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presents
CORY VON WALLENSTEIN
@cvonwallenstein
Growing a
Successful SaaS Business
@cvonwallenstein	
  from	
  
Agenda • Story	
  of	
  growing	
  a	
  SaaS	
  
business
– Growing	
  enterprise
– Ensuring	
  enterprise	
  reten=on
– Growing	
  self-­‐service
– Increasing	
  self-­‐service	
  
renewals
• Your	
  story
– Let’s	
  dive	
  into	
  what	
  maCers	
  for	
  
you!
@cvonwallenstein	
  from	
  @DynInc
But	
  First,	
  Who	
  Is	
  Dyn?
• Internet	
  Infrastructure	
  as	
  a	
  Service
– Managed	
  DNS	
  and	
  Email	
  Delivery
• 180	
  Global	
  Employees
• Headquarters	
  in	
  Manchester,	
  NH	
  (offices	
  in	
  SFO	
  &	
  UK	
  too)
• Raised	
  first	
  financing	
  in	
  Oct	
  2012:	
  $38MM	
  from	
  NorthBridge
@cvonwallenstein	
  from	
  @DynInc
Growing	
  Enterprise
@cvonwallenstein	
  from	
  @DynInc
@cvonwallenstein	
  from	
  
How	
  we	
  grew	
  
our	
  
Enterprise	
  
business
• Rock	
  solid	
  product	
  that	
  met	
  a	
  
proven	
  need
• Building	
  a	
  beCer	
  mouse	
  trap	
  
didn’t	
  ensure	
  success
• Needed	
  to	
  stand	
  out	
  from	
  the	
  
crowd
– In	
  garnering	
  aCen=on
– In	
  being	
  fundamentally	
  different
• Lock	
  arms	
  with	
  customers,	
  
help	
  them	
  build	
  their	
  
business,	
  they	
  will	
  help	
  you	
  
build	
  your	
  business
• Not	
  selling	
  DNS,	
  selling	
  trust	
  
and	
  confidence
@cvonwallenstein	
  from	
  @DynInc
Ensuring	
  Enterprise	
  
Reten=on
@cvonwallenstein	
  from	
  @DynInc
@cvonwallenstein	
  from	
  
How	
  we	
  
retain	
  our	
  
Enterprise	
  
business
• Upsell	
  is	
  a	
  cri=cal	
  component	
  
of	
  SaaS	
  growth
– Near	
  50%	
  from	
  upsell
• Need	
  more	
  than	
  one	
  vector
– Advanced	
  features
– Service	
  consump=on
• DON’T	
  USE	
  SEATS!
• No	
  one	
  likes	
  overages
– Conversa=on	
  on	
  “congrats	
  on	
  the	
  
growth,	
  let’s	
  make	
  sure	
  you’re	
  in	
  
the	
  right	
  package	
  for	
  next	
  year!”
– Don’t	
  penalize	
  growth	
  of	
  
customers,	
  reward	
  them!	
  
@cvonwallenstein	
  from	
  @DynInc
eCommerce
(self	
  –service)
@cvonwallenstein	
  from	
  @DynInc
eCommerce	
  on	
  dyn.com	
  –	
  18	
  months
$500k	
  per	
  month	
  in	
  new	
  recurring	
  revenue
Over	
  $6MM	
  per	
  year	
  growth
@cvonwallenstein	
  from	
  
We	
  are	
  the	
  
DNS	
  experts.
• Names	
  to	
  numbers
twiCer.com	
  -­‐>	
  168.143.162.52
• Enterprise	
  (DynECT	
  DNS)
– $200/mo	
  &	
  up,	
  ARPU	
  $600/mo
• SMB	
  (DynECT	
  DNS	
  Lite)
– $30-­‐90/mo,	
  leading	
  to	
  full	
  DynECT
• Home	
  User	
  (DynDNS)
– $20-­‐$30/year,	
  ARPU	
  $50/year
@cvonwallenstein	
  from	
  
Self	
  service	
  
paCerns	
  of	
  
behavior
• What	
  paCerns	
  did	
  we	
  find?
– Purchase	
  paFerns
• Freemium	
  vs	
  trials?
• When	
  do	
  people	
  go	
  from	
  free	
  
to	
  paid?
– Renewal	
  paFerns
• When	
  do	
  people	
  renew?
• How	
  do	
  they	
  renew?
• Do	
  people	
  forget	
  to	
  renew?
@cvonwallenstein	
  from	
  @DynInc
Purchase	
  PaCerns
@cvonwallenstein	
  from	
  @DynInc
Freemium	
  vs	
  trials?
=	
  2x
@cvonwallenstein	
  from	
  @DynInc
When	
  do	
  people	
  go	
  from	
  free	
  to	
  paid?
@cvonwallenstein	
  from	
  @DynInc
When	
  do	
  people	
  go	
  from	
  free	
  to	
  paid?
@cvonwallenstein	
  from	
  @DynInc
Renewal	
  PaCerns
@cvonwallenstein	
  from	
  @DynInc
When	
  do	
  people	
  renew?
@cvonwallenstein	
  from	
  @DynInc
How	
  do	
  people	
  renew?
@cvonwallenstein	
  from	
  @DynInc
How	
  do	
  people	
  renew?
@cvonwallenstein	
  from	
  @DynInc
How	
  do	
  people	
  renew?
@cvonwallenstein	
  from	
  @DynInc
Do	
  people	
  forget	
  to	
  renew?
@cvonwallenstein	
  from	
  @DynInc
Your	
  Story
@cvonwallenstein	
  from	
  @DynInc
Fireside	
  Chats
@cvonwallenstein	
  from	
  @DynInc
Growing	
  a	
  Successful	
  SaaS	
  Business
Cory	
  von	
  Wallenstein
Chief	
  Technology	
  Officer,	
  Dyn	
  Inc.
@cvonwallenstein
cvw@dyn.com
Course Title
Course Title
INSTRUCTOR NAME

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Growing a SaaS Business