All Episodes
Episodes
System Reboot: Your ARR Has Been Corrupted
In episode #31, I address the ever-changing definition of ARR. It’s so important to get this right for several reasons. It affects your metrics and valuation. Credit to a SaaStr post on calling ARR corrupt. It got me...
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Does Usage-based Revenue Count as a Booking?
In episode #30, I address variable revenue and software bookings. This is a hot topic in SaaS. It can be dangerous to mix subscription revenue with variable revenue.
- What is a software booking?
- Does variable...
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A Renewal is Not a Booking or Is It?
In episode #29, I address the nuances of renewals and software bookings. Renewals may or may not be a booking. Of course, it depends!
- What is a renewal?
- When does a renewal count as booking?
- Track incremental...
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Do Price Changes Count as a Software Booking?
In episode #28, I address the nuances of software bookings. This is a common question from students in my SaaS metrics course at TheSaaSAcademy.com. Do price changes or inflators count towards my bookings number?
-...
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What is the Difference Between an Upsell and a Cross-sell?
In episode #27, I address the nuances of software bookings. It’s important to track expansion ARR just like new customer ARR. There are two types of expansion bookings.
- What is an upsell?
- What is a cross-sell?
-...
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If I Offer Self-service SaaS Do I Still Track Bookings?
In episode #26, I address software bookings. What if I offer a self-service SaaS product? Low ACV and a high volume of customers.
- Are software booking still applicable?
- What data should I track?
- How do I create...
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What is a Software Booking?
In episode #25, I address software bookings. Bookings are the life of a SaaS business. It’s so important to track bookings accurately, but it is often harder than you think.
- What is a software booking?
- Where do I...
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The Advanced Lifetime Value Formula and Its Dangers
In episode #24, I address the advanced customer lifetime value (LTV) formula. But we have to be careful how we used the advanced formula. Let's talk about the additional inputs and the outcome.
- How to make LTV more...
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LTV is NOT a Standalone Metric
In episode #23, I address customer lifetime value (LTV) as a standalone metric. It's not! We must compare it to CAC just like CAC can’t be used as a standalone metric.
- Why LTV is not a standalone metric?
- We...
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Should I Use LTV If I Target High ACV Customers?
In episode #22, I address customer lifetime value (LTV) when we chase mid-market and enterprise customers. Does LTV provide much value in a higher ACV environment?
- What’s my target market?
- Low price point SaaS...
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LTV is a Point in Time Metric
In episode #21, I address customer lifetime value (LTV). This is a point-in-time metric! We do not calculate this for our entire customer base. It’s also not valuable as a standalone metric.
- The time period of...
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What is Customer Lifetime Value
In episode #20, I address customer lifetime value (LTV). LTV estimates the total cash flows that we will receive over the lifetime of a customer. It’s an estimate and changes with every new cohort.
- What is LTV?
-...
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