We’ve talked quite a bit about the pros and many cons of raising prices on existing customers on SaaStr. Our general view, and experience, is that until you are fairly mature, raising prices on existing customer isn’t worth it. It impacts your NPS and relationships. And importantly, it will burn up a lot of internal discussion and brain cycles and won’t really matter. Raising prices on a small group of customers today won’t move the long-term needle. Focus that energy instead on bringing in new customers, and building new editions for your existing customers. Find a way for them to organically buy more from you instead.
A price increase on the existing base can move the needle when you are at say SurveyMonkey’s size and growth profile … but you aren’t there today:
With Slack’s IPO data and financials finally public, what is left to know about the app we all use and been reading about for years?
What’s interesting to know about Slack … that we didn’t already know? ?
Slack is obviously a rocketship going from $0 to $600m+ ARR (!) in 5 years (OMG), growing 80%+ Year-over-Year, and more than 1 billion messages sent a week (!). As part of our new 5 Interesting Learnings series, here are a few:
Freemium continues to scale for Slack, and not slow down. Many folks think that Freemium has a natural ceiling, and perhaps sometimes it does. But not yet for Slack. Slack has 88,000 Paid Customers now … but also 500,000 organizations on their Free plan.
But also — Slack has gone Enterprise. Way Enterprise. It took a little while. You can see our fun video
Niall Wall, Box SVP of Business and Corporate Development alongside Vicki Lin, Stripe’s Head of Ecosystem and Cecilia Stallsmith, Slack’s Director of Platform Marketing discuss scaling your revenue via indirect channels and platform ecosystems. They talk about how to get started building your ecosystem, measuring the value of that ecosystem and trapdoors to avoid when building your platform.
Want to see more content like this session? Join us for SaaStr Annual 2020.FULL TRANSCRIPT BELOWVicki Lin – Head of Ecosystem @ Stripe
Niall Wall – SVP of BD, Channels & Emerging Businesses @ Box
Ceci Stallsmith – Director of Platform Marketing @ Slack
Ceci Stallsmith: Hello everyone. How’s SaaStr going? All right, that was quiet. Well we wanted this to be a really intimate and interactive session, so in order for us to do that we wanted to poll the audience. We can’t really see you very well, so
Mark Roberge is a senior lecturer at Harvard Business School and the former CRO at Hubspot. His session was our highest-rated session at SaaStr Annual 2019 and you’re about to see why. He provides an in-depth guide to driving revenue growth at your company and what to expect at each stage. The three stages are product-market fit, then go-to-market fit and lastly growth and moat. Regardless of what stage you are in, he provides a framework to systematically approach this stage and what you should focus on to get to scale faster.
Here’s a quick overview of what to focus on during each stage:
Want to see more content like this session? Join us for SaaStr Annual 2020.FULL TRANSCRIPT BELOWMark Roberge– Senior Lecturer at Harvard Business School; Former CRO at Hubspot
SaaStr, good morning. What are you doing up so early? Alright, we’ve got a fun journey
Cash collections is a topic we haven’t discussed much on SaaStr, but boy it can be important all the way until you have a CFO. And often after.
What’s the issue? The issue is that start-ups are terrible at collecting cash that doesn’t come from a payment gateway. Just terrible.
– terrible at collections. start-ups without an A/R function often have $250k-$500k in uncollectible receivables.
– metrics that break and don't make sense. starts to harm you in later fundraising.
– inability to do cohort analyses, or even often, any basic analyses
— Jason ✨?????????.???✨ Lemkin ? (@jasonlk) February 15, 2019
And they often get worse as they go upmarket. They hook up a payment system when they start as self-service, and the cash magically flows into the bank account. But then they close some bigger customers. And add some services. Both
Didn’t get the chance to fly out to Paris for SaaStr Europa earlier this year? Check out this session with Guillaume Princen, Head of France and Southern Europe @ Stripe, where he talks about the metrics you need to be focused on in your startup. If you don’t have the time to watch the whole session, here’s the main metrics you should be mindful of.
MRR, obviously. Or maybe ARR, depending on your model.
Churn. Something we all hate, but still important.
Steve Newman is the Founder & CEO @ Scalyr, the startup that helps your devops team solve more problems in less time with log monitoring and analysis in seconds. Steve has raised over $27.5m in funding with Scalyr from many friends of the show including Susa Ventures, Bloomberg Beta, Shasta and GV. As for Steve, prior to Scalyr, he was the Founder of Writely which was acquired by Google to become the little known, Google Docs. Before that he founded 2 prior startups, Ann Arbour Softworks (acq by Ashton-Tate) and BitCraft (acquired by Macromedia). If that was not enough, Steve also sat on the Technical Advisory Board at Box for over 3 years.
In Today’s Episode We Discuss:
How Steve made his way into the world of startups and SaaS over 30 years ago? What is the founding story with Scalyr and what was that a-ha moment?
IPOs seem like a dime-a-dozen these days in B2B/SaaS/B2D, but Elastic was one I wanted to learn a bit more about. Many of you like use Elastic and/or Algolia to power search on your sites and applications.
A few interesting learnings for me at least:
TAM is What You Make It. Elastic says its initial TAM for basic search was $3b in 2012, but today, as the company has expanded into analytics and adjacent spaces, their TAM is $45 billion. Whatever it is — it’s larger now than when they started. You have to kick things off with a decent TAM, but you can grow it later. Almost everyone does, really. More on that here.
Another Euro-U.S. Hybrid Win. Netherlands + Mountain View. I knew this, but a good reminder. Today, most of us are grabbing pieces of the Bay
Filled with actionable insights and pro tips on how deliver better business metrics to the board, David Kellogg’s session on 10 non-obvious things about scaling SaaS was one of the most anticipated during Annual 2018. Want in on this awesome SaaStr content? Check out the full video and transcript below!
And in case you haven’t heard, we’re building a completely immersive experience for SaaStr Annual 2019! With 3 full days of sessions, featuring over 300 speakers from the best SaaS companies around the world, SaaStr Annual will be filled with actionable thought leadership to help grow your business. Get your tickets to the SaaS show everyone will be talking about!Transcript:David Kellogg: Thank you, thanks for joining our repeat session. So we did it at 9:00, so I’ve done it once now, so you get to see the more rehearsed version. Let’s just up. So I’m Dave, Continue reading "10 Non-Obvious Things About Scaling SaaS with David Kellogg (Annual Video + Transcript)"
Welcome to Episode 180! David Skok is a serial entrepreneur turned VC at Matrix Partners. He founded four companies: Skok Systems, Corporate Software Europe, Watermark Software, and SilverStream Software and did one turnaround with Xionics. Three of the companies he founded went public and one was acquired. In 2001 David joined Matrix Partners, who had backed his last two startups, as a General Partner. David’s successful exits as an investor at Matrix include: HubSpot, JBoss, AppIQ, Tabblo, Netezza, Diligent Technologies, CloudSwitch, TribeHR, GrabCAD, OpenSpan and Enservio. David currently serves on the boards of Atomist, CloudBees, Digium, Meteor, Namely HR, Salsify, and Zaius. You can also find David’s amazing blog here! Huge thanks to Hardi Meybaum and Jason Lemkin for the intro to David today.
In Today’s Episode You Will Learn: