Steve Blank

SEPTEMBER 14, 2009

Five Quarters of Profitability During the 1980’s and through the mid 1990’s startups going public had to do something that most companies today never heard of – they had to show a track record of increasing revenue and consistent profitability. There was now a public market for companies with no revenue, no profit and big claims.

Silicon Valley 217

Silicon Valley IPO Technical Review Venture Capital 217

ConversionXL

JUNE 5, 2014

It’s too bad, because a report by local & small business locator, Manta.com found that 61% of the small businesses surveyed indicated more than half of their revenue comes from repeat customers. Retention, along with many of our usage metrics, have improved as a result of some of these changes. million in 2004 to $6.5 The result?

Retention 105

Retention Customer Developer Programming 105

Cracking the Code

DECEMBER 1, 2009

SaaS business metrics: why are they different? ► 2006. (7). The 10 laws of SaaS unveiled at Bessemer CEO Summi. ► 01/27 - 02/03. (1). Happy New Year 2008! ► 2007. (10). ► 07/01 - 07/08. (2). How to fish a salmon. ► 06/17 - 06/24. (1). Save the planet! ► 04/15 - 04/22. (1). ► 04/08 - 04/15. (1).

Software Review 48

Software Review Technical Review Cloud Europe 48

ConversionXL

JUNE 5, 2014

It’s too bad, because a report by local & small business locator, Manta.com found that 61% of the small businesses surveyed indicated more than half of their revenue comes from repeat customers. Retention, along with many of our usage metrics, have improved as a result of some of these changes. million in 2004 to $6.5 The result?

Retention 98

Retention Customer Developer Programming 98

Occam's Razor

JANUARY 12, 2015

At the core of everything you will do in digital analytics is the concept of metrics. How do you define a metric: It is simply a number. Your digital analytics tools are full of metrics. Helpful post: Best Metrics For Digital Marketing: Rock Your Own And Rent Strategies.]. Now you have your foundation, metrics and KPIs.

Analytics 60

Analytics Metrics Web Leadership 60

Cracking the Code

OCTOBER 9, 2009

This strong recovery has highlighted the resiliency of the recurring revenue model in a downturn as well as the stength of the shift to soaftware-as-a-service and cloud computing. In other words, how much of the decline in revenue growth is due to signing up fewer customer vs lower revenues from each new customer. Software 2.0:

Software Review 48

Software Review Technical Review Cloud Europe 48

K9 Ventures

JUNE 5, 2015

As the check size increases, investors tend to look for more traction, established revenue models, proven unit-economics, and other metrics that were previously associated with later stage companies. So if the Micro-VCs are looking for Series A-like metrics, what does a company do when it’s just getting started?

Seed Stage 48

Seed Stage Venture Capital Early Stage Valuation 48

Cracking the Code

MARCH 12, 2010

Given the predictability of SaaS GAAP revenues on a quarterly basis, the fact that the 08/09 projections were unchanged is not a surprise. Given that the revenues are not growing very fast, this means that most of the companies have reduced their sales force and focused on productivity improvement. ► 2006. (7).

Software Review 63

Software Review Technical Review Cloud Forecast 63

Eric Friedman

MARCH 25, 2013

Back in 2006 I created a Marketing and Advertising blog network (monetized through Feedburner). I am not sure how many people actively use Feedburner dashboards, a common metric of success of services, but I doubt its usage numbers are growing. For the record I am a huge fan of Feedburner. Feedburner was a great web service.

Analytics 107

Analytics API RSS Metrics 107

Cracking the Code

NOVEMBER 10, 2009

Cloud accounting is all about matching revenue and costs to consumption…well, except for professional services! SaaS companies use different metrics to calculate renewals. SaaS business metrics: why are they different? ► 2006. (7). Support, support, support! Leverage and monetize the data asset (more.)

Software Review 48

Software Review Cloud Technical Review Sales Cycle 48

Cracking the Code

NOVEMBER 10, 2009

It is intriguing to see the M&A dynamics in the space, highlighting the interest of tech companies for recurring revenue streams - even SAP announced in their analyst call earlier this month that they were moving from perpertual licenses to five year term licences. SaaS business metrics: why are they different? ► 2006. (7).

Software Review 48

Software Review Technical Review IPO Cloud 48

Cracking the Code

JANUARY 22, 2009

For SaaS companies, we found that MRR is the best metric on which to base sales commissions. While it may make sense to offer very slight adjustments for favorable payment terms and one time revenue, net additions to MRR should dominate the sales rep’s thoughts. How do you clawback revenue from the sales guy? Cindy said.

Software Review 91

Software Review Clawback Sales Salary 91

Cracking the Code

NOVEMBER 13, 2008

The fact that SaaS valuations are being more affected by the downturn than the Nasdaq can be surprising given the supposed resiliency of the SaaS model (recurring revenues) but it translates the public investors belief that SMB software spend is going to be hit very hard by this recession. SaaS business metrics: why are they different?

Software Review 48

Software Review Technical Review Valuation Portfolio 48

Eric Friedman

APRIL 23, 2014

thought to be effective by very hand wavy metrics such as “visibility” and “brand awareness” but it was impossible to really track. I realized that interactive advertising and banner ads provided great accountability and metrics you could really dig into. It was (and is?)

SEM 83

SEM Advertising Metrics Analytics 83

SoCal CTO

NOVEMBER 5, 2009

I then went to Pepperdine University School of Law and graduated in 2006 with a Certificate from the Geoffrey H. Any thoughts on my recent post Startup Metrics ? The Startup Metrics post is a good example of what I call “holocognics.” Startup Metrics discusses what a Startup needs to consider before “going live.”

Los Angeles 150

Los Angeles Southern California Startup SEO 150

Cracking the Code

JANUARY 28, 2008

This represents an outstanding 2,298% growth vs. 2006 (this type of growth seems big but you get used to it when reading business plans is you day job). SaaS business metrics: why are they different? ► 2006. (7). Happy New Year to you, Cracking-the-code reader! The 10 laws of SaaS unveiled at Bessemer CEO Summi.

Software Review 48

Software Review Technical Review Los Angeles Europe 48

Cracking the Code

FEBRUARY 25, 2008

As I was building the spreadsheet, I also included the revenue multiples for this set of companies, both for the trailing 12-month (TTM) and the forward 12-month (FTM). SaaS business metrics: why are they different? ► 2006. (7). The Index reference point starts on January 1st 2008 at 19,187.81 ► 01/27 - 02/03. (1).

Software Review 48

Software Review Technical Review Europe Venture Capital 48

Cracking the Code

DECEMBER 16, 2006

Saturday, December 16, 2006. however, public SaaS companies like Concur, Saba, Taleo, LivePerson and Ultimate are growing 50-100% per year and trading at an average 5x trailing revenue multiples (I excluded salesforce leading the pack with 9x!) SaaS business metrics: why are they different? ▼ 2006. (7).

Software Review 48

Software Review Silicon Valley Technical Review Software 48

ConversionXL

JANUARY 18, 2022

Since its launch in 2006, Shopify has positioned itself as the best solution for small-end and startup entrepreneurs. HubSpot has built its brand to over 100,000 customers and $1 billion in annual recurring revenue in 2020. There are other brand awareness metrics you can measure to build out this picture, including: Direct traffic.

Equity 94

Equity Marketing Social Media Software Review 94

This is going to be BIG.

MARCH 23, 2015

Focus on the one number or one goal that validates your model, instead of hiring a team of 12 to boost 15 key metrics. Otherwise, we should just call this new $2.5mm seed round what it really is: Series A circa 2006. We''ll ask for all the same metrics we used to in a Series A--some revenue, a full team, etc.,

Post-Money Valuation 60

Post-Money Valuation Valuation Pre-Money Valuation Seed Money 60

BeyondVC

NOVEMBER 17, 2006

From the introduction of our solutions in 2000 through September 30, 2006, our enterprise subscriber base has grown to approximately 1,500 companies who spend from $2,000 to more than $100,000 annually, including companies such as Wal-Mart, Home Depot, Procter & Gamble, Merrill Lynch, UPS and Cisco Systems. million for 2006 and $0.8

IPO 60

IPO Investment Bankers Demand Revenue 60

Occam's Razor

OCTOBER 16, 2007

I had first written about the wonders of site search analysis in a June 2006 post: Are You Into Internal Site Search Analysis? million dollars of revenue for your company. Remember sexy metric bounce rate ? The GA team has kindly built my beloved bounce rate metric for Internal Search. You Should Be.

Analytics 101

Analytics Search Metrics AJAX 101

Gust

NOVEMBER 4, 2011

The company was relisted on AMEX, financial performance and traffic metrics improved, and its stock price climbed from about $2/share in July 2004 to $12/share cash offered a year later by FIM, a newly created unit of News Corporation. by February 2006).

Valuation 98

Valuation Pre-Money Valuation Merger Vesting 98

Occam's Razor

APRIL 21, 2014

If you can fix that, more revenue will immediately flow into your client's bottom-line. I believe these two posts with a collection of some of my favorite metrics will inspire you: 1. Best Metrics For Digital Marketing: Rock Your Own And Rent Strategies 2. Best Web Metrics / KPIs for a Small, Medium or Large Sized Business.

Analytics 131

Analytics Marketing Campaign Metrics 131

Occam's Razor

JANUARY 4, 2016

The specific metric I've been mad about since day one of this blog ( May 14th, 2006! ) Metrics create incentives, bad metrics create bad incentives. While this is a great lesson in the power of defining metrics optimally, why bring this up, one more time, today? Combine Results / Metrics Performance. #5.

Metrics 60

Metrics Analytics eCommerce Conversion 60

Occam's Razor

DECEMBER 12, 2011

I am going to attempt to significantly simply your life by recommending the critical few metrics you should use to analyze performance of your digital marketing campaigns and website. Recommend metrics / KPIs you can use based on the size of your company. Best Metrics / KPIs for Small Business Websites. Obsess about this metric.

Metrics 151

Metrics Web Analytics CPA 151

Tim Keane

JUNE 13, 2006

» June 13, 2006. In general, the first part of the discussion runs to whether or not your numbers are tied to metrics with an underlying set of assumptions, or if they are simply a function of a mathematically applied growth rate. By Tim Keane, Angel Investor, Golden Angels Investors, LLC. What can possibly go wrong; 3.

Wisconsin 60

Wisconsin Entrepreneur Startup Angel Investor 60

Up and Running

FEBRUARY 17, 2016

Ninkasi Brewing began in 2006 on a 15-barrel system and produced 1,650 barrels. Within any model, there are things breweries can focus on to stand out and increase revenue. There are overhead tradeoffs, but I’m seeing it more and more.” “It helps you plan, helps you get return, and ultimately helps you generate revenue.”.

Oregon 60

Oregon Jordan SBA Cofounder 60

YoungUpstarts

FEBRUARY 11, 2019

With CRM revenues at 39.5 Today’s best SMB-focused CRMs capture metrics more effectively than ever before. When combined, they can bolster the revenue of your business with a predicted $394 US billion dollars gained by 2021 , according to Statista. You’ll receive digestible and actionable information in one space.

Artificial Inteligence 127

Artificial Inteligence Sales Cycle Colorado Retention 127

om.co

FEBRUARY 5, 2013

Before I started GigaOm (the company) in June 2006, I had never really worked for a startup. In May 2006 when folks from True Ventures gave me the check (with a message on the back saying “go make your dream come true”), I went into a panic mode. But that is the real metric of success as far as I am concerned.

Founder 80

Founder Conversion Distribution Silicon Valley 80

Occam's Razor

FEBRUARY 7, 2011

But each keyword gets "credit" for other metrics. Parleo_ Q : what is most superficially tempting metric that is almost never worth worrying about? See #1 in this post from 2006: Competitive Intelligence Analysis: Metrics, Tips & Best Practices. What people will share publicly is changing fast.

Analytics 94

Analytics Web Non-Compete Metrics 94

Cracking the Code

MAY 25, 2010

A few highlights from the different keynotes and speakers On top of Jason, we also had the chance of having many great speakers at the event and here are a few quotes and notes that I have taken during the different keynotes and panels: Joe Payne, CEO of Eloqua moderated the panel on Revenue Performance Management. ► 2006. (7).

Software Review 74

Software Review Cloud IPO Jordan 74

Up and Running

MAY 15, 2019

Ninkasi Brewing began in 2006 on a 15-barrel system and produced 1,650 barrels. Within any model, there are things breweries can focus on to stand out and increase revenue. There are overhead tradeoffs, but I’m seeing it more and more.” “It helps you plan, helps you get a return, and ultimately helps you generate revenue.”.

Oregon 24

Oregon Jordan Software Review Distribution 24

Duct Tape Marketing

DECEMBER 14, 2017

We’ve had over 20,000 people download that free tool that we built, and the key metric there is if somebody has used that free tool, their conversion rate on our paid product is three times higher than those who have not. They were very much a luxury item. It was a different day and age. John Jantsch: Yeah, they were pretty crappy too.

Kansas City 40

Kansas City CTO Hire Las Vegas Software Developers 40

Cracking the Code

OCTOBER 10, 2008

Be prepared to cross the desert - SaaS requires R&D and sales expense up front for a multi-year stream of revenue, so it demands enough investment capital to fund 4+ years of runway. Effectively measuring and understanding your CAC and CLTV metrics are key to future success. Great list! I particularly agree on points #2 and #4.

Software Review 48

Software Review North America Europe Metrics 48

Cracking the Code

MARCH 10, 2008

I found this approach interesting, but it seems to me that gross margin is a more relevant benchmark than revenues, given that the GM of saas companies varies by type of application and size of the company (for example NetSuite went from about 50% GM three years ago to close to 70% today).

Sales 79

Sales Software Review Marketing Technical Review 79

Duct Tape Marketing

DECEMBER 3, 2019

Yeah, when we started, the idea for Nextiva came from an experience we had at a previous company where we needed a phone system for ourselves and just the phone system for our team cost us $250,000, a company with 300 people back in 2006, and that was just for the phone system. But I think it’s also a blessing, right?

SMS 40

SMS Metrics SEO Cloud 40