Statistic Info

As expected, many of the fastest growing companies are among the smallest. Eliminating them brings median growth rates down ~10 percentage points. Median growth rates are consistent with last year’s results. However, this year’s respondent pool was more evenly distributed.

Survey results indicate that companies in the $7.5MM-$15MM range are among the fastest growers. The median growth in this range is much greater than the median of companies half their size. Interestingly, there was a similar bump-up last year, but for companies between $5MM-$7.5MM.

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

The very best SAAS companies keep monthly revenue churn at around 0.58%, that’s only about 7% revenue churn a year

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

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

Growing faster has twice as much impact on share price as improving margins

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

It’s 4x cheaper to upsell existing customers than acquire new customers: costing just $0.28 to acquire an additional dollar of revenue

High-growth companies are 8X more likely to reach $1 billion in revenues than those growing less than 20%.

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

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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

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

47% of millennials want to work at diverse companies, according to a recent study.

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

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

In 2017, Foxconn Technology Group achieved revenue of 158.15 billion U.S. dollars.

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

In 2017, the global adoption rate for biotech soybean amounted to 77 percent.

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