How to Reduce Churn and Increase Net Dollar Retention; Plus Weekly SaaS News and Updates

Hey SaaS Fans,

Heading into Q4 of what is a strange year in SaaS (to say the least) -- we wanted to share some advice from one of our all-time favorite experts, Dave Kellogg. 

He recently shared with us how to combat Churn and increase Net Dollar Retention in the following ways:

1. Understand that Churn is flawed for many reasons: there's no perfect way to calculate it, it blows up your LTV and Churn ARR can be non-obvious
2. You want to make sure your net cohort expansion is put into a single, benchmarked, regression-able number. Having a good net dollar retention is crucial, and the average good NDR rate falls around 115%
3. Build-in net dollar retention to multi-year contracts: Offer your customers a three-year plan, for example, with a 10% buffer. They’ll be saving money, and you’ll increase recurring revenue

> More here <