56% treat “Existing Customer Renewals” as high priority

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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 difficult 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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SAAS companies invest between 80% and 120% of their revenue in sales and marketing in the first 5 years of their existence

If the numerator of your quick ratio is growing that means your revenue is growing. It’s important to keep increasing revenue to counter any MRR (Monthly Recurring Revenue) that is lost to churn

Smaller SAAS companies reported more frequent use of third-party providers as their primary application delivery method, while the largest companies were more likely to use self-managed servers

When venture capitalists participate in seed rounds, the average round size is 3x larger

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

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

Since churn is so important, wouldn’t it be useful if we could predict in advance which customers were most likely to churn?

Gross dollar churn among companies with an internet go-to-market strategy saw a meaningful increase, up from 8% in 2015

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

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In 2018, the revenue of General Dynamics amounted to nearly 36.2 billion U.S. dollars.

In 2018, the U.S. imported aerospace products worth about 53.98 billion U.S. dollars.

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

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

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SaaS IPOs have more than doubled over the last 12 years

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in 2016, women-led companies received $1.46 billion in investments from venture capitalists. Male-led companies, on the other hand, received $58.2 billion

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