Revenue Renewal Rate= (MRR up for the renewal at beginning of month- MRR not renewed at the end of month)/ MRR up for renewal at beginning of month)

Quote in SaaS & Tech Growth Strategy

Quote Info

You need to be thinking about how the length of each contract will affect churnin a given period when you calculating renewal rate.


More SaaS & Tech Growth Strategy Articles

Organization Structure Planning

Make Tactical Goals Part of Your Vision

7 Key SaaS Growth Strategies

Sharing Your Vision With Your Customers

Personas and The “Broken Telephone” Game

13 Strategies to Boost SaaS User Retention and Renewals

Marketing Strategy vs. Marketing Plan

How to Determine a SaaS Marketing Budget

What The Smart Home Means For Marketing

Defining Your Brand Voice

More SaaS & Tech Growth Strategy Stats

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

Smaller SAAS companies reported more frequent use of third-party providers as their primary application delivery method, while the largest companies were more likely to use self-managed servers

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

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

Non-renewal rates are higher than gross dollar churn rates and higher for shorter duration contracts. Source: ForEntrepreneurs

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

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

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

The average SaaS company spends just 6 hours determining their pricing strategy

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

Looking for SaaS focused services?
SaaS Website Design
SaaS SEO Agency