one person holding a pencil marking some printed graphs on paper, alongside another person.

Benchmark Your SaaS Business Against Metrics That Matter

Every year for six years, we’ve surveyed, analyzed, and reported on the benchmarks that define SaaS growth in our annual SaaS Benchmarks reports. These reports are made up of thousands of data points across key metrics that matter. And while we do a reasonably good job of condensing responses into findings, we know founders want to go a little deeper. They want to know, “How do I stack up against my peers?”

This year, we’re giving founders and SaaS operators what they’ve been asking for.

I’m excited to announce OpenView’s first-ever interactive SaaS Benchmarks 2022 Calculator. Now you can plug in your business’ key metrics and see how you benchmark against the 660 companies we surveyed in this year’s report.

The four metrics that matter

In this calculator, we’ve focused on four metrics that we see enabling decision-making for the future: ARR growth rate, ARR per employee, CAC payback period, and net dollar retention (NDR). A little more on each:

ARR growth rate: This year’s report found that the value of growth has plummeted. But while growth is no longer the only thing that matters, it’s still the first thing you’ll be evaluated on.

 

ARR per employee: SaaS businesses have been paying a lot of attention to costs in late 2022. Employees tend to make up 50-80% of a SaaS business’s costs. We see ARR per employee being a gut-check on the efficiencies you create as you scale your ARR.

Infographic explaining the ARR formula per employee.

CAC payback period: Ensuring you are able to acquire customers efficiently is a sign your value proposition is resonating and you’re targeting the right buyers in the right places.

Infographic showing the breakdown of what a good CAC payback period is.

Net Dollar Retention: NDR measures the amount of revenue retained over time from existing customers. It helps highlight customer loyalty and the effectiveness of customer success efforts.

Infographic showing the formula for net dollar retention in 2022 for SaaS companies to compare.

So how do you stack up against your peers? Jump in and find out! And if you haven’t had a chance to check out this year’s SaaS Benchmarks report, you can download a copy here.

Curt Townshend
Curt Townshend
Senior Director, Growth

Curt is a Senior Director at OpenView focused on helping companies accelerate their top-line growth through segmentation, value proposition, packaging & pricing, customer insights, new market entry and go-to-market strategy.
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