Episode Details

In the first episode, I talk about my favorite SaaS metric, the Cost of ARR (aka SaaS CAC Ratio).

Highlights:

• You can calculate blended, new, and expansion
• Requires new and expansion bookings data
• Need total sales and marketing expense
• You must allocate S&M for the Cost of ARR New and the Cost of ARR Expansion
• Sales cycle length is important
• Easy way to call BS on a bookings forecast with this metric