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Compared with previous surveys, field sales lagged inside sales by a greater amount this year (6% in 2015 vs. an insignificant 2% difference in 2014). Median growth among field sales dominated companies slightly lagged inside sales dominated companies (by 6% points), but led internet sales by 8% points. Channel sales dominated companies grew significantly faster, though the data is sparse. Mixed also performed well.

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Non-renewal rates are higher than gross dollar churn rates and higher for shorter duration contracts. Source: ForEntrepreneurs

80% of venture capital investments take place in the enterprise

Even if a software company is growing at 60% annually, its chances of becoming a multibillion-dollar giant are no better than 50/50

High-growth companies are 8X more likely to reach $1 billion in revenues than those growing less than 20%.

Japanese company Hitachi accounted for three percent of the world’s market for diagnostic imaging in 2017.

The very best SAAS companies keep monthly revenue churn at around 0.58%, that’s only about 7% revenue churn a year

Three uses for the SaaS Guidelines

If the numerator of your quick ratio is growing that means your revenue is growing. It’s important to keep increasing revenue to counter any MRR (Monthly Recurring Revenue) that is lost to churn

SAAS companies with >$250K median ACV book nearly 25% of their contracts at 3 years or longer

51% of large (revenue >$2.5million) SaaS companies use field sales as their primary method of distribution

More Growth Strategy Stats

In 2018, the U.S. imported aerospace products worth about 53.98 billion U.S. dollars.

Increases in revenue growth rates drive twice as much market-capitalisation gain as margin improvements for companies with less than $4 billion in revenues

It’s common for startups to grow rapidly, doubling or tripling in size year over year, until they hit $5M in ARR

Customer Acquisition Cost (CAC) = sum of all sales & marketing expenses/ number of new customers added

The venture-backed companies that were acquired most often had a 7 percent share of female execs, as opposed to 3 percent at unsuccessful (unacquired) firms

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

SAAS companies invest between 80% and 120% of their revenue in sales and marketing in the first 5 years of their existence

Less than 20% of new revenue came from existing customers in the form of up-sell and expansion sales

For SaaS companies valued at over $1billion, the median amount of financing raised is $206million

Internet sales strategies are the only sales method to see a decline in CAC, dropping from $0.54 to $0.42 between 2014 and 2015