The Latest from SaaStr: When Times Are Tougher, Some Still Way Outperform

THE LATEST FROM SAASTR

By Jason Lemkin  · Wednesday, October 26, 2022 | 5 Interesting Things, Scale

So this year has been rough on SaaS and Cloud stocks, with multiples down 75% from a year ago and the markets overall down 50% or more.

But the impact hasn’t been even.  Leaders like ZoomInfo and Paycom that combine strong growth with strong profits have seen their stock prices stay relatively high, often at 15x ARR still.  And those without both have suffered the most.  

Wix is one.  

Despite crossing $1.4B ARR, it’s trading now at $4.7 Billion. A big number.

NEW PODCAST + VIDEO

By Amelia Ibarra  · Wednesday, October 26, 2022 | Leadership, Marketing

Grammarly CEO Brad Hoover shares the keys to unlocking product-led growth in the enterprise through learnings from the company’s 13+ year journey helping 50,000 teams and 30 million individuals refine their writing and accomplish their goals.

DEAR SAASTR

By Jason Lemkin  · Tuesday, October 25, 2022 | Early, Q&A

Everyone has different tolerances here.  And the reality is, bootstrapping is usually not a choice.  Most start off bootstrapping because they have to.  Getting venture capital early is relatively rare and hard, no matter how it may look on Twitter.

Indeed, the great outcome for a bootstrapped startup in Mailchimp, acquired by Intuit for $12 Billion without raising a dime in outside capital.  No one, however, really wanted to fund them until they got big enough that they didn’t need it

SALES

By Jason Lemkin  · Tuesday, October 19, 2022 | Growth

So times are tougher for some in SaaS, but not most, and certainly not all.  I’d roughly say 20% are growing even faster than earlier in the year, 20% are having a tough time, and 60% are somewhere in the middle.

But whether it’s not or later, you are eventually going to have tougher times. Even, sometimes, a Year of Hell.

Here’s one big mistake I see all the time, though.  Folks aggregate performance.  In sales in particular, I usually see even more bifurcated performance in tougher times.

SAASTR EVENTS

SaaStr Annual will be back once again in 2023, and right now, you can bring your team for just $499 per person— but don't wait! Prices are going up at midnight October 31st.

We'll be taking over the entire 40+ acres of the San Mateo County Events Center and surrounding areas just for attendees, delivering even more tactical content and advice on scaling than ever before, and more importantly, help you connect with 12,500 of your fellow SaaS Founders, Investors and Leaders in 2023! 

This edition of the SaaStr Daily is sponsored in part by Brex

Get corporate cards and spend management software in a single integrated solution that enables 100% compliance and 0 receipt chasing in 100+ countries.

This edition of the SaaStr Daily is sponsored in part by Zip

Hear from Procurement Leaders at Gong and Zip about how they've optimized the B2B buying experience to help their business move with velocity while controlling rouge spent.

© SaaStr 2022

255 Kansas, Suite 300, San Francisco, CA 94103

If you'd like to stop receiving the SaaStr Daily, click here