The Ultimate SaaS Metric: The Customer Lifetime Value to Customer Acquisition Cost Ratio (LTV/CAC)
I’m a big fan of software-as-a-service (SaaS) metrics. I’ve authored very deep posts on SaaS renewals rates and customer acquisition costs. I also routinely point readers to other great posts on the topic, including: David Skok’s excellent posts on SaaS metrics Bessemer’s great articles on cloud computing, the CAC ratio, and more recently 30 Questions every SaaS leaders should […]
The Customer Acquisition Cost (CAC) Ratio: Another Subtle SaaS Metric
The software-as-a-service (SaaS) space is full of seemingly simple metrics that can quickly slip through your fingers when you try to grasp them. For example, see Measuring SaaS Renewals Rates: Way More Than Meets the Eye for a two-thousand-word post examining the many possible answers to the seemingly simple question, “what’s your renewal rate?” In this post, […]
