For companies that offer cloud or pay-per-use products, it is essential to measure a series of KPIs or indicators that are directly related to the particular world of SaaS: MRR, Churn, LTV, ARR, etc. In this article we will see how to measure the main indicators for SaaS products.
The first step, of course, is to understand these metrics and the impact they have on the business: These indicators allow us to do things as fundamental as discovering how much we can spend on a customer to acquire them. In our book, Digital Marketing & Sales Strategy for Startups , we have a chapter dedicated to explaining some of these metrics.
SaaS metrics allow us to do fundamental things like discover how much we can spend on a customer to acquire them.
This fascinating journey through SaaS metrics takes us to the next stage: how to measure them?
At this point, we are buy armenia whatsapp number database going to encounter many problems, especially if we have hybrid businesses that have not yet become 100% SaaS companies .
The natural movement at this stage is to try to measure them using a spreadsheet.
After working hard on a first version, entering formulas and trying to build a database that you can use to make Excel do the calculations, you are going to run into another problem: It is difficult to maintain this Excel. Because the nature of the cloud is changing : there are additions, there are deletions, there are downgrades, there is upselling. In other words, it is going to seem quite complex to have an updated dashboard to measure the main indicators for SaaS products.