
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
Scaling SaaS Companies with Multiple Products
As companies scale, the Net Dollar Retention (NDR) metric becomes crucial for investors, especially as they approach 30, 40, 50 million and beyond. Private and public customers are obsessed with the annuity factor of Software as a Service (SaaS) and will inquire about NDR. Companies selling to Small and Medium Businesses (SMBs) rarely surpass 100 million with a single product; examples like HubSpot and Shopify highlight the necessity of adding multiple products for sustained growth and stickiness, due to factors like Total Addressable Market (TAM) and customer retention.
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