Statistic Info

By definition, non-renewal rates are higher than gross dollar churn rates. However, it is interesting to see that the non-renewal rates are also higher for shorter duration contracts.

For Entrepreneurs.com

More SaaS + Software Stats

At a 35% CAGR, it takes 10 years for a SaaS company to grow from $5M to $100M in ARR

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

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

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

Since churn is so important, wouldn’t it be useful if we could predict in advance which customers were most likely to churn?

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

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

Customer Acquisition Cost (CAC) = sum of all sales & marketing expenses/ number of new customers added

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

It’s 9x cheaper to retain existing customers than acquire new customers: costing $0.13 to acquire any additional dollar of revenue

More Growth Strategy Stats

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

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

In 2018, the global tech spending is forecast to amount to 3,212 billion U.S. dollars.

26% of SAAS companies with at least $15MM in 2015 GAAP revenue had a revenue growth rate + EBITDA margin of 40% or higher

Even if a software company is growing at 60% annually, its chances of becoming a multibillion-dollar giant are no better than 50/50

Unlike many other industries, if a software company grows at only 20%, it has a 92% chance of ceasing to exist within a few years

SAAS companies invest between 80% and 120% of their revenue in sales and marketing in the first 5 years of their existence

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

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

For SaaS companies valued at over $1billion, the median amount of financing raised is $206million