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

•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

SaaS & Tech Growth Strategy Articles

• Take AIM: How to Target the Right Audience
  Steps needed to establish and reach your target audience.
• Why Link Building is Crucial for Your SEO Strategy in 2023
  Why Link-Building is Crucial for Your SEO Strategy in 2023Link building is an essential part of search engine optimization and is imperative to a successful SEO strategy. It involves acquiring links from other websites to your own website in order to improve its authority and search engine rankings. In other words, link-building is the process […]
• How Technology Companies Can Leverage Focused Niche Markets
  How B2B SaaS Companies Can Leverage Focused Niche MarketingAs the world advances more and more toward consistent innovation, B2B SaaS companies are finding it harder to survive in the market. The market is so competitive that technology companies are at each other's throats all the time for survival. It's all about 'survival of the fittest. […]
• Personas and The “Broken Telephone” Game
  We've all played the telephone game.
• Organization Structure Planning
  In this Insivia insight, Andy points out how important organization structure planning is to your long term goals. Unless you are a sole proprietor working alone, you team will be a vital part of your growth and success. Incorporating them into your plan will not only help them see how all of the pieces fit […]
• Blue Ocean Strategy Developing Value Propositions
• Make Tactical Goals Part of Your Vision
  When it comes to your business, you're probably planning a lot of different things - your next marketing move, your newest product, or making an acquistion. But not many businesses spend time planning out how to achieve goals.In fact, a lot of people leave this critical step out during their visions.After all, when most people […]
• 10 Reasons Your Customers Are Churning
  Churn is a death knell for any business. Make sure you aren't making any of these common reasons your customers are churning.
• Segmentation, Targeting, and Positioning
  If you try to target everyone you end up not reaching anyone.

SaaS + Software Stats

• Software and online services are in a period of dizzying 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
• 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 best SAAS businesses have a LTV to CAC ratio that is higher than 3, sometimes as high as 7 or 8
• Increases in revenue growth rates drive twice as much market-capitalisation gain as margin improvements for companies with less than $4 billion in revenues
• 56% treat “Existing Customer Renewals” as high priority
• High-growth companies are 8X more likely to reach $1 billion in revenues than those growing less than 20%.
• Median annual gross dollar churn was 8%, 7%, 6% and 8% in 2016, 2015, 2014 and 2013
• Growing faster has twice as much impact on share price as improving margins

SaaS & Tech Growth Strategy Stats

• 47% of millennials want to work at diverse companies, according to a recent study.
• In 2018, the U.S. imported aerospace products worth about 53.98 billion U.S. dollars.
• If you are charging $500 per month, you can afford to spend up to 12x that amount (i.e. $6,000) on acquiring a new customer
• When venture capitalists participate in seed rounds, the average round size is 3x larger
• The average SaaS company spends just 6 hours determining their pricing strategy
• Investment in marketing automation tools is expected to reach $25 billion by the year 2023
• High-growth companies generate 60% fewer sales opportunities than low-growth companies
• In 2017, the world invested around 3.4 billion U.S. dollars in small hydropower technologies, down from 3.9 billion U.S. dollars in 2016.
• The median TTM revenue growth rate + adj. EBITDA margin for publicly traded SaaS companies was ~37%, implying that just under one half met or exceed “The Rule of 40%”