2024 SaaS Metrics Predictions
with the Metrics Brothers
Dave "CAC" Kellogg and Ray "Growth" Rike go out on a limb and share their predictions on the Top 5 SaaS Metrics in 2024 - some are old friends and two are brand new for 2024!!!
2023 was a year focused on efficient growth, extending cash runways and making progress towards profitability. Simultaneously, certain metrics became more important in correlation to enterprise value to revenue multiples - including the re-emergence of the Rule of 40 being critical to company valuations.
Which metrics are Dave and Ray predicting as the Top Five for 2024:
Rule of X - a growth-weighted Rule of 40
ARR/FTE - the ultimate overall productivity metric for B2B SaaS companies
GRR & NRR - Why the "&" is so important to measuring retention & expansion
CAC Payback Period and CAC Ratio - The GTM efficiency metric combination
ERG - a growth-weighted enterprise value to revenue growth ratio
The Metrics Brothers focused on the "SaaS Metrics" predictions for this episode - but if you would like to see the more holistic 2024 predictions - take a look at Dave's @kellblog post at: https://kellblog.com/2024/01/02/kellblog-predictions-for-2024/
Happy New Year to all and here is to an improving B2B SaaS environment with a balanced approach to growth and profitability!!!