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The Official SaaStr Podcast: SaaS | Founders | Investors cover image

SaaStr 680: The Most Important SaaS Metrics of 2023 with monday.com Co-Founders and SaaStr Founder Jason Lemkin

The Official SaaStr Podcast: SaaS | Founders | Investors

NOTE

How to Measure Cash Flow in a SaaS Startup

CAC and LTV measurements do not consider cash flow./nFocusing on actual cash in the bank is more important than the gap return on CAC./nCompanies should adjust metrics to measure actual cash instead of just acquiring customers./nSaaS companies now spend more on retaining existing ARR than acquiring new customers./nThe short-term focus on metrics can be destructive for mid-market and enterprise companies./nMarketers being judged on short-term results can lead to myopic marketing./nCutting marketing spend and prioritizing instant ROI can result in a drying up of sales pipeline.

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