Several years ago, I read a piece called five ways to build a $100 million SaaS business. Like with most viral VC posts about startups like this one, it takes a complex and multi variate concept and breaks it down into a simplistic yet useful model, that's helpful in conceptualizing one very important part of building a venture: Pricing. In fact, the post is not really about pricing, it is about which type of customers a SaaS business should pursue to get to scale. It is simply an assumption that at different sizes, there is an implied ARPA (average revenue per account) that scales alongside that size. This is the first assumption I'll challenge in a minute.
How to generate business outcomes in Africa
How to generate business outcomes in Africa
How to generate business outcomes in Africa
Several years ago, I read a piece called five ways to build a $100 million SaaS business. Like with most viral VC posts about startups like this one, it takes a complex and multi variate concept and breaks it down into a simplistic yet useful model, that's helpful in conceptualizing one very important part of building a venture: Pricing. In fact, the post is not really about pricing, it is about which type of customers a SaaS business should pursue to get to scale. It is simply an assumption that at different sizes, there is an implied ARPA (average revenue per account) that scales alongside that size. This is the first assumption I'll challenge in a minute.