It’s common for startups to grow rapidly, doubling or tripling in size year over year, until they hit $5M in ARR

Statistic Info

•PLG companies use product to drive user acquisition, expansion and retention

•PLG products are extremely sticky –people log in regularly and users share the products with colleagues and friends

•These businesses tend to boast amazing NPS scores

•The virality of user adoption and significant goodwill built with users enables PLG business to successfully (and efficiently) accelerate growth via cross-sell / upsell over time

More SaaS + Software Stats

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%

If your Net Revenue Churn is high (above 2% per month) it is an indicator that there is something wrong in your business; which may have a dramatically negative effect on your company’s growth. Source: Mckinsey

The fastest growing SaaS companies raise an average of $9.5M in Series A funding

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 median average contract length is 1.3 years and the average billing term is seven months in advance in 2016. Comparable to 2015, with average contract length shortening from 1.5 to 1.3 years and average billing period increasing by one month from 2015 to 7 months

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

If the numerator of your quick ratio is growing that means your revenue is growing. It’s important to keep increasing revenue to counter any MRR (Monthly Recurring Revenue) that is lost to churn

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

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

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

More Growth Strategy Stats

The top 50% of the fastest growing SaaS businesses generate much higher upsells than their competitors. The larger the business, the greater the impact of upselling

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.

Less than 20% of new revenue came from existing customers in the form of up-sell and expansion sales

High-growth companies generate 60% fewer sales opportunities than low-growth companies

As of December 2018, there were total 105,000 employees in Lockheed Martin, as compared to 126,000 employees in 2015.

86% of SaaS businesses treat “New Customer Acquisition” as their highest growth priority, both in terms of executive support and funding available

51% of large (revenue >$2.5million) SaaS companies use field sales as their primary method of distribution

The fastest growing SaaS companies raise an average of $9.5M in Series A funding

54% treat upselling and add-on sales as high priority

A 1% increase in pricing strategy yields an average 11% increase in profit