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As expected, field sales has the most expensive CAC. And, fields sales has widened the gap as its cost has increased, while inside and internet sales have remained relatively flat. Inside sales is now 17% lower than field sales (vs 10% lower last year) and Internet sales is 47% lower (vs 43% lower last year.) Channels sales at $0.53 CAC are at par with online distribution.

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More SaaS + Software Stats

The average SaaS business generates 16% of its new Annual Contract Value (ACV) from upselling to existing customers

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

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

While field sales remains the most popular way to sell for companies >$2.5MM revenue, companies with <$2.5MM revenue tended to use inside sales as their primary mode of distribution

As with unit churn, companies with longer contracts (2+ years) tend to report lower annual dollar churn

Internet Sales strategies have a significantly lower CAC of just $0.42

In all SaaS businesses there will likely come a moment where they realize that not all customers are created equal

To establish a revenue or lead-commitment based on your funnel metrics and revenue-growth goals, work backward from the gross revenue amount that marketing is responsible for generating (generally around 40%)

Achieving a SaaS Quick Ratio of 4 is a good benchmark for young, high-growth companies but the equation changes as those companies reach scale

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

More Growth Strategy Stats

Increases in revenue growth rates drive twice as much market-capitalisation gain as margin improvements for companies with less than $4 billion in revenues

The average company booking professional services revenue on new deals is equivalent to 16% of the first year subscription value. Professional services margins are approximately 22%

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

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

It’s essential to have a point of view that puts a stake in the ground and breaks through the clutter.

How to Reduce Churn

Customer’s lifetime value (LTV)= average revenue per user (ARPU) / monthly churn rate

orecasts suggest that global blockchain technology revenues will experience massive growth in the coming years, with the market expected to climb to over 23.3 billion U.S. dollars in size by 2023.

To generate a single dollar of new customer revenue, Field Sales strategies have an average Customer Acquisition Cost (CAC) of $1.14

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