subscription 52

Tom Tunguz

APRIL 1, 2024

y/y, estimated sales efficiency is 0.11, & contribution margins are negative : Rubrik sells $1 of subscription software for $0.88. It’s a strategic imperative to metamorphose from an on-premises perpetual-license company to a subscription-software company as fast as possible. But overall revenue is growing 4.5%

Data 189

Data Subscription Payment Features Cloud 189

Blulogix

JANUARY 23, 2024

What is the ROI of a Subscription Billing Platform? By BluLogix Team Selecting a powerful subscription billing platform is a strategic move with the potential to revolutionize your business operations and yield considerable returns on investment (ROI). Why Choose BluIQ by BluLogix?

Payment Features 52

Payment Features Payment Services Payments Subscription 52

Clouded Judgement

APRIL 19, 2024

There is some noise in the revenue growth figures as the company transitions from selling perpetual licenses to to recurring subscriptions, and as they convert maintenance customers to subscription customers (they do this as maintenance contracts come up for renewal, so the transition happens gradually).

Cloud 141

Cloud Scale Subscription Payment Features 141

Clouded Judgement

MAY 3, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cost optimization & reporting 183

Cost optimization & reporting Cloud Software Azure 183

Kellblog

OCTOBER 30, 2022

Unlike Meritech Public Comps , where you can see metrics for the best [1], public SaaS companies, this private company data is somewhat harder to come by (the only other source that springs to mind is RevOps Squared ) and, for most of us, it provides much more realistic comparables than Meritech [2]. Free cashflow (FCF) margin of -5%.

Metrics 134

Metrics SaaS Benchmarks Churn 134

Subscription Flow

DECEMBER 15, 2023

The essence of the Subscription Economy lies in its ability to forge lasting relationships between businesses and consumers, transcending traditional transactional models. For instance, subscription businesses observe customer retention rates, customer acquisition, and whatnot.

Subscription 59

Subscription Payment Features Healthcare Technical Review 59

Clouded Judgement

APRIL 26, 2024

The full quote is below: “We expect capital expenditures to increase materially on a sequential basis driven by cloud and AI infrastructure investments. We continue to bring capacity online as we scale our AI investments with growing demand. I created this subset to show companies where FCF is a relevant valuation metric.

Azure 177

Azure Cloud Software AI 177

Baremetrics

SEPTEMBER 26, 2021

There might not be an industry more addicted to its metrics than SaaS, and there is good reason for it. But how many SaaS financial metrics are you really tracking? Baremetrics gives you all the key metrics for your business, including MRR, ARR, LTV, total customers, and more. What are metrics? What are metrics?

Metrics 95

Metrics SaaS Payments SaaS Customer Lifetime Value 95

SaaStr

APRIL 17, 2024

They’re still transitioning from onprem / appliciance model to cloud, which makes some of the metrics a touch confusing. But they are ar $780,000,000+ in ARR, with an 86 NPS and strong revenue growth at 29% overall and 49% in subscriptions (yes, it’s confusing). But it’s decided to keep investing heavily in growth.

Scale 238

Scale Pricing Scaling Cloud 238

Clouded Judgement

MAY 10, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 161

Cloud Software GCP(Google Cloud Platform) Azure 161

Clouded Judgement

DECEMBER 1, 2023

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

AWS 293

AWS Cloud AI Search Cost optimization & reporting 293

Blulogix

MARCH 15, 2024

By BluLogix Team Mastering the Art of Complex B2B Recurring and Subscription Billing: Achieving End-to-End Automation In the competitive arena of B2B subscription s , the quest for operational excellence is unending. Take your business further with BluIQ’s flexible, scalable, enterprise-grade intelligent billing solutions.

Payment Features 59

Payment Features Payment Services Subscription Payments 59

Clouded Judgement

MARCH 15, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 161

Cloud Software Review Subscription Payment Features 161

Clouded Judgement

JANUARY 26, 2024

Net new ARR is something I track very closely for all of the private companies I work with, and it’s also an important metric to look at in public companies. Many public software companies don’t report ARR, so I’ll take the quarterly subscription revenue and multiply it by 4 to approximate ARR.

Cloud 161

Cloud Marketplace as a Service AI Subscription 161

Clouded Judgement

APRIL 11, 2024

Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g., This metric is more self-explanatory, so I won’t go into detail.

Cloud 177

Cloud Software Azure AWS 177

Payrix

MAY 14, 2024

Before joining Worldpay for Platforms, he was CRO at Chargebee, a subscription revenue management platform that manages billing subscriptions and payments for companies throughout the world. What metrics are used to demonstrate a software company’s strength and success? They’re moving to a subscription-based model.

Payments 147

Payments Payment Services Payment Solutions SaaS Payments 147

Blulogix

JANUARY 5, 2024

Key Definitions in Subscription Billing: Demystifying the Jargon By BluLogix Team Welcome to the fourth installment of our comprehensive guide on selecting the right subscription billing platform. Before we go much further, let’s go deep into essential definitions and concepts in the world of subscription billing.

Subscription 52

Subscription Payment Features Payment Services Payments 52

Blulogix

DECEMBER 14, 2023

Demystifying UBP: Models and Metrics – A Deep Dive into Your Pricing Playground By BluLogix Team Welcome, B2B pioneers, to the playground of UBP models and metrics! Subscription Billing 1.  Don’t get lost in a sea of metrics! Fear not, intrepid explorers!  Striking this balance is key.

Pricing 52

Pricing Metrics Subscription Payment Features 52

User Pilot

MAY 21, 2024

Additionally, the annual churn rate is a critical metric that quantifies the percentage of customers lost over a year, offering insights into long-term customer satisfaction and loyalty. It’s a key metric for assessing customer satisfaction and retention. Understanding why customers churn is crucial for retention strategies.

Churn 52

Churn Retention Software Review Metrics 52

The Angel VC

JANUARY 15, 2015

We’re thrilled about the investment. The decision to invest in ChartMogul , which has developed an analytics solution for subscription businesses, was a very easy one. Here’s why: 1) ChartMogul was founded by Nick Franklin, an early Zendesk employee. ChartMogul is solving that pain.

Investment 169

Investment Subscription Payment Features Metrics 169

Baremetrics

NOVEMBER 2, 2021

To get the most out of the time and money invested into their apps, Shopify App Developers need to track the core metrics of their industry. What is a business metric? Why you need to track business metrics for Shopify App Developers 10 business metrics for Shopify App Developers 1. What is a business metric?

Payment Solutions 98

Payment Solutions Outsourced Development Underperforming Technical Team Metrics 98

Clouded Judgement

DECEMBER 29, 2023

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 189

Cloud Software Review Subscription Payment Features 189

ChurnZero

FEBRUARY 14, 2023

Some Customer Success metrics are considered standard but there’s often more than meets the eye. Sales and marketing professionals that geek out on metrics can find themselves in deep philosophical debates about the best numbers to track. There is often more than one way to calculate a given Customer Success metric; Gaming.

Customer Success 94

Customer Success Metrics Software Review Customer Lifetime Value 94

Baremetrics

MARCH 31, 2021

SaaS and subscription companies like yours need to collect and manage recurring payments at scale. All the data your startup needs Collecting payments is just one step of effective subscription management. However, you might find these analytics limited and want to invest in a more dynamic solution. It's the No.1 Square Fees: 3.5

Merchant Services 98

Merchant Services SaaS Payments Payment Services Payment Features 98

Baremetrics

MARCH 16, 2021

Subscription billing is a payment structure that allows service providers to charge their clients based on a fixed timeframe. This article will help you with everything you need to know about subscription billing and subscription billing solutions. 1 What Does Subscription Billing Mean? Table of Contents.

SaaS Payments 103

SaaS Payments Payment Features Payment Solutions Merchant Services 103

OPEXEngine

MAY 18, 2021

In this blog, we are looking at the business metrics that can be measured quantitatively and providing a few insights on how investors analyze them. We’ve talked to dozens of our SaaS customers, as well as investors to learn more about what is happening with these key metrics. SaaS Metric #1 – Annual Recurring Revenue (ARR).

SaaS Payments 98

SaaS Payments Metrics Payments Payment Services 98

Clouded Judgement

NOVEMBER 24, 2023

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 161

Cloud Subscription Payment Features Metrics 161

Clouded Judgement

APRIL 12, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 141

Cloud Subscription Payment Features Revenue 141

Clouded Judgement

DECEMBER 22, 2023

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 177

Cloud Subscription Payment Features Metrics 177

Blulogix

FEBRUARY 17, 2024

The Art of Flexibility: How to Master Dynamic Pricing Models in Subscription Billing By BluLogix Team Adapting to the Pulse of the Market for Maximized Revenue In today’s rapidly evolving digital marketplace, static pricing models are becoming a relic of the past.

Subscription 52

Subscription Payment Features Pricing Marketplace as a Service 52

Clouded Judgement

MARCH 8, 2024

Given most software companies are not profitable, or not generating meaningful FCF, it’s the only metric to compare the entire industry against. I created this subset to show companies where FCF is a relevant valuation metric. Companies that do not disclose subscription rev have been left out of the analysis and are listed as NA.

Cloud 161

Cloud Revenue Subscription Payment Features 161