With B2B SaaS metrics, the performance of a Software as a Service can be evaluated and decisions can be made about it.
These metrics provide valuable information about growth, profitability and customer satisfaction, enabling companies to measure and optimize their performance in the marketplace.
What are the most important B2B SaaS metrics and how are they calculated? Here we explain.
Why are B2B SaaS metrics important?
Before looking at each of the metrics, let's be clear about the reasons why you should be interested in them.
In principle, they provide objective and measurable information on the company' s performance. Based on this data, decisions can be made based on facts and not on assumptions.
On the other hand, B2B SaaS metrics are useful for tracking and evaluating growth in different areas, such as number of customers, retention and monthly recurring revenue. They also help identify areas where profitability and efficiency can be optimized.
Finally, since many B2B SaaS metrics are directly related to customer satisfaction, by monitoring them, you can know where you need to improve in order to ensure customer satisfaction and loyalty.
B2B SaaS Metrics
With the metrics presented below, a comprehensive view of your business:
Churn Rate
The churn rate is a key B2B SaaS metric, as it indicates how many customers cancel their subscription or stop using the product in a given period of time.
A high churn rate may be a sign of problems in customer retention and product satisfaction.
Customer Acquisition Cost (CAC)
Customer acquisition cost (CAC) is a metric that calculates how much it costs to acquire a new customer. It includes all marketing and sales expenses divided by the number of customers acquired in a given period.
The result is essential for evaluating the effectiveness of customer acquisition strategies and determining long-term profitability.
Monthly Recurring Revenues
Monthly recurring revenue represents the total amount of revenue generated by customers in a given month from subscription payments.
This metric provides a clear view of the financial stability and sustainable growth of a B2B SaaS company.
Average Revenue per User (ARPU)
The average revenue per user (ARPU) is used to calculate the average revenue that a company generates per customer. This data is useful to evaluate the economic value of each customer and identify opportunities to improve the monetization of those who are already users.
Customer Lifetime Value (CLV)
Customer lifetime value (CLV) estimates the total revenue that a company can generate over the course of a customer relationship. Evaluating CLV enables strategic decisions to be made regarding resource allocation and new customer acquisition.
Conversion Rate
Conversion rate is used to measure the percentage of visitors or users who perform a desired action in relation to the total number of visitors or users who interact with the website, application or marketing campaign.
Retention Rate
Retention rate is a B2B SaaS metric that measures a company's ability to retain customers over time. A high retention rate indicates strong customer loyalty and a low churn rate, which is essential for sustainable growth and long-term profitability.
ACC Payback
The CCS payback calculates the time it takes for a company to recover the cost of customer acquisition through the revenue generated by those customers. A fast payback is indicative of greater efficiency in customer acquisition investment and higher profitability.
Marketing Qualified Lead (MQL)
Marketing Qualified Lead refers to potential customers who have shown a high enough interest to be considered as sales opportunities by the marketing team. Therefore, it is an important metric to evaluate the quality and effectiveness of lead generation strategies and how aligned marketing and sales are.
NPS Score (Net Promoter Score)
The NPS score assesses customer loyalty and satisfaction by asking "On a scale of 0 to 10, how likely are you to recommend our product to a friend or colleague?". The NPS provides a quantitative measure of satisfaction and allows you to identify SaaS promoters and detractors.
Promoters are users who respond with a 9 or 10, while detractors are those who respond with 6 or less.
Unique Visitors
Unique visitors is the total number of unique users who visit a website or use an application in a given period of time. It is an important metric for assessing the visibility and reach of a B2B SaaS company and its ability to attract qualified traffic.
Consultant in eCommerce / Amazon since 2000. Partner of: Helium 10, Jungle Scout, Avask, Sellzone, Helium 10 Seller Solutions Hub Partner.
SEO copywriter, copywriter and university professor
