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Transforming your SaaS business: Strategic guide for optimizing business performance

Transforming your SaaS business

The SaaS business model is unique in many respects, and requires a different set of drivers and metrics to measure business performance.

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Transforming your SaaS business

The set of drivers depends on the type of company – pure-SaaS, on premise software company, integrated technology/ product company. In this report, we present a strategic framework with key drivers and metrics for increasing growth, profitability and sustainability for the SaaS business.

Companies across industries are increasingly adopting Cloud/ Software-as-a-Service (SaaS) business models to meet evolving customer needs and to benefit from high margins and monetization opportunities. The operating model required to support this new Cloud/SaaS business model requires alignment across the operating model, spanning the spectrum from products, to routes to market, to finance and support functions. More importantly, a successful SaaS business requires an operating model anchored on key drivers and metrics to measure and optimize business performance that are unique to the Cloud/SaaS business. These metrics are essential to assess progress as organizations embark on their transformation journey, and calibrate their approach accordingly.

KPMG’s new publication “Transforming your SaaS business: A strategic guide for optimizing business performance,” outlines a strategic framework to assess performance at each stage of the SaaS business lifecycle— launch, scale/optimization and stabilization. The publication defines the key metrics, their interpretation and how best to incorporate them into a SaaS business strategy to accelerate growth, improve profitability and achieve sustainability.

We hope you find the strategic drivers, metrics and transformational priorities provided in this publication valuable.

<p>© 2018 KPMG LLP, a Canada limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.</p> <p>KPMG International Cooperative (“KPMG International”) is a Swiss entity. &nbsp;Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.</p>

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