Quote Info

Of course, any good marketing plan will include how it will be measured. Here are the key metrics that you should look to when gauging the marketing success of your SaaS.

MQL velocity

MQL velocity has been called “the most important metric in SaaS.” This is because though sales and pipeline forecasts are useful, they are lagging indicators hinging on both correct opportunity probability assignments and close dates. However, by looking at MQL velocity compared to lead commits, you can see forward-looking insights beyond a traditional pipeline report.

 

HubSpot

More SaaS + Software Stats

The fastest growing SaaS companies scale their organizations rapidly, growing their teams by an average of 56% each year

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

80% of venture capital investments take place in the enterprise

As companies scale their growth engines, a slightly-above-average churn rate becomes harder and harder to offset with net new revenue growth, especially when the goal is to outpace it by 4x

SaaS companies in the $7.5MM-$15MM range are among the fastest growers

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

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

SaaS, and other recurring revenue businesses are different because the revenue for the service comes over an extended period of time (the customer lifetime)

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

Companies with longer contracts (2+ years) reported the lowest annual unit churn

More Growth Strategy Stats

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

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

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

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

Internet sales-driven companies have a much greater reliance on marketing, with 65% of the median company’s CAC budget devoted to marketing

In 2017, IBM generated 37.8 billion U.S. dollars in global IT services revenue, making it the largest IT services company in the world in terms of net sales

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

SaaS companies in the $7.5MM-$15MM range are among the fastest growers

At Facebook, 15 percent of tech roles are staffed by women

How to Reduce Churn