saas software as a service b2b metrics benchmarks conversion rates
DESCRIPTION
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54%Co's offer
PS along w/Subscriptions
25%Co's give quotarelief for PS but
no commissions
Avg. PS Revas % 1st
Year ACV
25%
3Months new
ISR Ramp Time
60%
$2.2-2.5k 6
$150-180k
4-5x
$130k
$630-720k
1:7
3x
1:5
50%
50%
60%
30% $80-100k 60%35 1:75
2
70
60%
40%
10
$70k
1:2
20%
80%
36% 93%
8.5%
6%
55%
40%
87%
13%
15%
30%
30:70
66%
91%
50%
90% = 81%
2%
6 40% $5.5-7k 3-4
$200-330k $800k-1.3M$220k
3-5x 4:15x
Co’s give quotarelief on 1st
year ACV only
Co’s pay ~ nothing for 2+
yrs on contract
Avg. quotaachievement
Avg. commission onNBB ARR quota
Avg.commission on
upsell ARR
Co’s pay fullcommission
for upsells
Co’s o�eradd’l team
bonuses
NBB fromnew logos
NBB fromnet upsells
Conversionrate: SQL to
opportunity
Conversion rate:Opportunity
to closed deal
Ratio vertical mktterritories: geo
Co’s o�er trials(try-before-
you-buy)
Months new BDR ramp time
Calls/contactsper day
Cold calls
MQLfollow up
Target # of SQL’s/wk
OTE: 60/40Base/Variable
RatioBDR : FSR
of BDR teamsreport to mktg
Promotedfrom BDR
MRRper deal
ARR quota per Q
Closed deals per Q
ARR annualquota
Ratio ISR quota:salary
Beg. Q pipelinecoverage
RatioManager : ISR
RatioSEs : ISR
OTE:50/50 B/V
Co’s compensateon Cust. Sat
(e.g. NPS)
Co’s compensateon renewal ARR
AMs responsible
for upsell ARR
Time spenton customer
supportOTE:
70/30 B/V
Co’s give bonusfor cust. case
study/press
Avg. acctrenewals per Q
Avg. RatioAMs : customers
Median annual gross
$ retention
Retentionequiv. in
SMB vs. VSB
Churn in VSBs isuncontrollable
on avg.
Median renewalscommission
rate
Months newFSR ramp time
Promotedfrom ISR
MRRper deal
Closeddeals per Q
ARR quotaper Q
ARR annualquota
Ratio FSR quota:salary
Beg. Q PipelineCoverage
RatioISR:FSR
OTE: 50/50 B/V
1:3Ratio
SE: ISR
30-50%Avg.
NPS score
BUS DEVREPS (BDR)
INSIDE SALESREPS (ISR)
FIELDREPS (FSR)
NEW BUSINESSBOOKINGS (NBB)
RETENTION
ACCOUNT MANAGERS PROF. SERVICES
INSIGHT’S PERIODIC TABLEOF SAAS SALES METRICS
MQL = Marketing Qualified LeadSQL = Sales Qualified LeadNet Upsells = Upsells less customer downgradesOTE = On-Target EarningsSMB = Small-Medium business < 1000 employeesVSB = Very Small Business < 50 EmployeesMRR = Monthly Recurring RevenueARR = Annual Recurring RevenueACV = Annual Contract Value, equ. to ARR QuotaSE = Sales Engineer/Solution ArchitectB/V = Base Salary/Variable Salary
Legend: