Roberge: Net revenue retention is more critical for compounding growth than GRR
Mark Roberge · Mark Roberge: The Framework for How Startups Should Scale into the Enterprise -Stage 2 Capital|E1176 · 20VC with Harry Stebbings · Jul 12, 2024 · at 28:59
Mark Roberge, Managing Director at Stage 2 Capital and former HubSpot CRO, discusses SaaS retention metrics with Harry Stebbings.
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“I probably put more weight in net revenue retention because at the end of the day, if you have a 120% net revenue retention, Then you're going to grow 20% a year without acquiring any customers.”
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“I would do something like this, Harry, you're a salesperson, your job is bringing customers. I'm going to pay you know, three percent. Rate on the first ACB from a customer and five percent on any expansion revenue. So now it's like, oh, sweet. Okay. I get it.…”