Clouded Judgement

APRIL 11, 2024

net retention and CAC payback). This has all resulted in the median stock price declining 5% YTD. In simpler terms — if you had 10 customers 1 year ago that were paying you $1M in aggregate annual recurring revenue, and today they are paying you $1.1M, your net revenue retention would be 110%.

Cloud 177

Cloud Software Azure AWS 177

SaaStr

MARCH 27, 2024

ACV Basically Flat at $11,365 This is likely a “macro” impact as well in part — as well as the fact that HubSpot continues to invest in its smaller starter customers. Despite raising prices and selling more products, HubSpot ACV is basically flat at $11,365. And a few other interesting learnings: #6.

Scale 232

Scale Cloud Scaling Pricing 232

User Pilot

JANUARY 9, 2023

Can personalized retention marketing grow your customer’s lifetime value and customer retention rate? This article considers all you need to know about retention marketing. How can a personalized experience help drive retention? What personalized customer retention strategies are open to you?

Customer Lifetime Value 97

Customer Lifetime Value Retention Marketing Scale 97

Clouded Judgement

MARCH 22, 2024

Enterprise software businesses strive for 90-95% gross retention (generally the percent of revenue that sticks with you vs churns altogether), with net expansion in the 120%+ range (the aggregate change in expansion - contraction - churned revenue). Namely, retention!! For “fake” ARR, retention can vary wildly.

AI 183

AI Revenue Cloud Technical Advisors 183

Sixteen Ventures

AUGUST 14, 2022

The people in charge of your company – the Executives, Board, and Investors – want to improve a metric called NRR (Net Revenue Retention or NDR, Net Dollar Retention, if you prefer) for one very simple reason: it plays a direct role in the value of the company. Why they’re investing in you. Let me explain.

Customer Success 97

Customer Success Investment Sales Hiring Retention 97

Clouded Judgement

APRIL 19, 2024

Subscribe now Rubrik IPO Update This week Rubrik launched their IPO with an initial pricing range of $28 - $31 / share. The table below lays out a few stats at different share prices. I’ll update this table if / when they update the pricing range. Altimeter is an investment adviser registered with the U.S.

Cloud 141

Cloud Scale Subscription Payment Features 141

Blulogix

MARCH 21, 2024

By BluLogix Team Mastering the Art of Complex B2B Recurring and Subscription Billing: Elevating Customer Retention in B2B Subscriptions For B2B subscriptions, customer retention is a pivotal factor underpinning the long-term success and sustainability of businesses.

B2B 52

B2B Subscription Payment Features Retention 52

Clouded Judgement

MARCH 29, 2024

This is for information purposes and should not be construed as an investment recommendation. Altimeter is an investment adviser registered with the U.S. Revenue multiples are a shorthand valuation framework. The information provided is believed to be from reliable sources but no liability is accepted for any inaccuracies.

Cloud 278

Cloud Forecasting Subscription Payment Features 278

User Pilot

JULY 18, 2022

Are you satisfied with the customer loyalty and retention rates of your SaaS? Today we explore what customer loyalty and retention mean for SaaS, how retention differs from loyalty, and tactics to help you boost both. Customer retention is a company’s ability to keep its existing customers. What is customer loyalty?

Retention 94

Retention SaaS Customer Lifetime Value Education 94

CustomerSuccessBox

MARCH 25, 2022

Then while considering customer acquisition cost (CAC) why miss out on customer retention cost (CRC)? About customer retention cost. It is the cost spent on the retention of customers by the total active customers. Customer retention cost (CRC) = Annual cost on customer retention / No of active customers.

Retention 52

Retention Customer Lifetime Value Acquisition Churn 52

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

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. Altimeter is an investment adviser registered with the U.S.

Azure 177

Azure Cloud Software AI 177

SaaStr

SEPTEMBER 29, 2023

Many of you are familiar with this visual, most likely created by an investment firm. There are advantages beyond higher pricing, with higher pricing being the smallest advantage. With the second product, Lattice had a higher price point per customer, which everyone expects, but it doesn’t always happen.

Scale 222

Scale Scaling Startup Sales Hiring 222

Payrix

APRIL 24, 2024

Andy suggests that there is an immediate and discernible value-add for software companies to embed payments as a means for retention of SaaS revenue. Plus, software providers gain the addition of payments revenue and the ongoing retention of that additional revenue too. But then you want to put those customers into a retention motion.

Payments 147

Payments Embedded Payments Merchant Services Payment Solutions 147

ChurnZero

JULY 8, 2022

Oh, by the way, what’s your customer retention?” It was clear that, barring any wildly outlandish figures, customer retention wasn’t a dealbreaker in their decision to invest. Net revenue retention (NRR) is taking center stage as the qualifying metric for determining the health of a SaaS business.

Technical Review 98

Technical Review Software Review Retention Metrics 98

Clouded Judgement

MARCH 15, 2024

Quarterly YoY growth is still decelerating, but the rate of change is starting to slow down Similarly, the median net retention is still falling FCF margins continue to expand, with the median FCF margin in Q4 hitting nearly 20% And finally, the CAC payback period. Altimeter is an investment adviser registered with the U.S.

Cloud 161

Cloud Software Review Subscription Payment Features 161

SaaStr

SEPTEMBER 29, 2022

Free user retention. Stage 2: Prove free user retention. But this should come at last, where you focus on metrics such as paid user percentage or net dollar retention. They invest development resources for non-technical people to quickly run and analyze these experiments. Pricing by design creates friction.

Technical Review 233

Technical Review Technical Advisors Scale Compensation 233

User Pilot

MARCH 16, 2023

Looking for an in-depth review of UserGuiding pricing so you can understand whether it’s the right choice for you? Finding a product that not only suits your business needs but also delivers value at the right price can be daunting. UserGuiding’s pricing plans. UserGuiding’s dashboard. How much does UserGuiding cost?

Pricing 97

Pricing Software Review Technical Review Onboarding 97

Clouded Judgement

FEBRUARY 9, 2024

Going in to this earnings season I expected a big driver of stock price performance to be how 2024 full year estimates change pre / post earnings. Since the macro feels more “stabilized” it felt fair to assume “are numbers going up or down” to be the question most correlated with stock price performance.

Cloud 195

Cloud Pricing Startup Revenue 195

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. This is for information purposes and should not be construed as an investment recommendation. Altimeter is an investment adviser registered with the U.S.

Cloud 311

Cloud AI Investment Metrics 311

ProfitWell

NOVEMBER 15, 2019

So I’ll unpack some of our favorite tools that cater to certain needs—analytics, accounting, retention, pricing, and more. There are hundreds of SaaS tools online that will help your business increase retention and decrease churn. From optimizing your pricing to CRM—there’s a tool tailored for all your SaaS needs.

Retention 56

Retention Pricing SaaS Payments Payment Methods 56

SaaStr

DECEMBER 5, 2022

Startups often begin with a bootstrapping phase with little to no outside investment. Lever #1: Tactical retention. Hooking in new customers is exciting, but customer retention is where your business will make money. In SaaS, retention is usually driven by recurring revenue, cross-selling, and up-selling.

Payments 130

Payments SaaS Payments Payment Solutions Venture Capital 130

OpenView Labs

FEBRUARY 9, 2021

This is why we’re seeing more and more SaaS companies—Datadog, Twilio, AWS, Snowflake, and Stripe, to name a few—find success with product led growth paired with usage-based pricing. Usage-based pricing will be the key to successful monetization in the future.”. Usage-based pricing is in all layers of the tech stack.

Scale 98

Scale Pricing Scaling AWS 98

User Pilot

AUGUST 6, 2023

A consistent omnichannel customer experience can improve satisfaction , build loyalty , drive acquisition, increase retention , boost LTV, and help you make data-driven decisions. Higher retention. These insights can help you with other efforts, such as personalized retention marketing or customer segmentation. Increases LTV.

Investment 89

Investment Banking Social Media Customer Lifetime Value 89

Clouded Judgement

DECEMBER 21, 2023

net retention and CAC payback). In simpler terms — if you had 10 customers 1 year ago that were paying you $1M in aggregate annual recurring revenue, and today they are paying you $1.1M, your net revenue retention would be 110%. The graph below shows the median net retention going back to 2020.

Cloud 177

Cloud Software Benchmarks Retention 177

User Pilot

OCTOBER 5, 2023

TL;DR The CAC payback period measures the time it takes for a company to recover the money invested in new customer acquisition. This metric helps SaaS companies choose the most effective customer acquisition channels , diagnose inefficiencies in customer retention strategies , and inform pricing decisions. What is CAC payback?

SaaS Payments 104

SaaS Payments Customer Lifetime Value Payment Solutions Acquisition 104

Sales Hacker

DECEMBER 20, 2021

As a result, much of the evaluation, investment, and rollout of virtual training technology in 2020 was rushed, limited in scope, and poorly planned. Businesses must take a step back, evaluate their software investments, and rework their implementations. How to maximize customer training investment. Today, not much has changed.

Investment 94

Investment Technical Review Underperforming Technical Team Scale 94

Totango

OCTOBER 2, 2020

These adjustments might include promotions around free services to enhance implementation, offering more personalized training sessions, or providing more licenses for the same price. . Customer retention is the lifeblood of recurring revenue enterprises, regardless of the external economic circumstances. Maximizing Your Resources.

Retention 118

Retention Underperforming Technical Team Churn Customer Lifetime Value 118

SaaStr

MAY 3, 2023

Their mission is to help companies drive better customer success and improve net retention for businesses through different products like scaling teams, driving better in-app adoption, and building customer communities. What are the problems caused by not investing in systems from the beginning? And invest in back-office systems early.

Sales Hiring 169

Sales Hiring Scale Pricing Customer Success 169

GetUplift

SEPTEMBER 27, 2021

Clearly, the case has been made for focusing on customer retention. There’s one very simple concept we need to internalize though before we dive into understanding strategies for customer retention. Gusto, a payroll tech company, is a good example of how changing consumer habits improves customer retention and loyalty.

Retention 89

Retention Strategy Sales Social Media 89

Clouded Judgement

JANUARY 26, 2024

ServiceNow has been investing, innovating and preparing for this wave for years, which is why we're catching it so early. So there's a real appetite to invest in Gen AI, and there's no price sensitivity around it because the business cases are so unbelievable. The Gen AI investments are coming.

Cloud 161

Cloud Marketplace as a Service AI Subscription 161

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. The answer is they may, but just at a different price / valuation. Altimeter is an investment adviser registered with the U.S.

Cloud 177

Cloud Scale Compensation Metrics 177

Clouded Judgement

DECEMBER 22, 2023

Wrapping all of this up, it appears that the market is either “pricing in” forward estimates coming up in 2024, or a big drop in rates (or both). This is for information purposes and should not be construed as an investment recommendation. Altimeter is an investment adviser registered with the U.S.

Cloud 177

Cloud Subscription Payment Features Metrics 177

Clouded Judgement

DECEMBER 8, 2023

” Here’s a summary of the quarter in 5 charts: Quarterly Growth rates: Still decelerating, but not as quickly Net Retention: Down from historical averages, but starting to level off. This is for information purposes and should not be construed as an investment recommendation. Securities and Exchange Commission.

Cloud 161

Cloud Software Review Headcount Trends 161

Clouded Judgement

APRIL 5, 2024

Competitors start telling prospects you’re competing on that “that company will screw you in the future because their VCs will force them to price gouge you so they can make money.” They’re playing an option value game, where each investment is treated as a deep out of the money call option. This list goes on.

Cloud 161

Cloud Scale Pricing Revenue 161

Totango

APRIL 30, 2021

Comparing the cost of customer retention versus customer acquisition underscores why retaining clients is so important. Here’s how to calculate both kinds of costs and why retention should form part of a profitable business strategy. Price comparison engines. Calculating the Cost of Customer Retention. Email marketing.

Acquisition 63

Acquisition Retention Social Media Advertising 63

Tom Tunguz

DECEMBER 27, 2021

Third, investors price these infusions on multiples just the way a sell-side equity analyst would. The mark-to-market phenomenon fundamentally alters the board’s discussion of an investment proposal. Can the secondary improve employee retention? Many investors extend the analogy by staffing a research arm.

Startup 256

Startup Strategy Marketing Entertainment 256