Streaming is way up … even in SaaS. So what are The Top 10 SaaStr Videos of the Week?
Let’s take a look on what you need to get caught up on!
#1: “The Cadence: How to Turn Your SaaS Startup into an Army” With David Sacks. This was a great session from NewNewVenture.com this week where David walks us through what he learned at Yammer, PayPal and more on how to navigate from 50-500 employees. A classic already. Watch it.
#2: “Decacorns & Unicorns in 2020: Founders Fund Keith Rabois and SaaStr’s Jason Lemkin”. Another terrific New New session, and one of the most insightful and open conversations with Keith I’ve seen. We talk a lot about where things really are today, why and how things are and will bounce back, and more.
#3: “Seed Investing Today: What’s Changed, What Hasn’t with Continue reading "The Top 10 SaaStr Videos of the Week: Flexport, Craft Ventures, Aileen Lee, Homebrew, and More"
Outlined below is a collection of key financial and capital market resources from the week ending 5/29.
“If you bought Workday right after IPO and held through today, you’d be sitting on 18.7% IRR and a 2.7x gross multiple of invested capital—buying SaaS equities after IPO and holding long term is foolproof.”
Permabull investors point to Workday as their overwhelming proof that SaaS is a guaranteed successful long term investment. But “long term” is an undefined phrase. In the age of algorithmic and high frequency trading a week could be considered long term. Conversely, per Michael Burry in the early 2000s, “…[I] recommend that members of this investment vehicle judge my performance over a period of five year or greater…this will prove to be the most fruitful and enjoyable manner in which to participate in the fund.” A 5+ year horizon is idealistic considering that
Ep. 337: Christine Trodella is Head of Americas for Facebook’s Workplace product, the communication tool that connects everyone in your company, through Groups, Chat, Rooms and Live video broadcasting. Prior to Workplace, Christine was Head of America’s for Facebook’s Audience Network and before that spent 5 years as a Group Director across multiple different sales and account teams within Facebook’s mid-market channel. Before Facebook, Christine was an Executive Director @ WebMD and before that spent close to 3 years in media sales at Yahoo.
Pssst 🗣 Loving our podcast content? Listen to the start of the episode for a promo code to our upcoming events!In Today’s Episode We Discuss:
How Christine made her way into the world of SaaS as part of a non-SaaS company and how that led to her leading Americas for Workplace by Facebook.
What have been the biggest benefits of scaling a SaaS company within a non-SaaS company? What are the biggest challenges or misalignments of scaling Workplace within Facebook? What have been some of the core and early mistakes the team made in their strategy to build out the Workplace sales and marketing machine?
What have been Christine’s biggest lessons on what it takes to sell really effectively to some of the largest enterprises in the world? What do CIOs most want in pricing? How does Christine think about the pricing problem of having a variable pricing mechanism without disincentivizing usage? How does Christine think about and approach discounting?
Does Christine believe remote is the new normal? What really interesting data have Christine and the Workplace team seen since the world has move to work from home? How has behavior changed on the platform with the rise of remote work?
Ep. 338: These are unique times. In some ways, we can use our playbooks, make adjustments, and in other ways, things are very different. What isn’t likely to be very different is that recurring revenue … recurs. This is the bedrock of SaaS. Hear how Slack CEO, Stewart Butterfield, is adapting to change and his advice on how to take care of your team and customers.
It can be hard to know what to make of the world today. On the one hand, unemployment is at close at an all-time high, and many businesses are either shut down or crippled. On the other hand, as a group, SaaS stocks and companies are at an all-time high:
The root cause may be as simple as most of the decacrorns in SaaS seems to be getting a “Covid boost”. Zoom, Atlassian, Slack, RingCentral, Five9, etc. all support work-from-home. Some security vendors have become even more important as we’ve moved from having a few offices to, e.g. Zscaler, in essence, 1000s (for each employee in WFH). eCommerce has been pulled forward by years, e.g. Shopify. Even companies like VMware are getting a Covid Boost.
But most SaaS companies aren’t exactly like these Covid Beneficiaries. I think most are more Continue reading "Salesforce and Workday: “Covid-19 is Slowing Us Down”"
In all recessions there’s a range of responses from companies in the same industry: some thrive and come out with increased market share, while others falter or even go out of business.
The natural inclination of many executives is to cut, cut, cut, with marketing in the “first fired/last hired” position. But companies that take that path may be hurting their short-term, and certainly their long-term, growth. As Henry Ford said, “Stopping advertising to save money is like stopping your watch to save time.”
The current recession devastated a few industries, like hospitality and travel, virtually overnight. Other industries are feeling modest to major effects, and a few are even thriving.
Related: These Cost-Reduction Strategies Aren’t Easy, But They Could Save Your Business
Here are 21 ways that companies can use marketing to not just maintain but grow market share over the next 12–18 months. And when I say
There’s no magical answer, but for venture-backed start-ups, for years VCs have aligned on around 6%-8% equity for a non-founder / outside CEO. As you approach IPO and very late stage, that often goes down.
A few examples.
Dev Ittycheria joined MongoDB as CEO after the Series B, and had 6.3% at IPO:
Jennifer Tejada joined PagerDuty as outside CEO, similarly had 6.4% at IPO as well:
Gregg Schott joined Mulesoft as CEO after founder Ross Mason, and going into the IPO had about 3%:
For founders, there’s no formula. It’s more a function of how much dilution a start-up takes, and that can vary wildly based on # rounds, valuation, etc.
Based on an analysis I did a little while back here, the average Founder-CEO ends up owning about 14% at IPO:
If you asked me in May of 2018 if I thought my (selfie) recorded walk down the Fort Point boardwalk with Manjit Singh would lead to anything more than a one-time post, I would have told you no.
Turns out I was wrong.
Two years, ~18 miles walked, 17 cities, two continents and 99 episodes later, the #WeeklyWalk is celebrating its centennial! And to help mark the occasion, I wanted to share the 10 biggest things I’ve learned from these walks:
My arm gets really tired after five minutes of holding up my iPhone. I need to either work out more or keep the videos under five minutes.
When it comes to selling—especially to CXOs—most vendors don’t do their research. They try to sell to them without understanding their organization, their pain points or whether they’re even the right person to even be selling to. Know your target!