article thumbnail

Turing Distinguished Leader Series: With Partner David Zhang, TVC

ReadWriteStart

It’s almost like the venture community is almost like an influencer bubble. . So they have about 60 million customers now, and they have a view of the net present value of each customer when they’re onboarding them and their models to show it. The vast majority of their customer acquisition is word of mouth.

Partner 132
article thumbnail

Cracking The Code: The Bessemer 10 laws of SaaS - Fall 2008.

Cracking the Code

The top performing SaaS companies typically achieve annual customer renewal rates above 90% - with most of the churn due to death (bankruptcies) or marriage (acquisitions) - and over 100% renewals on a dollar value basis due to up-sells into this installed base. upfront acquisition cost, making the CLTV equal to $2.5-$0.7=