What is the Cost of ARR

from SaaS Metrics School · host Ben Murray

In the first episode, I talk about my favorite SaaS metric, the Cost of ARR (aka SaaS CAC Ratio). Highlights: You can calculate blended, new, and expansion Requires new and expansion bookings data Need total sales and marketing expense You must allocate S&M for the Cost of ARR New and the Cost of ARR Expansion Sales cycle length is important Easy way to call BS on a bookings forecast with this metric

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This episode is 2 minutes long.

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This episode was published on July 15, 2023.

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