Quote Info

The IT services market encompasses the range of services that assist individuals and enterprises in implementing, managing, and operating the wide variety of processes, systems, software, equipment, and peripherals that are used in the modern IT environment. Globally, the broader information technology market reached 3.65 trillion U.S. dollars in 2018, with IT services spending representing more than a quarter of the total market. In terms of IT market growth, services are advancing steadily, second only to enterprise software spending. Year on year, IT services spending is expected to increase at a rate of around 5.5 percent.

Statista

More Tech Services Stats

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

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

All types of investment have grown, year-on-year, with the biggest growth during the seed stage of financing

After $10M in ARR, the median growth rate slows to just under 50%

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

Analysed 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

SAAS companies with >$250K median ACV book nearly 25% of their contracts at 3 years or longer

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

The fastest growing SAAS companies averaged $250k in MRR and were only losing around 3.2% of that revenue each month to churn

The metrics that matter for each sales funnel, vary from one company to the next depending on the steps involved in the funnel

More Growth Strategy Stats

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

Is your SaaS business viable?

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

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

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

A 2017 SaaS Capital survey showed that young companies actually have higher retention rates than more mature SaaS businesses

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%

In 2020, China is expected to generate 55 billion U.S. dollars in the global medical technology market.

At Twitter, 10 percent of tech roles are staffed by women

SAAS companies with >$250K median ACV book nearly 25% of their contracts at 3 years or longer