I attended the SaaStock 'Revenue and Retention' workshop in Dublin this afternoon. Here's my notes. Have a read if you like: - 52% of buyers expect an increased spend on software tech next year. - 49% of buyers took 4+ months to make a purchase on 20k + level of investment, up 41% on last year. Decision criteria also changes 3 times. - 84% of buyers use review sites for gathering information & referrals on software/ and or services. They’re also using them at the start of their process rather than at the end. - 42% of buyers say its the C-Suite that are the ultimate DM’s - up 29% on last year. - Typically only 5-10% of your TAM will ever be in market to buy at any given time. - Prospects introduced via a partner have a 2 x win rate & 28% short cycle cycle. - It costs up to 25 x more to acquire a new customer than it would to get an existing customer to pay you the same amount. - Nearly 60% of customers would recommend your brand IF they get good customer service. - Existing customers are 50% more likely to try a new product with you and spend 30% more doing it as well. - Increasing customer retention rate by 5% can increase profitability by a 3rd. -- The above stats were shared by various speakers across the afternoon and multiple sources referenced including G2’s Buyer behaviour report. -- There's a lot to think about there - what stat stood out the most for you?
Nice stats.....these stood out for me. 5-10% of TAM is in the market at anyone time........understand who and quickly. Partner referrals twice as likely to close and faster.......build you partner program, incentivise and enable it. These 2 go hand in hand in my opinion.
“52% of buyers expect an increased spend on software tech next year.” I think we convince ourselves, as sellers, that budgets are ever decreasing. So this was interesting (and encouraging) to read! 👏
Was there any discussion about the biggest challenges buyers face when evaluating software solutions, especially with the lengthening purchase cycles and changing criteria?
Mark, insightful stats shared! Favorite takeaway stat?
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4moWoah, 25x more to acquire a new customer. That’s nuts but believable. Were these across a specific segment (ENT, SMB, MM for example)?