SaaS Interviews with CEOs, Startups, Founders
How Stack Overflow Secretly Made $65,000,000 on its SaaS Last Year
Jul 18, 2024
Stack Overflow's SaaS product generates over $125m in revenue, with 65% from recurring SaaS. They target large companies like Microsoft. Discussion on pricing, revenue growth, transitioning to SaaS, importance of sales development, and effective deal closing strategies.
21:41
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Quick takeaways
- Stack Overflow shifted from ad-based revenue to SaaS for stable income.
- Sales strategy involves SDRs and AEs collaborating for targeted outreach.
Deep dives
Evolution from Ad-Based Revenue to SaaS
The podcast episode discusses Stack Overflow's transition from being primarily an ad-based revenue model to focusing on Software as a Service (SaaS). Initially reliant on ads and job listings, the need for a more stable revenue stream led to a shift towards SaaS in 2018-2019. The pivot was partly due to the episodic nature of ad revenue, especially during economic downturns, prompting the company to concentrate on a subscription-based model centered on SaaS.
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