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We sat down with executives (CEOs/VP of CS) of three SaaS companies to discuss recent retention trends.
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<span class="tinyMce-placeholder">
SaaS Roundup #364
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Hi there,
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<p style="margin:0;margin-bottom:24px">
Welcome to another edition of SaaS Roundup.
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<p style="margin:0;margin-bottom:24px">
This week in the Roundup we cover retention trends in 2023, A/B tests, the state of private markets, and the NPS score.
</p>
<p style="margin:0">
<span style="background-color: transparent;">
Happy reading
</span>
,
<br/>
<strong>
Sid @ ChartMogul
</strong>
</p>
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New from ChartMogul.
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</a>
<span style="font-size:20px;">
<a rel="noopener" style="text-decoration: none; color: #1c79ed;" target="_blank">
<span style="">
B2B SaaS Retention Trends in 2023
</span>
</a>
</span>
</p>
</div>
</div>
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</tbody>
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<p style="margin:0;font-size:14px;mso-line-height-alt:23.400000000000002px;letter-spacing:normal">
<span style="color:#999999;font-size:13px;">
Peter Curac-Dahl
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</p>
<p style="margin:0;mso-line-height-alt:25.2px;letter-spacing:normal">
Retention is one of the most crucial metrics in SaaS regardless of the company’s stage. We sat down with executives (CEOs/VP of CS) of three SaaS companies to discuss recent retention trends. The conversation is loaded with retention-related insights.
</p>
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"The biggest lump in terms of churn was the end of the year when people started to consolidate their stack wanting to cut a lot of expenses. This is where we’ve seen the biggest drop (churn) … quite a few customers have seen the same."
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Marketing
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Andrew Chen
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"For all your users coming in, only some of them are high-intent. It’s hard to increase that intent just by making a couple steps easier – that’ll just grow your low-intent users. Doing tactical things like moving buttons above the fold, optimizing headlines, removing form fields – those are great, but the increases won’t directly drop to your bottom line."
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Peter Walker, Kevin Dowd, Carta
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The transformation of the venture capital industry over the past year has been stark. Total venture capital raised by startups plunged 80% from Q1 2022 to Q1 2023. Venture deal count fell 45% over the same span. Here are all the details.
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"Overall, Q1 was the slowest quarter for both capital raised and deal count since 2017. There are signs of a venture spring. Valuations from seed to Series C ticked up from recent lows. Median round sizes mostly stabilized. But these green shoots were overwhelmed by the decline in total rounds across all stages."
</div>
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Fundraising
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I Was Wrong. NPS is A Great Core Metric
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</a>
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Jason Lemkin, SaaStr
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<br/>
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NPS is backward-looking. It doesn’t tell you much about your prospects, the future, or your most recent customers. It isn’t tied to upsells, churn, or revenue at all. So why should you even track it? Here is why.
</p>
</div>
</div>
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</tbody>
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"A downturn in NPS keeps you honest. If NPS drops, it is often tied to outages, to an overstretched CS team, to a big competitive push by another vendor. When you see it go down, it can shake the team out of a bit of complacency."
</div>
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Chart of the week.
</strong>
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<strong style="font-family:'Helvetica Neue',Helvetica,Arial,sans-serif;font-family:'Helvetica Neue',Helvetica,Arial,sans-serif;font-size:14px">
Europe makes a quarter of the global startup market.
</strong>
<span style="font-size:14px;">
25% of all startups, including SaaS companies funded in 2022 were based in Europe. In total, European startups raised over $105.1 billion last year.
</span>
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Source:
<a rel="noopener" style="text-decoration: underline; color: #007c89;" target="_blank">
Bessemer Cloud Trends Around the World in 2023
</a>
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2 years, 11 months ago - sid@chartmogul.com
🚀 SaaS Roundup: Retention Trends, A/B Tests, NPS Score, & Fundraising Stats
We sat down with executives (CEOs/VP of CS) of three SaaS companies to discuss recent retention t...