Saas Metrics: Formula Cheat Sheet

Table of Contents:

• Acquisition

• Retention

• Monetization

• Financial

Acquisition

Marketing

Session Length = Total Time Spent in App / Number of Sessions

Qualified Lead Velocity Rate (QLVR) = (Number of Qualified Leads This Month - Number of Qualified Leads Last Month) / Number of Qualified Leads Last Month

Cost Per Lead (CPL) = Total Marketing Spend / Number of Leads Generated

Marketing Originated Customer Percentage = (Number of Customers Originated from Marketing / Total Number of Customers) x 100

Marketing Influenced Customer Percentage = (Number of Customers Touched by Marketing / Total Number of Customers) x 100

Sales

Sales Velocity = (Number of Opportunities x Average Deal Value x Conversion Rate) / Sales Cycle Length

Lead-to-Customer Conversion Rate = (Number of New Customers / Number of Leads) x 100

Sales and Marketing Efficiency Metrics = Revenue Growth / Sales and Marketing Spend

Efficiency

Trial Conversion Rate = Number of Trials Converted to Paying Customers / Total Number of Trials

Customer Acquisition Funnel Metrics = Number of Conversions / Number of Visitors

Customer Acquisition Cost (CAC) = Total Cost of Sales and Marketing / Number of New Customers Acquired

Customer Acquisition Payback Period = CAC / (MRR per Customer x Gross Margin)

Customer Acquisition Rate (CAR) = Number of New Customers / Time Period

Viral Coefficient = Number of New Users Acquired per Existing User

Retention

Onboarding & Value

Customer Onboarding Metrics = Time to Complete Onboarding Process

Time to Value (TTV) = Time from Onboarding to First Value Realized

Churn & Renewal

User Churn Rate: User Churn Rate = Number of Users Lost / Total Number of Users

Customer Churn Rate (Logo Churn Rate) = Number of Customers Lost / Total Number of Customers

Revenue Churn Rate (Dollar Churn Rate) = Lost MRR / Total MRR

Churned MRR (Monthly Recurring Revenue) = MRR Lost During the Month

Net Revenue Retention (NRR) = (Starting MRR + Expansion MRR - Churned MRR) / Starting MRR

Customer Retention Cost (CRC) = Total Cost of Retention Activities / Number of Customers Retained

Customer Retention Cost (CRC) Ratio = CRC / ARPA

Renewal Rate = Number of Customers Renewed / Number of Customers Up for Renewal

Cohort Analysis = Number of Users Retained in Cohort / Original Number of Users in Cohort

Customer

Active User Rate = Number of Active Users / Total Number of Users

Customer Engagement Metrics = Sum of User Interactions / Total Number of Users

Customer Satisfaction and Net Promoter Score (NPS) = % of Promoters - % of Detractors

Customer Success Metrics = Number of Success Milestones Reached / Total Number of Success Milestones

Customer Health Score = (Sum of Positive Interactions - Sum of Negative Interactions) / Total Interactions

Customer Effort Score (CES) = Average Score on "Ease of Interaction" Survey

Customer Effort Impact Score = (Sum of High-Effort Interactions - Sum of Low-Effort Interactions) / Total InteractionsI hope this comprehensive list helps you in understanding the key SaaS metrics and their calculations.

Customer Feedback Score = Number of Positive Feedbacks / Total Number of Feedbacks

Product

Product Engagement Score = (Number of User Interactions with Product / Number of Users) x 100

Feature Adoption Rate = Number of Users Using the Feature / Total Number of Users

Product Usage Metrics = Number of Features Used / Total Number of Features

Product-Market Fit Score = Number of Users Who Consider the Product "Must-Have" / Total Number of Users Surveyed

Daily Active Users (DAU) to Monthly Active Users (MAU) Ratio = Daily Active Users / Monthly Active Users

Customer Success

Ticket Volume = Total Number of Support Tickets

First Response Time = Total Time for First Response / Number of Tickets

Time to Resolution (TTR) = Time Taken to Resolve Customer Issue

Resolution Rate = Number of Resolved Tickets / Total Number of Tickets

Customer Support Cost per Ticket = Total Customer Support Costs / Number of Tickets

Monetization

Average Deal Size = Total Revenue from Deals / Number of Deals

Sales Efficiency = (New ARR or MRR) / Sales and Marketing Expenses

Average Revenue per User (ARPU) = Total Revenue / Total Number of Users

Average Revenue per Account (ARPA) = Total Revenue / Total Number of Accounts

Customer Lifetime Value (CLTV) = (Average Revenue per Customer x Gross Margin) / Customer Churn Rate

Customer Lifetime Value to Customer Acquisition Cost (CLTV:CAC) Ratio = CLTV / CAC

Customer Lifetime Gross Margin = CLTV x Gross Margin

Customer Payback Period = CAC / (Average Revenue per Customer x Gross Margin)

User Payback Period = CAC / (Average Revenue per User x Gross Margin)

CAC Payback Period = CAC / (MRR per Customer x Gross Margin)

Upsell/Cross-sell Rate = Revenue from Upsell and Cross-sell / Total Revenue

Expansion Revenue = New Revenue from Existing Customers - Lost Revenue from Existing Customers

Expansion MRR (EMRR) = New MRR from Existing Customers - Churned MRR from Existing Customers

Gross and Net Expansion Rate = (MRR from Existing Customers + Expansion MRR) / MRR from Existing Customers

Net Expansion Rate = (MRR from Existing Customers + Expansion MRR - Churned MRR) / MRR from Existing Customers

Expansion Efficiency Index (EEI) = Expansion MRR / CAC

Financial

Monthly Recurring Revenue (MRR) = Sum of All Recurring Revenue for the Month

Annual Recurring Revenue (ARR), forward = MRR x 12

Cost of Goods Sold (COGS) = Total Cost of Producing the Goods Sold

Gross Margin = (Total Revenue - COGS) / Total Revenue

SaaS Gross Profit = Total Revenue - COGS

SaaS Gross Profit Margin = SaaS Gross Profit / Total Revenue

Gross Burn Rate = Cash Spent per Month

Net Burn Rate = Cash Spent per Month - Cash Earned per Month

Cash Burn Efficiency = Net Burn Rate / Gross Burn Rate

SaaS Cash Flow = Operating Cash Flow - Capital Expenditures

Magic Number = (Change in ARR / Sales and Marketing Spend)

SaaS Quick Ratio = (New MRR + Expansion MRR) / (Churned MRR + Contraction MRR)

Revenue Per Employee = Total Revenue / Number of Employees