Explanation in simple terms: how to measure five key metrics for B2B SaaS startups — CAC, CLV, MRR, CCR, and NPS — and how to use the insights

Check more stories related to startups at: https://hackernoon.com/c/startups.

You can also check exclusive content about #saas-startups, #b2b-saas, #startup-metrics-guide, #startup-lessons, #advice-for-startup-founders, #how-to-allocate-your-budget, #key-metrics-for-startups, #finance-advice-for-startups, and more.

This story was written by: @maximkubitsky. Learn more about this writer by checking @maximkubitsky's about page,

and for more stories, please visit hackernoon.com.

For B2B SaaS startups, these metrics are crucial from day one:

CAC (Customer Acquisition Cost): Measures how much it costs to acquire a customer, crucial for budget allocation and identifying effective marketing channels.

CLV (Customer Lifetime Value): Gauges the total value a customer brings over their engagement, emphasizing the importance of retaining loyal customers.

MRR (Monthly Recurring Revenue): Reflects predictable income from subscription-based customers, influencing investor interest and showcasing financial stability.

CCR (Customer Churn Rate): Indicates the percentage of customers discontinuing services, highlighting the need for robust retention strategies.

NPS (Net Promoter Score): Measures customer satisfaction and loyalty, offering insights for product improvement and enhancing customer experience.