So Jamin Ball at Altimeter Capital probably does the best job of tracking SaaS and Cloud metrics of public companies of anyone out there.
Pulling together new bookings data on all the leading SaaS and Cloud companies, here’s what you see:
New bookings started to decline rapidly in Q2’21, where they peaked — and hit a low in Q1’23.
But since then, they’ve bounced back, if modestly:
Now it’s now all that simple. Q3 for example was below Q2, even if it ahead of the same quarter a year ago. And for many in SaaS, we’re merely bouncing off a bottom:
We did deep dives with both Henry Shuck, CEO of ZoomInfo, and Aaron Levie, CEO of Box the past few weeks. Both have seen headwinds this past year and both said variants of the same thing: 2024 has to be better, if for no other reason than we’re lapping a tough renewal cycle.
The above charts may in part just reflect that.
So we’re not back to Crazy Days. But the data does suggest we’re likely past the bottom of Q1’23. Even if it doesn’t totally feel like it. Or feel much better or easier overall.
A related post here: