We are 100%, absolutely focused on SaaS & Tech. Founded in 2002, we've worked with hundreds of companies driving marketing, sales & retention for scalable growth.
The intelligence of a consultancy combined with the creativity of an agency to deliver massive growth for software and technology companies.
We reduce the time and complexity of each step from prospect to customer to evangelist for increased lifetime value.
• Founded 2002.
• Clients in 25 US states & 8 countries.
• 100% focused on working with SaaS & tech companies.
• A super passionate, in-house team of experts.
• A track record of results & industry leading work.
In comparison to previous surveys, it appears there is more confidence in inside sales in the $1K-$25K range.
It’s common for startups to grow rapidly, doubling or tripling in size year over year, until they hit $5M in ARR
The largest SaaS companies (>$75million yearly revenue) attribute 2.5x as much new revenue to upselling than the smallest SaaS companies (<$1.25million): 28% versus 11%
The median Customer Acquisition Cost (CAC) for upsells is just $0.28 per $1, less than a quarter of the $1.18 spent to acquire $1 of revenue from a new customer
To generate a single dollar of new customer revenue, Field Sales strategies have an average Customer Acquisition Cost (CAC) of $1.14
Customer Acquisition Cost (CAC) = sum of all sales & marketing expenses/ number of new customers added
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
Negative Churn and Expansion Revenue
The fastest growing SAAS companies averaged $250k in MRR and were only losing around 3.2% of that revenue each month to churn
High-growth companies are 8X more likely to reach $1 billion in revenues than those growing less than 20%.
If your Net Revenue Churn is high (above 2% per month) it is an indicator that there is something wrong in your business; this will become a major drag on growth
As with unit churn, companies with longer contracts (2+ years) tend to report lower annual dollar churn
How To Make Pricing A Constant Process In Your Organization
Publicly-traded SaaS companies have an average Revenue Per Employee of $200,000
The very best SAAS companies keep monthly revenue churn at around 0.58%, that’s only about 7% revenue churn a year
Net-revenue churn improves with larger Average Contract Value (ACV), likely due to more structural churn among SMB customers and higher switching costs associated with larger contracts
If your Net Revenue Churn is high (above 2% per month) it is an indicator that there is something wrong in your business
SAAS companies invest between 80% and 120% of their revenue in sales and marketing in the first 5 years of their existence
Invention is 10% inspiration and 90% perspiration.