What Is Customer Engagement Score and How to Calculate It

What Is Customer Engagement Score and How to Calculate It

At its core, customer engagement score is a single metric that is used to measure how engaged your customers are. The metric is represented by a number based on customer activity and usage of your product or service — the higher the number the happier and more engaged the customer. Together with customer … Read more

The Rule of 40 for SaaS and Subscription Business

The Rule of 40 for SaaS and Subscription Business

The famous investor and also founder of Techstars, Brad Feld — recently wrote a post on this blog titled “The Rule of 40% for a Healthy SaaS Business”. A couple of days later, Tomasz Tunguz an also famous venture capitalist at Redpoint Ventures also wrote a post about it, titled “The Data Behind The Rule of 40%”. … Read more

Customer Churn vs Revenue Churn, Understand the Difference

Customer Churn vs Revenue Churn, Understand the Difference

Churn is the enemy of any subscription company. In a general definition, churn is the number or percentage of subscribers to a service that discontinues their subscription to that service in a given time period. In order for a company to expand its clients base, its growth rate must exceed its churn … Read more

Why You Should Offer Yearly Billing to Your SaaS Customers

Why You Should Offer Yearly Billing to Your SaaS Customers

Yearly billing can make all the difference in the world for the health of your SaaS business, and I’m going to show you why. The way a company decides to bill its customers will directly impact revenue streams needed to maintain cash flow and business operations. If you’re building a SaaS company looking … Read more

Welcome to The Subscription Economy

Subscription Economy

Have you ever heard about the subscription economy? The term refers to the business of offering subscriptions to consumers. For some companies, their entire business relies on a subscription business model. Examples of these include Netflix, Spotify, Zipcar, and all SaaS companies such as Salesforce and HubSpot.   It’s actually not that … Read more