The 2015 median revenue growth rate was 44%, while the median projected growth rate for 2016 is 48%

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.

More SaaS + Software Stats

Growth trumps all

More than 1/2 of SAAS companies increased their spending on customer retention last year

When determining Sales Capacity, “it’s worth noting that some percentage of new sales hires won’t meet expectations, so that should be taken into consideration when setting hiring goals. Typically we have seen failure rates around 25-30% for field sales reps, but this varies by company. The failure rate is lower for inside sales reps. can be counted as half of a productive rep”

A 2017 SaaS Capital survey showed that young companies actually have higher retention rates than more mature SaaS businesses

Analyzed 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

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

Account Churn Rate (ACR) = customers at beginning of month – customers at the end of month / customers at beginning of month

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

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

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

More Growth Strategy Stats

If your Net Revenue Churn is high (above 2% per month) it is an indicator that there is something wrong in your business

Three uses for the SaaS Guidelines

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

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

Less than 20% of new revenue came from existing customers in the form of up-sell and expansion sales

High-growth companies generate 60% fewer sales opportunities than low-growth companies

At Twitter, 10 percent of tech roles are staffed by women

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

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

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