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

From For Entrepreneurs.com
Quote in SaaS & Tech Growth Strategy

When filtered by company size, smaller respondents 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.

More SaaS + Software Stats

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

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

SAAS companies need to track the number of visitors, trials and closed deals; And also track the conversion rates, with the goal of improving those over time

80% of venture capital investments take place in the enterprise

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%”

The average company booking professional services revenue on new deals is equivalent to 16% of the first year subscription value. Professional services margins are approximately 22%

55% of SaaS companies rate Customer Retention as the key metric to measure

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

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

The largest SaaS companies (>$75million yearly revenue) attribute 2.5x as much new revenue to upselling than the smallest SaaS companies (<$1.25million): 28% versus 11%

More SaaS & Tech Growth Strategy Stats

The median annual unit churn for SAAS companies was 10% in 2016

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

To establish a revenue or lead-commitment based on your funnel metrics and revenue-growth goals, work backward from the gross revenue amount that marketing is responsible for generating (generally around 40%)

Google only has a 30 percent female workforce

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

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

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

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

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

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