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What is a customer health score & how to calculate it

Now, you'll want to create a template. Count the number of times each action has occurred and multiply that value by the weight assigned … See more

Actived: 4 days ago

URL: https://www.paddle.com/resources/customer-health-score

Customer lifetime value (CLV) explained: Formula

WEBWhy CLV is important. Customer lifetime value is one of the most important metrics for growing SaaS businesses. Here’s why: Provides a reliable business viability measure: …

Category: Health Go Health

The ultimate SaaS metrics guide: What to track and why

WEB10. Gross margin. Gross margin is your total revenue minus the cost of goods sold (COGS). It’s a useful metric for tracking your revenue streams and forecasting but it is, again, …

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3 Takeaways from Hospital and Healthcare Pricing Strategies

WEB2. Price Transparency is Crucial to Communicating Value. Major hospitals aren’t clear about what you’re being charged for unless you press the issue, and even …

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Unit economics 101: What are they + top models

WEBUnit economics are the direct revenues and costs of a particular business measured on a per-unit basis, where a unit can be any quantifiable item that brings value to the …

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Customer retention: Why it's key to growth

WEBWhy retention is so important. When talking about the difference between customer acquisition and retention, we could say that customer acquisition gets all the …

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Seed funding for startups: the ultimate guide

WEBSeed funding is the first official round of funding that startups raise before moving into subsequent rounds, known as series A, B, C, and so on. Investors provide your startup …

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ACV vs. ARR: What's the difference and how to use each metric

WEBYear 1: ($500 + $400 + $300) / 3 = $400. Your ACV for year two goes down to $350 because you have fewer customers. Here’s the calculation: Year 2: ($400 + $300) / 2 = …

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Free subscription metrics reporting for SaaS companies

WEBProfitWell Metrics integrates with Stripe, Chargebee, and many other payment and billing tools, including Paddle. ProfitWell Metrics by Paddle offers 100% accurate real-time …

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Importance of Pricing: Why Pricing is Important for SaaS and Beyond

WEBThe importance of pricing. Pricing is important since it defines the value that your product are worth for you to make and for your customers to use. It is the tangible …

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Subscription business models in 2023: Definition, benefits, tips

WEBA subscription business model is one in which customers are charged a recurring fee for access to a product instead of a one-time expense. This recurring fee is often paid …

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What is net profit & how to calculate (formula + examples)

WEBThe total expenses were $25,000. They also sold an old van for $3000 while spending $2000 on settling a lawsuit. Following our net profit formula, we have total expenses …

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Total contract value (TCV): Definition, importance, how to

WEBTo figure out your company’s TCV, you'll need to use a specific formula. To calculate TCV, multiply the monthly recurring revenue (MRR) with the length of the contract terms, then …

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Growth guide: Methods to calculate & measure growth rate …

WEBBelow are two other equations you can use to calculate growth rate. They are each different ways to tell the story: (End value/starting value) x 100% = growth rate. …

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What are accounts receivables aging reports (+ how to prepare

WEB1. Stay on top of your billings. AR aging reports show you customers who repeatedly fail to pay their invoices. You can then contact them to follow up on the invoice, allowing you to …

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Current ratio vs. quick ratio: Which is best

WEBQuick Ratio = (Cash + Cash Equivalents + Liquid Securities + Receivables) ÷ Current Liabilities. From the example above, a quick recalculation shows your firm now holds …

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Pricing Ethics: 5 Ethical Issues in Pricing Strategies [+Avoiding Them]

WEBTo better protect you and your business, here are some of the most common pricing practices that sit on a razor’s edge of ethics and legality. Having ethical pricing …

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SaaS business model: Stages, metrics & essential tools

WEBThat, however, is the final and most successful stage of the SaaS business model. Broadly speaking, a SaaS business’s life can be broken down into three stages: …

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Why gross margin is important and how to calculate it

WEBCalculating gross margin (percentage) A local manufacturer realized net sales of $500,000 over 12 months. The company spent $100,000 on materials and $200,000 in labor for a …

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