How to calculate Average Revenue Per User (ARPU)
Average revenue per user (ARPU) is one of the most overlooked metrics. As a SaaS entrepreneur, digging into how much the average user spends can guide you in optimizing your budget, product pricing, and user targeting. This blog post explains what ARPU is, how to calculate it, and how to optimize it. Let’s get started… […]
Use the T2D3 framework to grow your B2B SaaS into a unicorn
The T2D3 framework is a popular growth framework adopted by growth-focused SaaS companies. Investor Neeraj Agrawal introduced the concept in 2015. T2D3 is short for ‘triple, triple, double, double, double.’ The method guides SaaS startups to realistically become a unicorn in about 5 years by aiming to triple their annual revenue year-on-year for the first […]
Defining Customer Retention and why it matters
When you’re starting a new subscription business, there are so many things to think about – from the initial product design to attracting your first customers. But one thing often overlooked is how to keep those customers using your product. This is what we call Customer Retention in SaaS. This blog post will define customer […]
Customer Acquisition Cost (CAC): What does it mean?
Every SaaS business makes money through customers. It’d be hard to find a thriving company without customer acquisition or retention as a significant part of its goals. To find customers for your business, you need to invest money. We spend money to make money. But you’d want to be sure your returns are worth the […]
Customer Lifetime Value (CLV): What is it?
Every business’s dream in sales is to keep all their existing customers while also gaining new ones. That’ll mean growing revenues each month and each year. Who wouldn’t want that?! While we’re yet to see this happen (because it’s nearly impossible), you would want to retain a customer long enough until you’ve at least gotten […]
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