Quote Info

Pricing/Upsell/Cross Sell

  • Multi-axis pricing
  • Additional product modules (easier to sell more to existing customers than it is to sell to brand new customers)
For Entrepreneurs.com

More SaaS + Software Stats

56% treat “Existing Customer Renewals” as high priority

Best-in-class SaaS companies achieve 5-7% annual revenue churn – equivalent to a loss of $1 out of every $200 each month

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

Getting paid in advance is really smart idea if you can do it without impacting bookings, as it can provide the cash flow that you need to cover your cash problem

How to Reduce Churn

Customer Segmentation analysis will help point out which are your most profitable segments

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

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

Revenue Churn Rate = (RCR) (MRR at beginning of month – MRR at end of month) – MRR in upgrades during month / MRR at beginning of month

Even if a software company is growing at 60% annually, its chances of becoming a multibillion-dollar giant are no better than 50/50

More Growth Strategy Stats

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

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

The average SaaS company spends just 6 hours determining their pricing strategy

The venture-backed companies that were acquired most often had a 7 percent share of female execs, as opposed to 3 percent at unsuccessful (unacquired) firms

In 2017, Foxconn Technology Group achieved a net income of 135.37 billion New Taiwanese dollars, the equivalent to approximately 4.55 billion U.S. dollars.

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

In 2018, the global tech spending is forecast to amount to 3,212 billion U.S. dollars.

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

Women in western countries use the internet 17 percent more than their male counterparts

They may forget what you said, but they will never forget how you made them feel.