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54%
Co's offer
PS along w/
Subscriptions
25%
Co's give quota
relief for PS but
no commissions
Avg. PS Rev
as % 1st
Year AC...
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SAAS Software as a Service B2B Metrics Benchmarks Conversion Rates

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SAAS Software as a Service B2B Metrics Benchmarks Conversion Rates

  1. 1. 54% Co's offer PS along w/ Subscriptions 25% Co's give quota relief for PS but no commissions Avg. PS Rev as % 1st Year ACV 25% 3 Months new ISR Ramp Time 60% $2.2-2.5k 6 $150-180k 4-5x $130k $630-720k 1:7 3x 1:5 50% 50% 60% 30% $80-100k 60%35 1:75 2 70 60% 40% 10 $70k 1:2 20% 80% 36% 93% 8.5% 6% 55% 40% 87% 13% 15% 30% 30:70 66% 91% 50% 90% = 81% 2% 6 40% $5.5-7k 3-4 $200-330k $800k-1.3M$220k 3-5x 4:15x Co’s give quota relief on 1st year ACV only Co’s pay ~ nothing for 2+ yrs on contract Avg. quota achievement Avg. commission on NBB ARR quota Avg. commission on upsell ARR Co’s pay full commission for upsells Co’s offer add’l team bonuses NBB from new logos NBB from net upsells Conversion rate: SQL to opportunity Conversion rate: Opportunity to closed deal Ratio vertical mkt territories: geo Co’s offer trials (try-before- you-buy) Months new BDR ramp time Calls/contacts per day Cold calls MQL follow up Target # of SQL’s/wk OTE: 60/40 Base/Variable Ratio BDR : FSR of BDR teams report to mktg Promoted from BDR MRR per deal ARR quota per Q Closed deals per Q ARR annual quota Ratio ISR quota:salary Beg. Q pipeline coverage Ratio Manager : ISR Ratio SEs : ISR OTE: 50/50 B/V Co’s compensate on Cust. Sat (e.g. NPS) Co’s compensate on renewal ARR AMs responsible for upsell ARR Time spent on customer support OTE: 70/30 B/V Co’s give bonus for cust. case study/press Avg. acct renewals per Q Avg. Ratio AMs : customers Median annual gross $ retention Retention equiv. in SMB vs. VSB Churn in VSBs is uncontrollable on avg. Median renewals commission rate Months new FSR ramp time Promoted from ISR MRR per deal Closed deals per Q ARR quota per Q ARR annual quota Ratio FSR quota:salary Beg. Q Pipeline Coverage Ratio ISR:FSR OTE: 50/50 B/V 1:3 Ratio SE: ISR 30-50% Avg. NPS score BUS DEV REPS (BDR) INSIDE SALES REPS (ISR) FIELD REPS (FSR) NEW BUSINESS BOOKINGS (NBB) RETENTION ACCOUNT MANAGERS PROF. SERVICES INSIGHT’S PERIODIC TABLE OF SAAS SALES METRICS MQL = Marketing Qualified Lead SQL = Sales Qualified Lead Net Upsells = Upsells less customer downgrades OTE = On-Target Earnings SMB = Small-Medium business < 1000 employees VSB = Very Small Business < 50 Employees MRR = Monthly Recurring Revenue ARR = Annual Recurring Revenue ACV = Annual Contract Value, equ. to ARR Quota SE = Sales Engineer/Solution Architect B/V = Base Salary/Variable Salary Legend:

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