36% of SaaS businesses managed to reduce their revenue churn over the last 12-months

From Totango
Quote in SaaS & Tech Growth Strategy

32% of respondents experienced an annual churn rate of 5% or less, while almost one-?fth had churn exceeding 15%. Survey responses suggest mixed results in controlling churn. While slightly over one-third report a decrease in churn over last year, 30% of respondents saw an increase in churn and the balance 34% saw no signi?cant change. Annualized Revenue Churn Rate 0-5% churn 5-10% churn 10-15% churn

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The median SaaS business loses about 10% of its revenue to churn each year and that works out to about 0.83% revenue churn a month

Google only has a 30 percent female workforce

Our experiences with SaaS startups indicate that they usually start with a couple of lead generation programs such as Pay Per Click Google Ad-words, radio ads, etc

Only 8% of large companies use internet sales strategies. The proportion of companies relying on internet sales increases as company size decreases

It’s 4x cheaper to upsell existing customers than acquire new customers: costing just $0.28 to acquire an additional dollar of revenue

In 2020, China is expected to generate 55 billion U.S. dollars in the global medical technology market.

The best SAAS businesses have a LTV to CAC ratio that is higher than 3, sometimes as high as 7 or 8

In contrast to these, the median annual churn rate for smaller, private SaaS companies with less than $10M in revenue is 20%

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

73% of organizations indicated nearly all their apps will be SaaS by 2021

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High-growth companies offer a return to shareholders 5 times greater than medium-growth companies

Non-renewal rates are higher than gross dollar churn rates and higher for shorter duration contracts. Source: ForEntrepreneurs

The metrics that matter for each sales funnel, vary from one company to the next depending on the steps involved in the funnel

The median monthly revenue churn for large SaaS companies is 0.75%, translating into an annual revenue churn rate of 10%

It’s 4x cheaper to upsell existing customers than acquire new customers: costing just $0.28 to acquire an additional dollar of revenue

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

The fastest growing SaaS companies scale their organizations rapidly, growing their teams by an average of 56% each year

56% treat “Existing Customer Renewals” as high priority

Three uses for the SaaS Guidelines

Google only has a 30 percent female workforce