Why SaaS Metrics are Broken: Time for the Next Era Metrics Playbook?

November 15, 2023 | 09:20 AM - 09:50 AM EDT

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  • November 15, 2023 | 09:20 AM - 09:50 AM EDT
  • BetaKit Keynote Stage



Operating Partner

OpenView Venture Partners


SaaS metrics helped us understand the power of SaaS business models. With the right inputs, we could predict a company’s future (and invest accordingly). We’ve now grown accustomed to the traditional set of SaaS metrics as just part of how to operate a SaaS business. It’s hard to conceive of what to do without metrics like CAC payback, LTV:CAC, average ACV, or the magic number.

Here’s the thing: the traditional SaaS metrics playbook can be extremely misleading when it comes to managing a vertical SaaS, PLG, or usage-based company. How do we benchmark our CAC payback period, for example, if growth comes from our R&D investments rather than from sales & marketing? Of what value is LTV:CAC if we see 150%+ net dollar retention, making our LTV essentially limitless?

Kyle Poyar from OpenView will unpack the metrics playbook for this new era of software – and what you should aim for at each stage of growth.