SaaStr

JULY 26, 2022

So in theory, SMB SaaS is better than enterprise, at least 9 times out of 10: Deals close much faster. But beyond all the other Pros and Cons of SMB vs enterprise, there’s one looming issue with SMB SaaS: Churn. SMBs go out of business, and quickly. SMBs pay monthly, and often scrutinize every expense.

SMB 363

SMB Churn Payment Services SaaS 363

SaaStr

SEPTEMBER 19, 2023

based SMB sales positions. Almost every SMB SaaS company I work with has moved most of its sales team outside the U.S. Almost every SMB SaaS company I work with has moved most of its sales team outside the U.S. These all sprung up as more cost-effective centers of excellence for SMB and even some mid-market sales reps.

SMB 310

SMB Scale Sales Hiring Sales 310

SaaStr

APRIL 16, 2022

Per LinkedIn data, SMB AEs at some of the top SaaS and B2B companies have: an average base salary of $70k, an average OTE of $125k, and. SMB AE | TOP 30 Sales Organizations. The post BowtiedCocoon: Top SaaS SMB AEs have $125k OTEs. And it’s super helpful. the best, top reps make $260k. Or more than 2x their OTE.

SMB 334

SMB AWS SaaS B2B 334

SaaStr

NOVEMBER 26, 2022

So this is just a personal post, not as an investor or blogger or community runner, but as an SMB owner. ” as an SMB. Favorite #01 as an SMB Admin: Gusto. Favorite #02 as an SMB Admin: Bill. It might be — I don’t actually care as the “boss” at an SMB. Running “SaaStr Inc.”

SMB 280

SMB Systems Review Management 280

SaaStr

FEBRUARY 5, 2025

And when it IPO’d, it was still solidly an SMB solution. Leaning More into Free Even as it goes more enterprise, and see a decline in SMB / Commercial accounts, PagerDuty is still leaning in more on Free. We all used some sort of tool for website monitoring, but the O.G. As has PagerDuty. It’s efficient.

SMB 273

SMB B2B Enterprise Scale 273

SaaStr

APRIL 28, 2025

Mid-Market Is The Perfect Laboratory For Both Product and Go-To-Market Development Most founders falsely view market segmentation as a binary choice between SMB and Enterprise. Yet they close in months, not years, with substantial ACVs ($20-70K+) that support full sales motions including SDRs, AEs, and CSMs.

Scale 259

Scale Transportation Scaling SMB 259

SaaStr

OCTOBER 25, 2024

It’s SMB. Crowdstrike gets 8% of its revenues from professional services, too, and makes money on them, with 27% gross margins. Okta gets about 3% of its revenue from professional services. HubSpot gets about 2.3% of its revenue from services.

Investment 295

Investment SaaS SMB Enterprise 295

SaaStr

OCTOBER 16, 2024

Even With a Big Enterprise Push for Years, 60% of Revenue Still From Mid-Market and SMB RingCentral closed 20 $1M+ TCV deals last quarter. But even as they push more and more into the enterprise, the SMBs still are buying. But I’m not sure that’s the proper way to look at it. Either way — ouch. Almost just as much.

Scale 281

Scale SMB Compensation Cloud 281

SaaStr

AUGUST 21, 2023

So we reached out to the leading SMB vendor. 5x more for the SMB vendor! $50k 50k plus a migration fee (almost $100k total, really) for the SMB Vendor vs. $15k a year today for The Enterprise Vendor. But the SMB vendor is pushing hard to monetize its biggest SMBs the most. That’s huge for an SMB.

SMB 246

SMB Enterprise Scale Pricing 246

SaaStr

DECEMBER 28, 2024

SMB-focused SaaS companies often have better performance with Facebook in particular, and can often deploy more there. And marketing, done well, on platforms almost always works. It’s hard to do well, but getting top placement on the Shopify ecosystem seems to work, for example. To a point.

B2B 259

B2B B2C Marketing SaaS 259

FastSpring

FEBRUARY 6, 2025

In this episode, we’re going to be talking about how SMB digital brands can win the best talent Joining us for that conversation is someone who knows quite a bit about that. The post How SMB Digital Brands Can Win the Best Talent appeared first on FastSpring. I’d like to welcome Lizzie Mintus.

SMB 107

SMB Sales Recruiting Branding Sales Hiring 107

SaaStr

FEBRUARY 20, 2022

SaaStr 527: Acquiring 10,000 SMB Customers Solely from Data with Gorgias CEO Romain Lapeyre. The 4 V’s of Sales: Volume, Value, and Velocity with Waze Head of SMB Sales Fernando Belfort and Head of Sales Enablement Kendra Wrightson. Plan For It. 5 Interesting Learnings from CS Disco at $120,000,000 in ARR.

SMB 280

SMB Scale Marketing Sales 280

SaaStr

JANUARY 9, 2025

Many that are self-serve and SMB-focused can start off without a sales team … for a while. Dear SaaStr: What Are Some Successful SaaS Leaders Without Sales Teams? But almost none stay without a sales team … forever. Yes, Atlassian since well past its IPO had almost no direct sales team.

Scale 271

Scale Sales Hiring Sales Headcount 271

SaaStr

APRIL 30, 2024

How do you build GTM efficiency in SMB sales? While this title is SMB-oriented, the advice applies to Mid-Market and Enterprise, too. The post How to Build Go-to-Market Efficiency in SMB Sales with Owner.com CRO Kyle Norton appeared first on SaaStr.

Scale 297

Scale SMB Sales Hiring Sales 297

SaaStr

FEBRUARY 28, 2023

While Zoom Enterprise is growing at a healthy clip, churn is over 3% a month for its SMB customers As a result, it’s now predicting 1% growth next year 1% pic.twitter.com/i2k2W9QbVX — Jason Be Kind Lemkin  (@jasonlk) February 27, 2023 So Zoom has just been the craziest story of all time in SaaS. It probably couldn’t last.

SMB 271

SMB Churn Enterprise Engineering 271

SaaStr

DECEMBER 14, 2022

Yamini Rangan, CEO at HubSpot, has many insights on how to serve SMB customers at scale. The Challenge of Digital Expansion for SMB. When the shift began in 2020, everyone wrote off SMBs as unprepared for the necessary changes that lie ahead. The past few years have kicked off an unprecedented wave of digital expansion.

Scale 260

Scale SMB Scaling Innovation 260

SaaStr

NOVEMBER 27, 2023

During SaaStr Annual , Eric Huff, VP of Sales Strategy and Programs, and Theresa Stevens, Regional VP of the SMB sales team, shared an “under the hood” look at how Salesforce does its internal forecasting using Salesforce.

Forecasting 281

Forecasting SMB Sales Technical Review 281

SaaStr

DECEMBER 1, 2021

The post The State of Software Buying: From SMB to Enterprise with G2’s CMO appeared first on SaaStr. Key Highlights: Adopt a product-led growth mindset. Treat your customers like your best marketing partners. Focus on your NRR > ARR.

Software Review 281

Software Review SMB Enterprise Software 281

SaaStr

APRIL 1, 2023

How To Capture This Global SMBTech Opportunity There is massive market opportunity to sell to SMB businesses. Efficient Go To Market There are a lot of ways to GTM as an SMB. With SMB, you want hundreds or thousands of little merchants to pay you every month. Nail an efficient SMB motion before trying to move upmarket.

Scale 245

Scale SMB Merchant Services Payment Methods 245

SaaStr

APRIL 14, 2025

AI Speakers: CEO Snowflake + CEO Observe: Where B2B Applications Are Going CEO Box Aaron Levie: AI, Agents and The Next Era of SaaS COO Google Cloud Francis deSouza: Hyperscalers: The Future and More CTO Rubrik: Co-Founder & CTO, Arvind Nithrakashyap CTO Neo4j: Philip Rathle (Valuation $2B+): How Revolut Left Salesforce and More: Rolling Your (..)

VP of Engineering 204

VP of Engineering CTO Coach VPCs (Virtual Private Cloud) Scale 204

SaaStr

JANUARY 3, 2025

In sales, t he more SMB you are, the more you should lean on your bench. With SMBs in particular, internal promotions can work better due to more “at-bats” and learning opportunities on the front lines. Lean into self-motivated talent.

Sales Hiring 281

Sales Hiring Scale Systems Review Interviewing 281

SaaStr

JANUARY 8, 2025

The SMB sales team was incentivized purely on logo acquisition rather than revenue. Whereas in usage-based you have to be laser-focused on making sure that your customers are going live, adopting, and using the product as intended.” She explains: “Our smallest segment sales team was focused on activating customers.

Revenue 290

Revenue Scale Sales Hiring Compensation 290

SaaStr

APRIL 2, 2025

Today it’s at: $800m ARR Growing 22% 20% Free Cash Flow Margins Modest re-acceleration in revenue growth and new customer count — but not NRR Roots are SMB, but 60% of ARR comes from mid-market and enterprise today And a $4B market cap, so 5x ARR Freshworks is getting a bit of a second wind, which is great to see!

Scale 268

Scale AI SMB B2B 268

SaaStr

AUGUST 29, 2022

SMB SaaS has a lot going for it: – Millions of them – Short sales cycles – Easier compete. But, it's often hard to get to $100m ARR selling just to SMBs. sell just to SMBs pic.twitter.com/Po1I2aMaBK. So many VCs and others have gotten more and more excited about SMB SaaS. Millions and millions more.

SaaS Payments 346

SaaS Payments Scale SMB PayPal 346

SaaStr

JANUARY 23, 2025

Start Planning for Enterprise Earlier Than You Think The biggest mistake SaaS companies make? Waiting too long to start their enterprise planning. ” 2.

Enterprise 244

Enterprise Sales Hiring Scale Outsourced Development 244

SaaStr

NOVEMBER 21, 2020

Let’s look at some of the top public SaaS companies: Shopify — very SMB: 100%. Hubspot — mostly SMB: 100%. Surverymonkey — fairly SMB, but going more enterprise: 100%. Zendesk — 116%, mix of SMB and enterprise. Developer-focused, but still fairly SMB. And mostly SMBs. 119% net revenue retention.

Retention 349

Retention SMB SaaS Enterprise 349

SaaStr

APRIL 30, 2025

Net Dollar Retention >110% and GDR of >95%: The Power of Being a True Operating System ServiceTitans NRR consistently exceeds 110%, even with SMB-heavy customers. While ServiceTitan started as an SMB-focused platform, theyve steadily moved upmarket. Just above non-GAAP break-even (3% non-GAAP margins) 110% NRR and 95% GRR $10.5B

Payments 143

Payments Payment Services SaaS Payments Payment Solutions 143

SaaStr

JUNE 7, 2021

If your SMB product requires or has a salesperson involved in closing, that’s a clear sign you also want a human being involved in making sure that customer is a success post-sale, too. Just assign a certain amount of ARR per each SMB customer success manager. Support has to handle a lot of routine SMB issues anyways.

Customer Success 352

Customer Success Scale SMB Sales 352

SaaStr

APRIL 29, 2025

250+ speakers. 12,000+ SaaS leaders. 100B+ in market cap. 250+ speakers. 12,000+ SaaS leaders. 100B+ in market cap.

AI Search 161

AI Search AI New CTO Scale 161

Tom Tunguz

MARCH 27, 2023

Startups selling to enterprises have increased 36%, twice those of Mid-Market & SMB focused companies. Mid-market & SMB distributions skew left with up to 10% of businesses reporting a decrease in sales cycle during the period. This figure is statistically significant with a p value of 0.0005.

Startup 350

Startup SMB Headcount Sales 350

SaaStr

JANUARY 19, 2025

How to Build Go-to-Market Efficiency in SMB Sales with Owner.com CRO Kyle Norton Owner is perhaps the fastest-growing new player in SaaS for restaurants, automating everything from marketing to menus. It takes getting out in the field, and creating a ton of true value — before the sale. #2. How Kyle does it here: #3.

Scale 189

Scale Sales Hiring Scaling SMB 189

SaaStr

NOVEMBER 27, 2024

How Much Time Should a CEO Be Involved With Customers When you have a high-velocity SMB motion that’s still sales-driven, how much time should the CEO spend in sales and with customers? And the more products they buy, the higher the NRR. Those are two separate considerations. Daniel talks to at least 5-10 customers every week.

SaaS Payments 256

SaaS Payments Payments Payment Solutions Payment Services 256

SaaStr

MAY 7, 2021

HubSpot is sort a bell-weather stock and company for selling to SMBs and mid-market. And what we see is that SMB is on fire in SaaS. HubSpot is adding a breathtaking number of SMB customers at $1.1B Even though SMBs often at best have 100% NRR, HubSpot is more than making up for it with 45% annualize customer growth.

SMB 362

SMB Revenue Enterprise SaaS 362

SaaStr

JUNE 2, 2022

Two things though did get hit harder — SMB Churn and Upsell s. Customers kept buying more SaaS than ever, which masked all-time high churn in SMB accounts. SMBs just plain went out of business in ’08-’09. So our gross SMB churn spiked to a crazy high of 5.5% That never even slowed down.

SMB 361

SMB SaaS Churn Enterprise 361

SaaStr

MARCH 21, 2025

It Takes Mobile Business Apps 222 Days to Hit $10,000 ACV An interesting remind for SMB and freemium apps … to earn it. But if they are using it and getting value, the RevenueCat data is a reminder to be patient here. It may even be better if they convert later, and get more value. #3.

Data 205

Data ChatGPT Mobile SMB 205

SaaStr

FEBRUARY 1, 2022

Toast’s SMB NRR is 114% today — but it took 4 full years just to get to 100%. A reminder that you don’t need to settle for sub-100% NRR from SMBs. And also that, with SMBs, it can take a while and a lot of value-add and learnings to get that NRR over 100%. And it’s the true magic in scaling SMB SaaS.

Scale 363

Scale SMB SaaS Scaling 363

SaaStr

SEPTEMBER 7, 2024

Automation and AI are critical in SMB Vertical SaaS … due to a lack of labor Automation and AI are less about efficiency in SMB vertical SaaS than simply dealing with a lack of labor. Onboarding has to be much slicker for SMBs. Toast had the luxury of taking years to build up a suite like this.

SaaS Payments 309

SaaS Payments Payments Payment Methods SMB 309