Key Metrics to Track for a SaaS Business

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Let's learn what are the main metrics by which the business of a SaaS company is measured .

To understand any company's business model, it is very important to be able to identify key metrics. And this factor is even more important in digital environments such as SaaS. Why? Because in france email list digital environments everything can be measured. Metrics inform us of the results we are achieving and are an indicator of whether we are on the right track.

In SaaS marketing, metrics should help you answer four key questions.


How much does each client generate for us?
How much does it cost us to acquire each customer (CAC) ?
How much do we earn from each client?
How long will it take to recover the investment?
The most important metric to analyze in this section is the CLTV (Customer Lifetime Value), which is the value that a customer will bring us throughout their life with us. Basically, it tells us how much a customer will generate for us during the time they are a customer of the company . There are different ways to measure it and these are related to the business model you are using.

Let's think about a subscription business model, like Netflix. Here the CLTV would be calculated from another very important metric, which is the ARPU (Average Revenue Per User ) .

The CTLV would be equal to the average income that a customer generates for us over the course of a month (ARPU), multiplied by the average number of months in the life of a customer (LifeTime).