At least 100% net negative churn (i.e., upsell/account growth + renewals – churn) for very small businesses. 130%+ in the enterprise, and for top B2D products.
Let’s look at some of the top public SaaS companies:
- Squarespace — self-service, < 1% enterprise: 85%
- Shopify — very SMB: 100%
- Hubspot — mostly SMB: 100%
- SurveyMonkey — fairly SMB, but going more enterprise: 100%
- Workday, only 100% in the enterprise, but 95% gross retention. This suggests they are very good at closing the “entire” deal when they do close a customer. Still, mathematically, this may be why growth has slowed to below 20% YoY.
- Box, 106%, mix SMB, SME and enterprise, relatively low ACV.
- New Relic, 116% now, but 130% at IPO. Mix SMB and enterprise but most deals > $100k today.
- Zendesk,116% at $1B ARR, mix of SMB and enterprise.
- Okta. 120% net revenue retention, enterprise.
- Medallia, 120% net revenue retention, enterprise.
- Qualtrics, 122% before acquisition by SAP.
- Veeva, 121% today and very enterprise, 180% at IPO.
- Crowdstrike, 124% net revenue retention.
- Asana, 130% net revenue retention at IPO.
- Fastly, 130% net revenue retention. 5 Interesting Learnings from Fastly. As It IPOs. | SaaStr
- Smartsheet, 135% net revenue retention with a mix of small, medium and large customers.
- PagerDuty, 139% net revenue retention. 5 Interesting Learnings From PagerDuty. And Congrats on the A+ IPO!! | SaaStr. Developer-focused, but still fairly SMB.
- Zoom, 140% net revenue retention. 5 Interesting Learnings From Zoom. As It IPOs. | SaaStr. And mostly SMBs.
- Slack, 143% net revenue retention. 5 Interesting Learnings From Slack. As It IPOs (er, Direct Lists). | SaaStr. Going more and more enterprise, but many SMBs.
- Datadog. 146% net revenue retention at IPO. More here.
- nCino, 147% at IPO.
- Twilio, 155% net revenue retention at IPO, 137% at $2B+ in ARR.
- Snowflake, 169% net revenue retention at IPO.
As a side note, net revenue retention is not a GAAP metric and a number of folks exclude trials, rapid churn, and a few other elements. But the metrics are directionally enough correct to be used to compare the above SaaS leaders to each other — and to you.
A final thought — this becomes ever more important as you scale. 73% (!) of Salesforce’s new bookings come from its existing customers now. More on that here.
And a bit more overall here: The Fastest Growing Unicorns Have This In Common
