I started in the position as CFO in Xait in January this year. Coming from a background of investment banking and corporate finance advisory, I knew before I started the tremendous value of KPI tracking in the software business. Especially if you’re a pure SaaS company such as Xait. For us, making thoughtful, data-driven decisions is key when it comes to marketing, sales, customer success operations, and so forth.
The number one KPI for any SaaS company is of course the growth in Annual Recurring Revenue – the ARR, or the annual recurring subscription revenue if you will. We are proud to say that last year, Xait’s ARR grew by about 40%! Despite the Covid-19 outbreak, we have our eyes set on double-digit growth this year also. So far this year, we have welcomed reputable clients such as Siemens and Cegal to the Xait family.
Our clients stick around
The second most talked about KPI in SaaS tells you something about the software “stickiness”, namely the churn rate. Churn is the percentage rate at which SaaS customers cancel their recurring revenue subscriptions. It is often an indicator of customer dissatisfaction, cheaper and/or better offers from the competition, etc. In Xait, we monitor annual churn on a monthly basis, and as of June, our annual churn rate was as low as 2%. Including logo churn, meaning involuntary cancellation of subscriptions due to bankruptcy, mergers and acquisitions, our gross annual churn rate was 3%. There is a lot of literature on this topic, and acceptable annual churn is said to be around 5-7% and averages around 8-10%.
We eliminate document process inefficiencies
So what makes XaitPorter so sticky that we kick our Saas peers out of their boots? I think the explanation is obvious. Simply put by Anders Skogseth-Braathen, Global Business Development Manager in Cegal: “We got more done with fewer people in less time”. With XaitPorter, clients can sit by their desk or at their home office anywhere in the world and collaborate on large and complex documents such as tenders and reports. XaitPorter is database driven, meaning that multiple people can work simultaneously on the same documents.
Our biggest competitor will always be the status quo, and for most companies, that means sending e-mails with countless versions of word documents back and forth to all document contributors. As always, the documents get larger and larger, and the formatting takes longer and longer. Furthermore, the probability of having inconsistent information in a document with hundreds of pages grows with every new version created. With XaitPorter, all these pain points are eliminated.
We get you promoted!
Our software is so extremely sticky because we create tremendous value for our clients. Just imagine being able to write more proposals with higher quality than ever before, from anywhere in the world, with the same number of people at considerably less time. Clients can easily reuse information, and on top of that, all documents look impeccable. With no effort whatsoever! It’s no joke when we say that many of our clients’ application managers quickly get promoted after implementing XaitPorter in the organization.
Frank has extensive background from corporate finance and investment banking - working for national and international clients in a range of different sectors. He holds a Master of Science in Business and Administration from the Norwegian School of Economics. Besides work, Frank is busy changing diapers and not sleeping. His little son and daughter take up a lot of his time. Frank has a great interest in old houses and architecture and he loves to travel. His goal is to visit all countries in the world before he dies.
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