Account Churn Rate (ACR) = customers at beginning of month – customers at the end of month / customers at beginning of month

SaaS + Software
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Account Churn is very important because it gives a very clear percentage of the customers that are leaving you. It takes away the bias from larger accounts so that you aren’t left with one large customer paying for all of your revenue – which is a dangerous situation to be in

InsightSquared

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If you are charging $500 per month, you can afford to spend up to 12x that amount (i.e. $6,000) on acquiring a new customer

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

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

SaaS, and other recurring revenue businesses are different because the revenue for the service comes over an extended period of time (the customer lifetime)

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

Revenue per employee has been steadily increasing in SAAS companies. It serves as a great longitudinal measuring stick to understand the increasing or decreasing efficiency of the business

Publicly-traded SaaS companies have an average Revenue Per Employee of $200,000

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

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

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

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

Revenue Renewal Rate= (MRR up for the renewal at beginning of month- MRR not renewed at the end of month)/ MRR up for renewal at beginning of month)

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

Internet sales strategies are the only sales method to see a decline in CAC, dropping from $0.54 to $0.42 between 2014 and 2015

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

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

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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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