Aleksandar Stojanović, MSc.’s Post

💡 Do You Really Understand Your SaaS Metrics? Your metrics are more than just numbers - they’re the story of your business. But are you reading them right? Here’s what key SaaS metrics reveal and how they drive growth: 1️⃣ LTV/CAC: Are You Acquiring Profitable Customers? This shows how much a customer is worth compared to what it costs to acquire them. 💡 Why it matters: A high LTV/CAC ratio means strong product fit and satisfied customers. If it’s low, you’re overspending or not retaining enough value. 2️⃣ ACV (Annual Contract Value): Know Your High-Value Customers ACV tells you the average yearly revenue per customer. 💡 Why it matters: It helps with forecasting and identifying which customers contribute the most to growth. 3️⃣ MRR Growth Rate: Is Your Revenue Growing Consistently? This metric tracks how fast your monthly recurring revenue (MRR) is growing. 💡 Why it matters: A steady growth rate shows predictable income, critical for scaling and investor confidence. 4️⃣ Churn Rate: Why Are Customers Leaving? Your churn rate shows how quickly customers are leaving—but not why. 💡 Why it matters: Customer feedback is key to uncovering the reasons behind churn and improving retention. 5️⃣ Quick Ratio: Can You Outgrow Churn? This compares new income to revenue lost from churn. 💡 Why it matters: A strong ratio shows you can sustain growth even with some customer turnover. How a Fractional CFO Helps As a fractional CFO, I help SaaS founders: ✔️ Track these key metrics and spot trends. ✔️ Use insights to improve retention and profitability. ✔️ Build a financial roadmap to scale confidently. 👉 Want to decode your SaaS metrics and drive growth? Let’s talk. DM me to get started.

SaaS CEOs: Stop Chasing Vanity Metrics. Focus on These 3 KPIs Instead. Revenue, Customer Lifetime Value, and Net Promoter Score are where it's at. In today’s hyper-competitive SaaS market, vanity metrics like website traffic and social media followers often create a false sense of success. Sure, they look great in reports, but do they truly move the needle? If you're serious about sustainable growth, shift your focus to KPIs that directly impact your bottom line: 1️⃣ Revenue Growth: This is the ultimate measure of your company’s success. Focus on increasing Monthly Recurring Revenue (MRR) and Annual Recurring Revenue (ARR). 2️⃣ Customer Lifetime Value (CLV): Understanding how much a customer contributes over their entire lifecycle is critical for scaling effectively and optimizing acquisition costs. 3️⃣ Net Promoter Score (NPS): A happy customer base drives referrals, renewals, and organic growth. Monitor how likely customers are to recommend your product. Cut through the noise and focus on what matters most. What KPI is your primary focus for 2025? Let me know in the comments!

90% of SaaS value propositions you’ll come across: ⦿ Are not understood by the customers it should attract. ⦿ Can't keep anyone's attention for 3 seconds. ⦿ Talk in generalities to not rule out anyone. ⦿ Don't challenge, hit the right nerve, or build trust. ⦿ Could be used by any other SaaS business without any change. ...Which makes it impossible to grow predictably. If this sounds familiar, and you struggle with low-quality leads, long sales cycles, and not closing enough deals - you’re leaving lots of money on the table. You need a Framework purposely built for B2B SaaS companies to create a value proposition that stands out. A framework that’s not wishy-washy fluff. ⦿ Proven formula to clarify what makes your SaaS business remarkable. ⦿ Proven formula to identify who's prepared to pay a premium for that (and why). ⦿ Proven formula to clearly hit the right nerve with those people. ⦿ Proven formula to communicate your value in a compelling way. ⦿ Proven formula to position your SaaS in a way that stands out. All packaged in a 4-week Pressure Cooker workshop program. Hello, dream customers. Goodbye, unpredictable growth. DM me "PRESSURE COOKER," and I’ll reach out to see if we’re a good fit to work together.

what is the most important Saas growth Metrics... SaaS Growth Metrics You Can’t Ignore! If you want to scale your SaaS business, tracking the right metrics is crucial. This infographic highlights key metrics to measure your SaaS growth. Here’s a breakdown: 1. Monthly Recurring Revenue (MRR): -MRR by Customer: Total recurring revenue from paying customers. -MRR Expansion: Additional revenue from up-selling or cross-selling to existing customers. -MRR Churn: Revenue lost from customers downgrading or canceling their plans. -MRR Growth = New MRR + Expansion MRR - Churn MRR. 2. Customer Acquisition Cost (CAC): Total cost to acquire a new customer, including sales and marketing expenses. -Formula: CAC = (Total Sales & Marketing Expenses) / (Number of New Customers). 3. Lifetime Value (LTV): LTV is a measure of the financial value of a customer over their entire relationship with your company. -Formula: LTV = (ARPU x % Gross Margin) / MRR Churn Rate. 💡 Additional Metric: Inbound Qualified Lead Velocity: This measures the month-on-month growth of your inbound leads. Key Guidelines: -Aim for an LTV that is 3x your CAC. -Make sure you recover CAC in less than 12 months. 🔍 Tracking these metrics is non-negotiable for sustained growth. Which one do you think is most important for SaaS companies? save it for later 💬 comment with your thoughts ♻️ repost to help your network

#SaaS operators must understand the balance between sales and marketing spend and the acquisition of net new revenue. Enter the SaaS Magic Number. The SaaS Magic Number is a sales and marketing efficiency metric. It measures the balance between sales and marketing spend and revenue growth. It differs from the Cost of ARR, because the Magic Number focuses on revenue growth, not bookings growth. In this article, Ben Murray of The SaaS CFO will explain how to use the Magic Number in 2025. #magicnumber #netnewrevenue #saasfinance #saasmetrics #financialmetrics #saasstartups #saasbusiness #saassales #saasmarketing #saasgrowth #earlystagestartups #revops #gtm #gotomarket #monetization #bestpractices #expertadvice #strategy #businessgrowth #salesgrowth #revenuegrowth #revenueenablement #revenueoperations #revenuecycle #revenueintegrity #revenuestrategy #revenuestreams #salesperformance #salesefficiency #revenuemetrics #scalingup #revenueperformance #scalingbusiness #saasbenchmarks #growthstage #expansion #growthmetrics #keymetrics #growthrate #saasindustry #freeresource #cfo #cfoinsights #saascfo #revenuegeneration #revenuecyclemanagement #revenuemanagement #revenueintelligence #revenueoptimization #salesperformance #marketingefficiency #freetemplate #salescycle #gtmefficiency

Metrics are crucial in the #SaaS industry, especially for scaling businesses. Everyone uses #MRR (monthly recurring revenue) as the general metric to gauge growth – and yet it is just a byproduct of many other factors. Understanding the underlying metrics that contribute to MRR is essential for a holistic view of business health and to stay ahead in the fast-paced world of #software, where having an innovative product may not be enough. By leveraging these insights, businesses can make data-driven decisions, optimize their marketing strategies, and ultimately drive growth. With its comprehensive "SaaS Marketing Periodic Table", this article by Insight Partners makes for a great read to deepen your understanding of these critical components and elevate your SaaS marketing game. As a prominent venture capital and private equity firm, Insight Partners has been at the forefront of scaling software companies, making their insights particularly valuable. #SaaS #Marketing #Metrics

How can you skyrocket your SaaS company to $3M+ ARR? After your SaaS product starts garnering initial revenues, the real challenge sets in - scaling your product to reach as many of your ideal customers as possible. This is the phase where the focus shifts from the product to building and executing a scalable Go-To-Market strategy. Here's how you can go about it: • Define your Ideal Customer Profile: Knowing who your ideal customer is crucial. This helps you target your marketing and sales efforts effectively. • Craft your Strategic Message: The way you communicate about your product can make or break your success. Crafting a strategic message that resonates with your ideal customer can significantly boost your sales. • Run Consistent Marketing & Sales Activities: Once you have your ideal customers and strategic message in place, run a consistent set of marketing and sales activities to get your message across to your ideal customers. If you're a SaaS founder looking to accelerate your path to $3M+ ARR (and beyond), then grab a complimentary copy of my 5-Point SaaS Growth Strategy Guide. This guide will walk you through the 5 most critical components to building a scalable Go-To-Market Machine. Grab your copy by following the link in the comments below 👇 Note: If you don't see my comment below with the link, choose 'Recent Comments' in the dropdown below my post.

“The SaaS market isn’t slowing down. It’s evolving.” Many SaaS founders see market instability as a threat. But here’s what’s really happening: - Enterprise buyers are more strategic than ever
- They’re actively seeking solutions that create measurable impact
- They’re ready to invest in SaaS products that delivers clear ROI
- and the bar for value demonstration is higher This creates a unique opportunity for sales-led SaaS companies that: 1 - Know exactly who they serve 2 - Have a crystal-clear value proposition 3 - Can demonstrate tangible business impact 4 - Build trust through deep customer understanding The winners in 2025 won’t be those who wait for the market to “stabilize.” They’ll be the ones who adapt their sales approach to match how organizations buy today. ————- Hi I am Ton Dobbe Sales-led SaaS CEOs come to me when their growth isn’t matching their product’s potential. I pinpoint your growth barriers, solve the root causes, and – unlike others – tie my fees to your success. Here’s to check out the the 3 ways to make your SaaS company Remarkable: valueinspiration.com

Does your company operate in a "make every month" cadence? Most SaaS companies do-- you aren't alone. Few companies have accurate forecasts outside of a 90-day time horizon and we dig into the reasons for that and how to improve forecasting processes. One reason is this make-every-month cadence of pulling deals in, but also that forecasting is siloed with sales. Let's talk about how to improve forecasting and break this cycle: https://sta.mx/o41f

Demystifying SaaS Sales Revenue: Key Terms You Need to Know Here are some revenue-related terms specific to SaaS sales: 1. Monthly Recurring Revenue (MRR): The predictable revenue that a SaaS company expects to receive every month from subscriptions. 2. Annual Recurring Revenue (ARR): The predictable revenue that a SaaS company expects to receive annually from subscriptions. 3. Average Revenue Per User (ARPU): The average revenue generated by each customer or user over a specific period of time. 4. Churn Rate: The rate at which customers cancel or do not renew their subscriptions. 5. Customer Lifetime Value (CLTV): The total revenue expected from a customer over the entire duration of their relationship with the company. 6. Gross Revenue: The total revenue generated by a SaaS company before deducting any expenses. 7. Net Revenue: The revenue generated by a SaaS company after deducting any refunds, discounts, or returns. 8. Expansion Revenue: Revenue generated from existing customers who upgrade their subscription or purchase additional products or features. 9. Contract Value (CV): The total value of a customer's contract with a SaaS company, including any recurring and one-time fees. 10. Revenue Recognition: The process of recognizing revenue from subscriptions over time, typically on a monthly or annual basis. These terms are important for understanding and managing the revenue aspects of SaaS sales. #SalesEducation #SalesTraining #SalesSkills #SalesDevelopment #SalesCoaching #SalesTips #SalesTechniques #SalesLearning #SalesAcademy #SalesLeadershipDevelopment