SaaStr

JANUARY 11, 2025

"Software engineers working in AI earned 48% more than the average software engineer at the company, according to a payroll spreadsheet shared with BI." The AI Team often makes a lot more. The AI Team at many SaaS startups makes 30%-40% more. It creates issues and drama.

Engineering 277

Engineering AI New CTO CTO 277

Payrix

NOVEMBER 19, 2024

In the latest episode of PayFAQ: The Embedded Payments Podcast, Ian Hillis speaks with Brad Pinneke , VP of Business Development at Payrix and Worldpay for Platforms, about one of the most important decisions software companies face today: choosing the right payments partner. How do those goals align with potential payments partners?

Payments 130

Payments Embedded Payments Payment Solutions Payment Services 130

Tom Tunguz

FEBRUARY 26, 2025

Many mid-market software companies price with the goal of revenue maximization, negotiating for the highest possible price in each sale. There are exceptions: Oracle’s database, Tanium’s security product, Workday’s human capital management software. Application software companies typically sell seats.

SaaS Payments 283

SaaS Payments Pricing Strategy Scale 283

Clouded Judgement

FEBRUARY 14, 2025

Every week I’ll provide updates on the latest trends in cloud software companies. Will the macro turn in favor of software buyers? We’ll see how the rest of software earnings shake out - but so far I’d categorize the guides / outlooks for the year as “meh” at best. Follow along to stay up to date!

Cloud 144

Cloud Software Subscription Payment Features 144

Payrix

NOVEMBER 13, 2024

At Payrix from Worldpay, we see the potential in empowering software platforms to deliver valuable financial products seamlessly within their user experience. Meet some of our experts driving this shift for our software partners and see how Embedded Finance can enhance your platform’s revenue, customer loyalty, and growth potential.

Payments 130

Payments Finance Payment Solutions SaaS Payments 130

Clouded Judgement

JUNE 19, 2024

net retention and CAC payback). Q1 was a very weak quarter of software earnings. I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. Subscribe now What Happened in Q1? The big caveat in FCF – it adds back the non-cash expense of SBC.

Cloud 318

Cloud GCP(Google Cloud Platform) Software Azure 318

SaaStr

MAY 20, 2025

True Platform Flexibility : Rather than pre-built solutions, Monday.com offers building blocks that organizations can configure for any workflow, from marketing campaigns to software development and HR processes. Customer Retention Excellence Both companies showcase impressive net dollar retention: HubSpot : 103.9%

SMB 265

SMB Scale Education AI 265

User Pilot

OCTOBER 19, 2024

Think of Net Promoter Score (NPS) software as a tool to measure your customers’ feelings about your product, and categorize them based on their level of loyalty (promoters, neutrals, and detractors). 11 Retently for both B2C and B2B companies with predictive survey analytics Retently survey builder.

Software Review 105

Software Review Technical Review Software B2C 105

Tom Tunguz

NOVEMBER 12, 2023

Recently, I was on the HR Heretics podcast and we talked about the increasing efficiency of software companies (in addition to other topics including the implications of AI for executives, how to diligence a candidate, & what board members expect of their people leaders). Revenue per employee spans approximately $200k-$900k.

Software Review 331

Software Review Trends Revenue Software 331

USIO

APRIL 4, 2025

For medical billing software providers, that means delivering more than just clinical functionality. With ACH payments and card acceptance integrated directly into the medical billing software, facilities can process transactions faster, reduce outstanding balances, and better predict cash flow. Its mandatory.

Payments 130

Payments Payment Solutions Payment Services Payment Methods 130

Stax

MARCH 16, 2025

The average churn rate for the software industry as a whole is 14%. As a SaaS business leader, reducing software user churn is an important part of maintaining your customer base and increasing revenue. TL;DR The average software industry churn rate is 14%, but SaaS companies should aim for under 2%. Looking to measure churn?

Payment Solutions 88

Payment Solutions Software Review Churn SaaS Payments 88

Tom Tunguz

SEPTEMBER 18, 2024

What will it mean for software vendors? The better the integration of a feature flagging service into a large-language model, the more the usage of the platform & presuming the product charges as a function of usage, the better than a dollar retention & ultimate satisfaction of the customer.

Artificial Intelligence 221

Artificial Intelligence Software AI Retention 221

Clouded Judgement

AUGUST 16, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now The Great Services-To-Software Rotation There's a lot of debate right now about the economic impact of GenAI. They contend that AI agents, capable of handling infinite workloads, will ultimately reduce the need for software spend.

Outsourcing Services 274

Outsourcing Services Cloud Software Outsourced Development 274

SaaStr

MAY 28, 2025

The company is successfully evolving from its SMB roots into a serious enterprise software contender. This architecture gives customers flexibility to adapt the software to their needs without dependency on tech teams, while still offering enterprise-grade capabilities. This is what 12x ARR selling to SMBs++ looks like.

Scale 179

Scale SMB Acquisition Enterprise 179

SaaStr

DECEMBER 1, 2021

The state of software buying has changed. During SaaStr Annual 2021, Amanda Malko, CMO at G2, shared a fascinating look at the data that reveals shifting patterns in the way consumers purchase software. . Furthermore, 55% of companies plan to increase software spending in 2022.

Software Review 278

Software Review SMB Enterprise Software 278

FastSpring

OCTOBER 11, 2024

When you’re expanding your software business into new regions, industry benchmarking data can help you make better strategic decisions by answering important questions about business in the region. However, in Asia, retention for monthly subscriptions is notably lower at 75%. This means that, for example, for every 100 U.S.

Merchant Services 158

Merchant Services SaaS Payments Benchmarks Subscription 158

Tom Tunguz

JULY 11, 2024

3x as productive as humans, which would parallel mechanical robots, how does a software company price? Building on yesterday’s post , pricing in software companies may change significantly when AI agents become the norm. What does a software seat mean when a human is no longer operating the software?

AI 240

AI Pricing Software Compensation 240

SaaStr

DECEMBER 27, 2024

The gross retention for people was low and I think we’re just getting back into a better spot. AI in B2B SaaS: The Incumbent Advantage On the AI revolution in B2B software, it’s the age-old ‘startups are innovating and racing to get distribution, and the bigger companies have distribution and are racing to innovate.’

AI 278

AI Marketing SaaS Interviewing 278

USIO

MAY 16, 2024

Here are some of the most FAQs software companies ask Usio about integrated payments, along with comprehensive answers to help you navigate this critical aspect of your business. Integrated payments refer to the seamless incorporation of payment processing capabilities directly within a software application.

Payment Services 263

Payment Services Payments Merchant Services Payment Solutions 263

SaaStr

MAY 28, 2025

So we’ve just had 2 more B2B IPOs that aren’t 100% “traditional” SaaS per se, but still great B2B software leaders to learn from: MNTN and Hinge Health. MNTN is a performance TV software company focused on providing performance advertising services for Connected TV. returns and 54.7% for the last 20.

Technical Review 175

Technical Review Software Review Cybersecurity Advertising 175

SaaStr

OCTOBER 23, 2024

This gets more challenging when you have stakeholders who aren’t the ones buying the software. There was no software yet. At BILL, logo retention is 86% in the first 90 days. It worked because it fit within financial operations, and they led with software, workflow, and budgeting, which matter for BILL customers.

SMB 300

SMB Payment Services Payments Payment Methods 300

Tom Tunguz

MAY 31, 2022

A broad software buyer index would be the best metric to understand how buyer preferences are changing across the market. Large SaaS and IaaS vendors are precisely that: indexes of software buyers. Here are the revenue growth rates for these businesses broken out by software and infrastructure. Fortunately, it exists.

Azure 240

Azure Software Startup Cloud 240

SaaStr

JUNE 4, 2025

The metrics are very strong: $2B ARR (run rate — but not really software revenue) Generated from $121B in transactions on platform Growing 23% $251 ARPU 88% Gross Margins Average customer uses 3.3 Net Dollar Transaction Profit Retention hit 104%, meaning older cohorts actually became more profitable over time.

Outsourcing Services 152

Outsourcing Services Scale Banking Customer Lifetime Value 152

Clouded Judgement

MARCH 28, 2025

Every week I’ll provide updates on the latest trends in cloud software companies. Starting and scaling a software company was really hard. If you, as a software company, got to a certain scale and brand awareness, it was really hard for others to catch you. Follow along to stay up to date! So what was the implication?

Cloud 299

Cloud AI Scale Scaling 299

SaaStr

JULY 7, 2023

“Retention is the new acquisition,” says Co-Founder and CEO of Insider, Hande Cilingir. Harvard Business School Research says that “increasing customer retention rates by only 5% increase a company’s profits by 25-95%.” Customer retention means building relationships with people. That’s huge! a feat Insider has achieved.

Retention 242

Retention Software Review Revenue Systems Review 242

SaaStr

APRIL 20, 2022

Alice Katwan , SVP at Twilio , discusses how you can build a high-retention sales team while being remote. For example, at Twilio, they’re shifting our focus from selling multiple products to selling software, so now they have multiple selling teams. . Key strategies to attract, nurture, and retain sales talent.

Sales Hiring 267

Sales Hiring Scale Retention Sales 267

SaaStr

AUGUST 19, 2023

So our good friend Lloyed Lobo as part of his new book and series on Building Community did a deep dive with Jason on how SaaStr built the world’s largest community for business software — somewhat on accident: Why do some companies have loyal, cult-like followings while others blend into oblivion?

Software 245

Software Business Social Media Government 245

SaaStr

MAY 9, 2025

It was terrible software and too expensive. If you’re bleeding customers and fighting for retention, here’s how you can engineer your own resurrection. ” Customers who complain are actually giving you a roadmap to retention. Support tickets disappeared into the void. Then they raised prices. What’s Yours?

Social Media 161

Social Media Outsourced Development Interviewing Retention 161

SaaStr

FEBRUARY 17, 2023

One company that has unlocked the secret to solid retention and revenue expansion is Brex , an easy-to-use corporate cards and spend management software in an integrated global solution. Key Takeaways Don’t start too late with a plan to fight churn –– be ready to start tracking and monitoring churn and understand why customers leave.

Retention 246

Retention Startup Revenue Sales Hiring 246

SaaStr

MAY 21, 2025

By far the most highly valued B2B software company. Net Dollar Retention Hit 124% – Signs of Long Team Durable Growth Palantir’s net dollar retention rate of 124% in Q1 2025 indicates that existing customers are significantly expanding their usage year-over-year. And then there is Palantir. 78x ARR as we write this!

Artificial Intelligence 148

Artificial Intelligence Government AI Benchmarks 148

Clouded Judgement

MAY 31, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now Software Sentiment Software sentiment is incredibly low at the moment - and rightfully so. Nearly 70% of software companies who reported Q1 with an April quarter end guided Q2 below consensus!

Cloud 184

Cloud Software GCP(Google Cloud Platform) AI 184

Clouded Judgement

DECEMBER 21, 2023

net retention and CAC payback). Subscribe now Is Software Rebounding? This is the first quarter we’ve heard that message, and a good leading indicator for the rest of the software buying universe. I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs.

Cloud 184

Cloud Software Benchmarks Retention 184

SaaStr

APRIL 15, 2025

With 17 years of venture capital experience, Ethan began his career in consumer investing before pivoting to B2B, where he developed particular expertise in developer platforms and B2B software. Focus on the right metrics : Be transparent about your key metrics rather than relying on vanity numbers.

Technical Review 152

Technical Review Venture Capital Outsourced Development AI 152

Clouded Judgement

APRIL 11, 2024

net retention and CAC payback). Is Software Rebounding? Azure has gone back above trend as they’ve benefited quite a bit form the recent AI boom There’s many ways of answering the question of “is software rebounding” when looking at performance from Q4. Who are the real AI winners.

Cloud 184

Cloud Software Azure AWS 184

Tom Tunguz

JULY 10, 2022

Let me tell you a tale of two software sales processes. She refers you to a friend, who buys software from you and then tops up again. Later, lower NPS (net promoter score) and weakened NDR (net dollar retention) mar the company’s financials. Big commission check, high fives, president’s club, feeling fine.

Strategy 356

Strategy Sales Compensation Retention 356

Clouded Judgement

OCTOBER 3, 2024

net retention and CAC payback). It’s still rough out there selling software! I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. Here’s the data: We have seen net dollar retention start to trail off in the last couple quarters.

Cloud 167

Cloud Software Benchmarks Retention 167

USIO

JULY 1, 2024

In the competitive world of Software as a Service (SaaS), generating recurring revenue is essential for sustainable growth. Optimize Customer Retention Customer retention is crucial for recurring revenue. Optimizing customer retention ensures that your customers remain loyal and continue to contribute to your recurring revenue.

Payments 306

Payments SaaS Payments Payment Solutions Payment Services 306