The SaaS business model & metrics: Understand the key drivers for success
ฝัง
- เผยแพร่เมื่อ 5 พ.ย. 2018
- In this talk, David Skok, author of the now famous SaaS Metrics 2.0 blog post will talk through those key metrics and their impact on the overall SaaS business model.
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1. Rule of 40
2. Repeatable, Scalable, Profitable
3. Net new ARR = New ARR + Expansion ARR - Churned ARR (5:00)
4. Bookings = Sales people x PPR (Productivity per Rep) (9:40)
5. LTV should > CAC (Cost Acquire Customer) (12:30)
6. 14:00
7. Negative churn matters (16:00)
8. Balance Sheet & Profit and Loss Statement DON'T work for SAAS
9. Guidelines for SAAS success: (a) LTV > CAC * 3 (b) Month to recover CAC < 12~18 (18:46)
Really great session!! Although couldn't understand what's meant by "Quota" here...especially in the metric Salesperson Unit Economics at 20:15
@@gouribhalerao quota is salesperson’s target
This guy is a total legend. This 20 minutes will carry me for the next 5 years of my life. Soooo thankful for this.
100% Agreed! This video is a treasure..
5 yrs later. Did it serve you well?
Thank you! Supervaluable, well structured and eye opening, and in only 20 minutes!!
This is one of those great training sessions you want to study over and over.
PHD knowledge right there
No
Brilliant! The most valuable 20 mins ever!
Great video. and must watch to get the context of SaaS growth
Super useful and clearly explained. Thank you very much !
This was simply brilliant and needed so badly in understanding the matrix of SaaS
An immense wealth of information wow. Amazed. Thank you.
So much powerful information in a simple presentation
Just Superb! Talk! Truely amazing.
Awesome talk. To the point and so much information
I can't belive this is free! This is so helpful and awesome. Thank you so much!!!!
Great explanation, thank you Mr. Skok
Such a great talk.
Amazing presentation. Just what I needed! What are other great videos that teach about the SaaS business?
Brilliant Session!
Spoken like someone who knows it inside out! 👏
Excellent, high level!
Great video, great content. Thank you!
Before this, there were many blindspots for me in Saas business model. But this talk cleared lot of questions for me
very informative and useful session
David Skok, you are magnificent.
Awesome! Thanks ! Distilled simplicity.
Best video on SAAS metrics
Wow! Blown my mind.
hands on ! super useful !
I am 2 hours new to this and find thus very intriguing.
Nice video teaches ways to improve your business.
Amazing!!!
Mind bender!!
Amazing video!
Great Video!
Amazing stuff
Amazing.... Excellent..
What a smart guy
An eye opener session for people who are into SAAS.
what a great talk
very interesting thanks!
Interesting and valuable story of metrics. Would like to know a bit about the best sales person or people David's ever worked with. Seems to marginalize the sales team a bit, but perhaps for sake of brevity.
Brilliant
The concepts are exceptional. I appreciate you shared. However, in case of negative churn, the customer one who is churned may give a negative feedback. I mean, if the first customer who is churned will no more advocate for the business. so isn't it a predictable loss. Maybe, he would have recommended the business to someone who has the value worth 8K.
Thank you
Incredible
You Sir are a "God" amongst men
Really great session!! Although couldn't understand what's meant by "Quota" here...especially in the metric Salesperson Unit Economics at 20:15
means sales target
Equations are simple but the parameters are complex.
Amazing. Anyone who has tested this approach?
is thre a link of the video of the talk he is mentioning link please
Can someone tell me who’s this guy? It’s amazing
Rule of 40 -> One thing which is critical here is the current scale. If you are a 500k ARR company, 40 is not what you should be aiming at. If you are a 100M ARR company, that's great.
At an $800k ARR what should be the target Rakesh?
What estimate valuation would the above ARR, with 15% growth and 3% churn and 10% profitability. 10 year trading history
@@angeloveeran7793 Sorry the comment above is not as valid in the current downturn economic scenario. I do not have enough info here. In the old world, ignore profitability to get 50%+ (or 100+%) growth 📈 at 1M was the advice we heard a lot.
where's the second talk he mentions at the end of the video?
Do you have a template for those metrics
Nice ppt
So then what is the secret sauce to get to repeatable, scalable and profitable while still growing the product? B2B sales needs the product to evolve and scale while still selling. I know there is no easy answer but this is not a unique problem.
What do you mean by "Average Deal Size" in funnel section ?
Shivam Mohan Trivedi deal as in one sale
Good for SDR BDR AE Sales people?
The other infamous Lord Kelvin saying is “heavier-than-air flying machines are impossible” :)
what's his blog name?
19:07 Skipped that part?
Everyone is saying life changing or amazing when he just basically said:
more sales ppl = more money.
good salesperson = more money.
Sell cheap drug, even at a loss and then when they are addicted charge higher giving less.
It's not rocket science people.
the quality of presentation is so poor, a 3rd grader makes better deck. Quite diasppointed
Brilliant