Remove Metrics Remove Revenue Remove Sales Cycle Remove Valuation
article thumbnail

The Virus Survival Strategy For Your Startup

Steve Blank

Next, take a look at your actual revenue each month – not forecast, but real revenue coming in each month. Subtract your monthly gross burn rate from your monthly revenue to get your net burn rate. All your assumptions about customers, sales cycle and most importantly, revenue, burn rate and runway are no longer true.

Burn Rate 436
article thumbnail

Bootstrapping Relevance: Making Web Conversions Meaningful for Long Sales Cycles

ConversionXL

Often, little more than a form fill tells you about the potential for a five-figure sale months down the road. Google Analytics insights frequently end with raw counts of goal completions, leaving a yawning gap between on-site behavior and sales for companies with long sales cycles. Analyze and act on that data.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Startup Killer: the Cost of Customer Acquisition | For Entrepreneurs

www.forentrepreneurs.com

Business model viability, in the majority of startups, will come down to balancing two variables: Cost to Acquire Customers (CAC) The ability to monetize those customers, or LTV (which stands for Lifetime Value of a Customer) Successful web businesses have long understood these metrics as they have such an easy way to measure them.

article thumbnail

Cracking The Code: Impact of the recession on SaaS.

Cracking the Code

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. What I'd really like to see is what has happened to average sales prices for these vendors. Detailed SaaS Spreadsheet (Valuation and CAC benchmark).

article thumbnail

Cracking The Code: Unveilling of the Bessemer's 10 laws of Cloud.

Cracking the Code

Cloud accounting is all about matching revenue and costs to consumption…well, except for professional services! SaaS companies use different metrics to calculate renewals. In regards to calculatimg the "Magic Number" - should the amount included as sales and marketing costs match the length of the sales cycle?

article thumbnail

B2B Marketing Attribution: Models, Tools, and Processes

ConversionXL

As a group, we’ve gotten a firmer grasp on top-of-the-funnel metrics. To get marketing a seat at the table and prove that it can drive revenue and pipeline, we’ve become borderline obsessed with numbers. Conversions (e.g. form fills). Black box]. However, some visibility is better than none at all. Why do I say that?

B2B 131
article thumbnail

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

Cracking the Code

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! Great list! Philippe Botteri.