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

Statistic Info

Companies in the $40-75MM revenue range attribute twice as much new revenue to upsells as the median company.

There are a number of reasons why we might see this effect in later-stage companies. One unexciting possibility is that their overall growth in new business is slowing down and it’s skewing these percentages in favor of upsells. Let’s look at this data through another lens and explore how upsells are related to growth.

More SaaS + Software Stats

If the numerator of your quick ratio is growing that means your revenue is growing. It’s important to keep increasing revenue to counter any MRR (Monthly Recurring Revenue) that is lost to churn

Customer Segmentation analysis will help point out which are your most profitable segments

Between the SMB and Enterprise customer types, the top-quartile performers not only have net-revenue churn that is 14% to 23% percentage less than the average performers but also have net-revenue churn that is negative in an absolute sense

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

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

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

Only 8% of large companies use internet sales strategies. The proportion of companies relying on internet sales increases as company size decreases

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

The fastest growing SaaS companies raise an average of $9.5M in Series A funding

The median startup spends 92% of first year revenue on customer acquisition, taking 11-months to payback their Customer Acquisition Cost

More Growth Strategy Stats

The average company gets 16% of new ACV sales from up-sells and expansions, though companies with revenue between $10MM-$40MM are relying more heavily on up-sell and expansions

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

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

Internet Sales strategies have a significantly lower CAC of just $0.42

A University of Texas study showed that women ask for $7,000 less than their male counterparts in job interviews

While field sales remains the most popular way to sell for companies >$2.5MM revenue, companies with <$2.5MM revenue tended to use inside sales as their primary mode of distribution

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)

Sony’s PlayStation brand had accumulated approximately 38.57 million fans on the social network

The median average contract length is 1.3 years and the average billing term is seven months in advance in 2016. Comparable to 2015, with average contract length shortening from 1.5 to 1.3 years and average billing period increasing by one month from 2015 to 7 months

SAAS companies that are focused mainly on enterprise sales have higher levels of professional services