Unit economics and financial health metrics that define profitability at the customer level.
8 Benchmarks Available
Customer Economics
#1
Gross Margin: Measuring the Health of Your Business Model
Gross Margin reveals how much profit you retain after the direct costs of delivering your product. Learn why it matters, how to calculate it, and what benchmarks to aim for by stage.
LTV:CAC Ratio: The Core Measure of SaaS Unit Economics
The LTV:CAC ratio compares the lifetime value of a customer to the cost of acquiring them. Learn how to calculate, interpret, and improve this key SaaS efficiency metric.
Customer Acquisition Cost (CAC): The True Price of Growth
Customer Acquisition Cost (CAC) measures how much you spend to acquire each new customer. Learn how to calculate CAC, benchmark it by stage, and improve efficiency across your GTM funnel.
LTV Payback Period: The Ultimate Test of Customer Economics
LTV Payback Period measures how long it takes for a customer’s lifetime value to repay their acquisition cost. Learn how to calculate, benchmark, and use it to drive capital-efficient growth.
Contribution Margin: Profitability at the Unit Level
Contribution Margin measures profitability per customer or unit after variable costs. Learn how to calculate it, benchmark it by stage, and use it to guide pricing, efficiency, and growth strategy.
Gross Retention Cohort Analysis: Seeing Retention in Motion
Gross Retention Cohort Analysis reveals how retention and churn evolve over time. Learn how to structure, calculate, and interpret cohorts to understand product-market fit and revenue durability.
Churn Rate measures how quickly customers or revenue are lost over time. Learn how to calculate churn, benchmark it by stage, and apply retention strategies that drive sustainable SaaS growth.
Net Dollar Retention (NDR): The Ultimate Indicator of SaaS Health
Net Dollar Retention measures how much recurring revenue you retain and expand from existing customers. Learn how to calculate it, what good looks like, and why it’s a key investor metric.