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SaaStr 739: The Three SaaS Metrics That Matter in 2024 and Will IPOs Be Back? with SaaStr Founder and CEO Jason Lemkin

May 17, 2024

Jason Lemkin, Founder and CEO of SaaStr, discusses the three key SaaS metrics for 2024: net new customer count, growth vs. efficiency, and the bar to IPO. He analyzes recent SaaS IPOs, highlights challenges in metric clarity, and shares strategies for navigating the tough IPO benchmarks. The podcast also explores sales and marketing efficiency, revenue management, capital raising, and the importance of a strong balance sheet for SaaS companies.

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INSIGHT

Net New Customer Focus

Prioritize net new customer account growth, even over revenue growth.
A growing customer base secures your future and market relevance.

ADVICE

Balance Growth and Efficiency

Focus on balancing growth and efficiency, not just profitability.
Growth matters twice as much as profitability in the current SaaS market.

ANECDOTE

HubSpot, Viva, and Dropbox Comparison

HubSpot and Viva, both worth $33B, demonstrate different growth/profitability balances.
Dropbox, despite high margins and cash, suffers from low growth, trading at only 2x ARR.

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SaaStr 739: The Three SaaS Metrics That Matter in 2024 and Will IPOs Be Back? with SaaStr Founder and CEO Jason Lemkin

What are the three most under-discussed metrics on social media, with VCs, and especially with founders? SaaStr founder and CEO Jason Lemkin shares his top three SaaS metrics that matter in 2024:

Net new customer count
Growth vs. efficiency
The bar to IPO

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