SaaSFest 2015 - "People Vote with their Wallets" by Fred Shilmover of Insight Squared
•
0 likes•674 views
CEO of InsightSquared, Fred Shilmover walks through how IS2 sold a sophisticated excel spreadsheet to validate their original product before building something substantial. Fred walks through how that validation helped them on their path to monetization, particularly building out one of the fastest growing business intelligence companies out there.
Recommended
More Related Content
Viewers also liked
Viewers also liked (16)
Similar to SaaSFest 2015 - "People Vote with their Wallets" by Fred Shilmover of Insight Squared
Similar to SaaSFest 2015 - "People Vote with their Wallets" by Fred Shilmover of Insight Squared (20)
More from Price Intelligently
More from Price Intelligently (20)
Recently uploaded
Recently uploaded (20)
SaaSFest 2015 - "People Vote with their Wallets" by Fred Shilmover of Insight Squared
- 1. People Vote with their Wallets People Vote with their Wallets
- 2. First Customer – Bought Service not just Software Summary Metrics Filters Key Performance Indicators Postings / Assigned Rep ALL Activity Counts Per Posting: Average Cumulative Openings Service Level ALL Internal Submissions 6.04 Projected 21,386$ 4,063,250$ 190 / 198 Status ALL Client Sendouts 5.47 Expected 2,736$ 519,914$ Client ALL Interviews 2.05 Predicted Close Rate 13% History Date 1/1/2009 Average Age 70.85 Days Interview Count Distinct Average Lag Until First: Internal Submission 8.7 days Client Sendout 12.2 days Chart Type Interview 22.1 days Activity Ratios: Internal Submissions:Sendouts: 1.10 Sendouts:Interviews: 2.67 Internal Submissions:Interviews: 2.94 Assigned Rep Pipeline 0K 50K 100K 150K 200K 250K 300K 350K 400K 450K Peter Connolly Heather Rackley Elizabeth Molano Jordan Goldberg Sean Walker Joe Freddolino Kathy Colborn Shane Capron Desmond Nugent Nick DeMagistris Elizabeth Duran Robin Pasciuto Beverly Lania Joseph Tosone Mike Foley Joshua Gottlieb Gina Oliveri Paul Manning Thomas Stevens Justin Endres Jim Urquhart Expected Fee Projected Fee Dave Melville – The Bowdoin Group • SaaS • $1,000 / mo
- 3. SaaS Customer Financing SaaS Customer Financing
- 4. Advantage of SaaS Pricing 5000 5 Year Value 50% Risk impairment 15% Perpetual maintenance 2500 Willing to prepay Year 1 Year 2 Year 3 Year 4 Year 5 Perpetual 1500 250 250 250 250 Perpetual Cum 1500 1750 2000 2250 2500 SaaS 1000 1000 1000 1000 1000 SaaS Cum 1000 2000 3000 4000 5000 0 1000 2000 3000 4000 5000 6000
- 5. Prepayment Impact CAC 15 Monthly 1 GM 75% Monthly GP 0.75 Annual GP 9 Payback months 20 Amount Financed Monthly 14 Annual 6 WC Multiple 2.375 Upsides • Lower working capital • Greater customer commitment Downsides • Increased sales friction • Lagging retention signal • Higher renewal hurdle
- 6. Metrics Average Contract Length (mo) Average Prepayment (mo) (New and renewals)
- 7. Pricing Metrics: Fairness Principle Pricing Metrics: Fairness Principle
- 10. We do not price similarly to our competitive set $65 $75 $95
- 11. Customers Estimate ROI to be 12-20X
- 12. Fairness