SaaStr

MARCH 7, 2023

Many companies got sucked into the 2021 vortex of a low-interest rate environment and high multiples when they should have focused on growth and efficiency. General Partner of ICONIQ Growth, Doug Pepper, and General Partner and Head of Analytics, Christine Edmonds, joined us for Workshop Wednesday , held live every Wednesday at 10 a.m.

GTM 64

GTM Growth Profit margin Contract 64

Martech

MAY 15, 2024

Look for tools that achieve multiple objectives simultaneously Everyone loves a good “get two for the price of one” special, so keep this principle in mind when exploring martech solutions. Does the contract allow for additional licenses and/or products to be purchased as the business ebbs and flows?

Contract 88

Contract Objectives and Key Results Technology Technology 88

PandaDoc

APRIL 17, 2024

Well, are you a SaaS company or an organization that deals with yearly or multiyear subscriptions and/or contracts? Key takeaways ACV stands for “annual contract value.” It’s a metric that tells you about the yearly revenue generated by individual contracts. It goes hand-in-hand with total contract value (TCV).

Contract 52

Contract Non-Profits Legal Clients 52

Martech

OCTOBER 19, 2023

To find it, do these calculations: Revenue = Sales amount × Average order value (or sales price) For example, you have signed 21 new contracts during the last year, with an average value of $7,500. This means that your revenue from the last year is $157,500. So, your ARR will be $100,000 × (12/60) = $20,000.

Product 127

Product Contract Drivers/motivators SQL 127

Partners in Excellence

MAY 10, 2024

Customer could choose to sign contracts for several years, but they couldn’t purchase them outright. Like today’s offerings, ongoing maintenance, service, support were built into the monthly pricing the customer paid. ” But the reality is they are committing to a contract, for example a 36 month contract, or $36K.

Service 62

Service GTM Contract Price 62

SaaStr

DECEMBER 4, 2023

Churn increase due to greater scrutiny of costs Contract values declining More stakeholders involved in decision-making Capchase combined the study with their data set of thousands of SaaS companies and looked at what the best companies do to overcome these hurdles. It could be price, product composition, or payment terms. The answer?

Contract 90

Contract Price Healthcare Commission 90

SaaStr

MAY 27, 2022

Should sales just disappear once the contract is signed? #5. 59% of you have raised prices this year. I think most of us have found our pricing is more elastic than we thought. The related question then becomes do you raise prices on existing customers — or just new customers? Some times, you do have to cut.

Price 119

Price Niche Up-sell Contract 119

SaaStr

SEPTEMBER 5, 2022

Product-led growth (PLG) companies have become a major trend in the world of SaaS over the last few years. These companies are characterized by being product-led; in other words, conversion, retention, and growth are led by the product itself. Secret #2: Pricing. Each rep is probably sending out multiple contracts per week.

Contract 102

Contract Price Growth User Experience 102

SaaStr

JUNE 29, 2023

As buyers grapple with expanding technology, higher prices, and a need for efficiency, SaaS companies need to deliver what their audience is looking for to win in the market. The Year of the Price Hike In 2023, companies face a hard reality –– SaaS prices are rising. Why are SaaS Prices Increasing? Disrupted Funding.

Price 100

Price Contract CRM Engineering 100

SaaStr

JANUARY 11, 2023

And while it’s stock price is down from its 2021 peaks, it’s still up 2x since its 2020 IPO. 3,245 Customers, Up 23% — While ARR is up 40%. A good example of how driving deal sizes up (see the next point) and strong NRR lets you drive NRR up well about new logo growth. #2. No Year of 100% Growth After $10m ARR.

Contract 136

Contract Price Growth Service 136

PandaDoc

APRIL 8, 2024

A deal desk identifies upsell and cross-sell opportunities for existing customers by analyzing past deals and current contracts, and tracking renewal dates. A deal desk is a team within a company responsible for managing and negotiating deals, contracts, quotes, and other sales documents. This includes several action items.

Negotiate 52

Negotiate Cross-sell Contract Legal 52

SaaStr

OCTOBER 25, 2023

But in contrast to their bigger customers, the macro environment — or perhaps market saturation — has led to slowing growth in this segment in 2023. #2. The Big Growth Today is In $50k+ and $100k+ Customers. But a 3% price boost likely materially helped. #7. So much wasted energy getting them there. #3.

Cross-sell 103

Cross-sell Contract Price Growth 103

SaaStr

NOVEMBER 8, 2022

For years, it was Growth, Growth, Growth. Not, for the first time in a long time, it’s Growth + Profits. Now once you hit say, $5m ARR, and the renewals kick in (which rain cash), and the pre-paid annual contracts kick in … you should be able to pull in 120% of your MRR even month in cash, possibly even more.

Quota 111

Quota Contract Price Growth 111

SaaStr

JUNE 29, 2022

Fast forward to today, and its still that — but even more, it’s an enterprise CX solution with $250k+ deals driving growth. #3. But Zendesk has also raised its prices substantially over time, with price per agent now $49-$99 / month. And signing longer contracts (19 months) with higher retention and lower churn. #5.

Drivers/motivators 108

Drivers/motivators Contract Growth Price 108

SaaStr

SEPTEMBER 12, 2023

Measure customer success teams based on renewal rates and revenue growth from the existing customer base, aiming for 80-90% renewal rates and 110-120% revenue growth from upsells. But Not Lower Prices, Usually. SaaS prices are not usually lower due to competition from developing countries. Long-Term Contracts 8.

Price 96

Price Contract Territory Growth 96

SaaStr

MARCH 30, 2023

PSG is a growth equity firm that partners with software and technology-enabled service companies to help them navigate transformational growth, capitalize on strategic opportunities and build strong teams. Our commercial negotiators use the pricing insights from our database to then go and negotiate on our client’s behalf.

Negotiate 86

Negotiate Contract Price Strategize 86

Search Engine Land

NOVEMBER 30, 2023

As an accidental entrepreneur who started a digital marketing agency seven years ago, I’ve learned first-hand what it takes to achieve longevity while navigating periods of rapid growth and economic uncertainty. Hiring just in time doesn’t mean waiting until you’ve signed a contract or your team is struggling.

Contract 101

Contract Clients Pitch Growth 101

Sales Gravy

NOVEMBER 20, 2023

On this episode of the Sales Gravy Podcast, Jeb Blount and Will Frattini, Head of Enterprise Revenue & Growth at Zoominfo, take on account management and account expansion selling. Yet, account retention and expansion are essential for sustainable business growth. This doesn't mean only reaching out when it's time to renew a contract.

Account management 89

Account management Objectives and Key Results Cross-sell Contract 89

SaaStr

FEBRUARY 28, 2019

I remember the first time I tried to do the Old Price-Raise-Without-Notice tactic. But as time went on, we got a bit better at pricing ?? Just to increase Qualcomm to the same pricing everyone else had at their bracket. I canceled the price increase. Price increases on existing customers always lead to churn.

Price 93

Price Customers Referrals B2C 93

SaaStr

FEBRUARY 1, 2022

Asana’s biggest growth is in its $50k+ deals, but its ACV is still just $3,600 … or $300 per month. Pretty amazing to see end-users without budget using a Free edition still driving the majority of growth at $150m+ ARR. And until it started to go upmarket after $125m+ ARR, it never really raised prices.

Contract 141

Contract Cross-sell Price Growth 141

Partners in Excellence

OCTOBER 5, 2015

In this case, the customer was growing faster than their ability to bring people on board supporting the growth. Bill’s solution enabled the customer to support their anticipated growth with their current workforce. You need to hit this price target.” As a result the business case was stunning.

Price 93

Price Finance Negotiate Contract 93

SaaStr

APRIL 5, 2024

For Apollo, Leandra’s sales model is built around a Product-Led Growth (PLG) motion. How to Deal with Pricing in a Hyper-Competitive Environment If you’re in a crowded space, it can feel like a race to the bottom on pricing, but it doesn’t have to be. Instead, they’re pricing based on the value they provide.

Sell 79

Sell GTM Price Up-sell 79

SaaStr

FEBRUARY 11, 2022

But its growth was very strong, up 67% at $120m, and it’s been rewarded with a strong market cap — $2.25 Albeit one with top tier growth. Huge acceleration in growth post-IPO. Huge acceleration in growth post-IPO. Disco’s growth has been more uneven than most. 5 Interesting Learnings: #1.

Legal 103

Legal Contract Growth Price 103

SaaStr

DECEMBER 27, 2020

Slow growth means a low multiple. New Relic is an icon but growth has slowed to 14% annually. It’s a reminder why there is such a premium paid from VCs and others for growth today. And why VCs don’t really want to fund folks with good-but-not-great growth anymore. This means New Relic trades at just 6.6x

Contract 124

Contract Cross-sell Price Growth 124

SaaStr

DECEMBER 27, 2023

Instead, it was growth at all costs. Between 2016 and 2023, you see the ACV (average contract value) going up and up. As a result, the contracts got bigger because they were working with bigger companies. So, you need to get hyper-selective in who you hire at critical growth stages.

Real Estate 83

Real Estate Contract Start-ups Growth 83

Martech

MARCH 5, 2024

My contract is ending soon, and the flier invited me to set up an appointment to speak with a sales representative over the phone to find a new package to switch to before my promotional pricing ends. I came home to find a flier hanging from my doorknob from Xfinity, my internet provider.

Meeting 96

Meeting Represent Contract UX 96

Salesmate

JULY 8, 2020

The amount of time it takes to turn a lead into a customer will depend on the service you are offering, and the price of that service. There are some obvious levers for growth in this stage of the sales pipeline. Making a proposal is more than just sending the prospect your standard product menu and price list. Negotiation.

Pipeline 126

Pipeline Negotiate Contract Objectives and Key Results 126

SaaStr

MAY 23, 2022

But public stock prices are way down, and venture capital is much tighter than it was just a few months ago. But you can’t cut your way to growth. No matter what the contract says, get the renewal invoice out at least 60 days prior to expiration and ask for payment no later than the contract end date.

Contract 115

Contract Negotiate Growth Price 115

Hubspot

MARCH 25, 2024

Dan led growth at Codecademy from $10m to $50m ARR. He’s now sharing battle-tested growth wisdom at Subscription Index. First, A Refresher What we’re discussing here don’t include enterprise contracts, where you get paid millions a year by big clients. Because subscription pricing also offers its unique set of perks.

Niche 57

Niche Price Contract B2B 57

Sales Pop!

JANUARY 8, 2024

Precision in data management empowers businesses to base decisions on facts, optimize operations, and unearth avenues for growth and innovation. Scalability: Assess if the solution can accommodate your organization’s future growth in data volume, variety, and velocity.

Government 52

Government Contract Negotiate Legal 52

SaaStr

DECEMBER 5, 2022

Some startups need constant cash infusions to achieve growth. Experiment with different plans and position the pricing as whole numbers. Instead of displaying the 10-15% discount that users will receive while signing up for an annual contract, say they’ll get $15 off or two months free.”. Lever #6: Price localization.

Product 52

Product Territory Price Cross-sell 52

Sales Pop!

MAY 21, 2024

And with the assistance of Plano MSPs or those in other locations, mobile sales reps can securely access and update customer records, product catalogs, and pricing information from their devices, no matter where they are. Scalable Solutions for Growth As your business expands, so do your technology needs.

Sales 52

Sales Legal Customer Relationship Management CRM 52

ConversionXL

APRIL 13, 2017

As Paul Rouke says, we need to prioritize human intelligence in the face of increasingly sophisticated artificial intelligence, and building a high performing team is the most impactful thing you can do when it comes to growth. Quick Primer on Growth vs. Marketing. As Ben Adelt answered on a Quora thread : Ben Adelt: “Nothing.

Growth 99

Growth Engineering Intrinsic A/B testing 99

SaaStr

NOVEMBER 12, 2022

Later, once you past $20m ARR, and later — if your growth is strong, everyone probably wants to invest. The main issue is price. Other VCs believe capital can accelerate growth. (I Growing too slowly after Initial Traction at a minimum means a lot of VCs will rule you out at any price. I don’t, but many do).

Networking 134

Networking Growth Price Engineering 134

Sales Hacker

FEBRUARY 1, 2021

Why is it that companies have a sales process they follow rigorously to win business, yet avoid the same discipline in managing those customers throughout the lifecycle of their contracts? Too often contract cancellation (or non-renewal) comes as a surprise, but it never should. Why should I pay this price increase? ”.

Customers 74

Customers Contract Cross-sell Account management 74

TrackStreet

APRIL 23, 2024

Additionally, authorized sellers and brands can encounter problems such as price erosion, loss of control over their brand image, price wars, and violation of distribution agreements. They may offer products at lower prices, leading to unfair competition. Unauthorized Distributors. Retail Arbitrageurs. Used Item Resellers.

Profit margin 52

Profit margin Legal Manufacturing Retail 52

ClickFunnels

OCTOBER 12, 2021

The price itself also varies depending on the business type, company size, industry, and other factors that affect the cost per lead metric. What matters, though, isn’t the price tag itself, but whether the lead generation agency can bring in leads at a cost that allows you to stay profitable. It depends. And that costs money.

Lead generation 244

Lead generation Contact Contract Price 244