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Companies that are doing a good job of controlling churn and driving new revenue from existing customers are on the whole growing substantially faster than their peers. Companies still place priority on new customer acquisition Despite a shift in the metrics companies are tracking, priority and funding for customer renewals and upsell has not increased. This suggests that despite best intentions to focus on monetizing existing customers, day-to-day business realities make it di?cult for companies to shift priority and funding. SaaS metrics shifting focus toward existing customers This year more companies than ever are looking at metrics on existing customers such as customer lifetime value, revenue per user, product adoption, and customer health.

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More SaaS + Software Stats

High-growth companies are 8X more likely to reach $1 billion in revenues than those growing less than 20%.

26% of SAAS companies with at least $15MM in 2015 GAAP revenue had a revenue growth rate + EBITDA margin of 40% or higher

Non-renewal rates are higher than gross dollar churn rates and higher for shorter duration contracts

The average company gets 16% of new ACV sales from up-sells and expansions, though companies with revenue between $10MM-$40MM are relying more heavily on up-sell and expansions

The statistic shows the worldwide IT spending on enterprise software from 2009 to 2020.

The median average contract length is 1.3 years and the average billing term is seven months in advance in 2016. Comparable to 2015, with average contract length shortening from 1.5 to 1.3 years and average billing period increasing by one month from 2015 to 7 months

55% of SaaS companies rate Customer Retention as the key metric to measure

Increases in revenue growth rates drive twice as much market-capitalisation gain as margin improvements for companies with less than $4 billion in revenues

Analyzed by contract value, field sales are primarily evident for companies with median deals over $25K. Inside sales strategies are most popular for companies with $1K-$25K median deal sizes

The median cost for a SaaS company to acquire a dollar of new customer revenue is $1.18

More Growth Strategy Stats

The median annual unit churn for SAAS companies was 10% in 2016

It’s common for startups to grow rapidly, doubling or tripling in size year over year, until they hit $5M in ARR

A University of Texas study showed that women ask for $7,000 less than their male counterparts in job interviews

Google only has a 30 percent female workforce

Internet Sales strategies have a significantly lower CAC of just $0.42

In 2017, Foxconn Technology Group achieved revenue of 158.15 billion U.S. dollars.

How Often Should The Pricing Committee Be Meeting And Making Changes?

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

Sony’s PlayStation brand had accumulated approximately 38.57 million fans on the social network

The very best SAAS business has a negative churn rate and will have a Dollar Retention Rate of greater than 100%