100+ SaaS Statistics and Trends for 2024

Updated on June 14 2024
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The SaaS industry is one of the fastest-growing industries in the world. According to Globenewswire report, the global SaaS market was valued at $143.77 billion in 2021 and it is expected to reach $720.44 billion by 2026.

As the industry grows, so too does the competition. SaaS companies are now using a variety of marketing strategies to acquire and retain customers. Our team went deep into 35+ reports published by authority sites (sources cited) in SaaS domain and came up with this compilation of 100+ SaaS statistics that spreads across statistics on SaaS trends, customer behavior, and various marketing strategies used by SaaS brands.

These SaaS statistics will give you a better understanding of the SaaS industry and how to market your SaaS product or service effectively in 2024.

Top SaaS Statistics – An InfoGraphic

Top 10 SaaS Statistics - Infographic
Top SaaS Stats – Infographic

SaaS Statistics for Pricing

  • SaaS company marketing budgets typically average around 7-8% of revenue (Source: Gitnux).
  • User-based pricing is still utilized by 50% of SaaS organizations, with the most common free trial period being 1 month (Source: Cobloom).
  • About 40% of SaaS companies take a value-based approach to pricing, while 30% charge based on usage (Source: OpenView Venture Partners).
  • The optimal number of paid packages is typically three (low, medium, and high) to prevent customer confusion (Source: 2checkout).

SaaS Statistics in Customer Acquisition and Churn Rate

  • The median SaaS business loses about 10% of its revenue to churn annually, translating to approximately 0.83% revenue churn per month (Source: Insivia).
  • The median cost to acquire $1 of ARR for a new customer was $1.32, potentially dropping to $0.71 with upselling strategies (Source: KBCM Technology Group).
  • Startups typically allocate about 92% of their first average contract value to customer acquisition, resulting in an 11-month payback period on the CAC (Source: Tom Tunguz).
  • The median churn rate for SaaS organizations was 13.2% in 2018 (Source: KBCM Technology Group).
  • An acceptable annual churn rate typically ranged between 5% and 7% when measuring revenue or customers (Source: Sixteen Ventures).
  • 70% of active free trial users are likely to purchase paid services after reaching out (Source: Invespcro).
  • Approximately 16% of SaaS marketing budgets are allocated to event marketing (Source: Gitnux).

SaaS Statistics for Market Growth and Revenue:

  • Between 2019 and 2021, the global SaaS market was expected to reach $60.36 billion, with a 9% CAGR over four years (Source: Technavio).
  • Since 2010, the money spent per company on SaaS apps has increased annually (Source: Blissfully).
  • The forecasted compound annual growth rate of the SaaS market was 18% (Source: MarketsandMarkets).
  • In 2018, SaaS organizations generated an estimated $72.2 billion in revenue (Source: Gartner).
  • Global SaaS market revenues were projected to reach $113.1 billion by 2021 (Source: Gartner).
  • Microsoft held 18% of the SaaS market share, followed by Salesforce with 11.5% and Adobe with 6.7% (Source: Synergy Research Group).
  • North America and the Asia Pacific SaaS markets were expected to exhibit the highest growth rates (Source: MarketsandMarkets).
  • In 2018, 17 new public SaaS vendors raised $5.1 billion in the most successful SaaS IPO year (Source: Battery).
  • Germany is expected to experience the largest increase in SaaS market growth among major markets by 2025 (Source: Statista).
  • The global SaaS market is estimated to reach USD 223.7 billion by 2022 and over USD 571.9 billion by 2027, with a compound annual growth rate (CAGR) of 20.6% during 2022-2027 (Source: BCC Research).
  • Research reveals that 44% of B2B SaaS companies prefer sales-negotiated pricing, followed by fixed pricing at 34%, and variable pricing at 24% (Source: SaaSoptics).
  • Usage-based pricing is gaining traction, with 45% of companies adopting it, which is double the rate from four years ago, and it is projected to reach 56% in 2023 (Source: Openview).

Also read: How to monetize your SaaS App?

Also read: Top 7 Strategies to use AI for Digital Marketing

Content Marketing Statistics for SaaS

  • Case studies prove to be one of the most effective content marketing strategies for boosting sales (Source: Uplift Content).
  • Marketers find competitor analysis to be one of the most helpful content marketing tactics (Source: SEMrush).
  • Approximately 9 out of 10 SaaS businesses incorporate blog posts into their online marketing strategy (Source: SaaSPartners.io).
  • Implementing a content marketing strategy leads to a 30% higher growth rate compared to those not utilizing content marketing (Source: ProfitWell).
  • 57% of SaaS companies view content creation as a key marketing strategy (Source: Gitnux).
  • 74% of B2B marketers believe that delivering value is the top factor in content marketing success (Source: Content Marketing Institute).
  • 80% of B2B technology marketers consider writing the most crucial content marketing skill, followed by digital media skills (77%) and data analysis skills (65%) (Source: SaaSPartners.io).
  • 57% of the most successful B2B tech companies outsource their SaaS content marketing activities (Source: Content Marketing Institute).
  • 78% of Chief Marketing Officers (CMOs) see custom content as the future of marketing (Source: DemandMetric).
  • Online users spend 20% of their online time consuming content (Source: DemandMetric).
  • 78% of users perceive a relationship between themselves and a company using custom content (Source: DemandMetric).
  • SaaS buyers spend 27% of their time during the buying process conducting independent online research (Source: Gartner).
  • Over 30% of SaaS subscribers cancel their subscriptions within the first three months (Source: Zipdo).
  • SaaS companies allocate between $342,000 and $1,090,000 per year to content marketing (Source: 0101Marketing).
  • Content marketing costs SaaS businesses 62% less than traditional marketing (Source: DemandMetric).
  • Content marketing produces 3X better lead generation results than traditional marketing (Source: DemandMetric).
  • The average SaaS startup spends about 75% of its revenue on sales and marketing in the first three years (Source: Zipdo).
  • SaaS businesses using content marketing report lead generation growth of up to 400% (Source: Gitnux).
  • 98% of SaaS companies maintain blogs, and 42% of marketers indicate that updating existing content enhances their content marketing value (Source: Insivia).
  • B2B brands with regularly updated blogs generate 67% more leads compared to those that don’t (Source: DemandMetric).
  • About 90% of SaaS companies incorporate blogs into their online strategy (Source: MailUp).
  • SaaS landing pages with strong calls to action (CTAs) witnessed an 80% increase in conversion rates, with sign-up forms experiencing a 34% boost (Source: Kalungi).
  • The most successful blog posts in the SaaS sector average under 3,000 words (Source: Content Marketing Institute).
  • 41.5% of SaaS marketing professionals find that infographics and other original visual graphics generate the most engagement (Source: Venngage).
  • People following directions that combine text with illustrations are 323% more successful in following those directions than when illustrations are absent (Source: LinkedIn).

Also read: 100+ Mobile Marketing Stats

Social Media Marketing Statistics for SaaS

  • Social media marketing efforts increase website traffic for 75% of marketers (Source: Review42).
  • 18% of top SaaS companies host their own podcasts (Source: DevSquad).
  • YouTube is the leading driver of social media traffic for 98% of prominent SaaS companies, followed by Facebook (96%), LinkedIn (78%), and Twitter (72%) (Source: Mike Sonders).
  • 86% of consumers looking to buy IT products, including SaaS subscriptions, use social media to aid their decision-making (Source: SocialPilot).
  • 76% of Internet users make a purchase after seeing a product or service on social media (Source: Retail TouchPoints).

Video Marketing Statistics for SaaS

  • A remarkable 88% of people claim to have made a purchase decision based on brand videos (Source: Wyzowl).
  • 91% of businesses attribute increased traffic to the use of video as a marketing tool, making an online video editor an essential asset for content creation (Source: Wyzowl).
  • 57% of video marketers created screen recorded videos in 2022 (Source: Wyzowl).
  • Over 70% of sales professionals believe custom-recorded videos generate more opens, clicks, and responses than text-based emails (Source: Business Wire).
  • 51% of B2B SaaS marketing professionals consider webinars and webcasts their most successful form of video content, followed by interviews with industry experts at 36% (Source: Content Marketing Institute).
  • 91% of SaaS apps achieve success with a webinar format involving at least two speakers (Source: Demio).

Also read: Best TikTok Editing Apps

Email Marketing Statistics for SaaS

  • SaaS companies achieve an average 66% open rate for their targeted email marketing campaigns (Source: Source: Gitnux).
  • The most common types of emails sent by SaaS and tech companies include onboarding emails, feature announcements, newsletters, surveys, and check-ins (Source: Sprout Social).
  • 37% of brands are increasing their email budgets (Source: Hubspot).

Also read: How to Create a Newsletter?

SEO and Organic Search Statistics for SaaS

  • Ranking #1 in Google’s organic search results yields an average CTR of 27.6% (Source: Backlinko).
  • 53.3% of total website traffic comes from organic search (Source: G2).
  • Backlinks rank among the top three ranking factors (Source: UserGuiding).
  • 63% of Google searches originate from mobile devices, highlighting the need for mobile optimization (Source: Oberlo).

Also read: Evolution of SaaS SEO (Case Study)

B2B Buying Behavior Statistics for SaaS

  • B2B buyers spend 27% of their buying process time researching independently online (Source: Gartner).

SaaS Adoption Statistics

  • 38% of companies reported relying almost entirely on SaaS technologies, resulting in higher employee engagement and user success (Source: BetterCloud).
  • In 2017, the number of SaaS apps used by companies increased by 33% from the previous year, with 73% of organizations aiming to have 80% or more of their apps as SaaS by 2020 (Source: BetterCloud).
  • Salesforce, one of the largest SaaS organizations, was ranked as the number 1 best company to work for in the United States (Source: Fortune).
  • Companies entirely reliant on SaaS use an average of 34 apps, 2.1 times more than the typical workplace (Source: BetterCloud).
  • Challenges for the SaaS sector include a shortage of skilled workers and cybersecurity threats (Source: MarketsandMarkets).
  • A lack of transparency within your SaaS organization results in SaaS app licenses going underutilized or remaining unused. This can result in nearly one-third of your SaaS resources being squandered, potentially translating to substantial financial losses, ranging from hundreds of dollars to millions, depending on the scale of your company (Source: BetterCloud).
  • Businesses that use an average of 212 SaaS apps are 93% reliant on SaaS software, whereas workspaces in transition using 79 average SaaS apps are 55% SaaS-based, and traditional workspaces using 39 average SaaS tools are 8% SaaS-focused (Source: Grand View Research).
  • The enterprise software segment dominates the SaaS market, accounting for 70% of its revenue, driven by the increasing trend of cloud deployment among small and medium businesses (Source: Grand View Research).

Also read: 60+ B2B SEO Stats and Trends

Customer Engagement Statistics for SaaS

  • 80% of marketers consider customer experience a key competitive differentiator (Source: Salesforce).

Optimization and Resource Utilization Statistics for SaaS

  • More than 90% of SaaS companies employ live chat to increase sales, with 89% using it to enhance customer service (Source: Gitnux).
  • The best cloud companies can turn a $1 investment into $18 in just one year, leading to cloud-model businesses being valued at 10-20x their annual revenue in recent markets (Source: BVP).

Other SaaS Statistics

  • In 2023, mobile devices accounted for 58.33% of global website traffic (Source: Statista).
  • 67% of B2B marketers incorporate infographics into their strategies (Source: Content Marketing Institute).
  • 31% of marketers use video content to enhance SEO (Source: Hubspot).
  • Short-form videos are expected to see the most growth in 2023 (Source: Hubspot).
  • Most SaaS organizations say that offboarding is a tedious task that can take up to 7 hours/per user. The hardest department to offboard is engineering, followed by operations, sales, and finance. (Source: BetterCloud)
  • 36.7% of SaaS marketing professionals consider the biggest challenge with visual content to be producing engaging visuals consistently (Source: SiegeMedia).

SaaS Industry Trends

  • A significant 93.5% of SaaS companies offer educational webinars (Source: Demio).
  • A staggering 99% of companies use at least one SaaS solution to run their businesses (Source: ThriveMyWay).
  • Free trials that don’t require users to share their credit card information double the likelihood of customers purchasing SaaS tools (Source: ThriveMyWay).
  • 64% of large organizations express concerns that SaaS adoption is outpacing cybersecurity measures (Source: Business Wire).
  • The average number of SaaS apps used by various establishments doubled from 8 to 16 between 2015 and 2017 (Source: BetterCloud).
  • By 2025, about 20% of organizations are anticipated to discontinue investments in on-premises CRM deployments to accelerate their shift to SaaS CRM (Source: Gitnux).
  • The US SaaS industry is projected to grow by over 2x by 2025 (Source: Reply).
  • Approximately 91% of SaaS professionals emphasize the importance of financial alignment with marketing, SaaS, and customer success for growth (Source: Revops Squared).

Conclusion

These statistics shows a pivotal role that marketing plays to ensure the success and sustainability of SaaS enterprises in a digital and data-driven world. The numbers underscores the fundamental importance of crafting an effective marketing strategy as they demonstrate the direct correlation between well-executed marketing efforts and the growth and success of SaaS businesses.

Take advantage of these SaaS statistics to figure out what works best for your SaaS brand and take data-driven decisions.

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