40+ SaaS business statistics you need to know

SaaS is undeniably important for the connection between people via the internet. Especially in recent years, its importance has been felt more, and its usage has increased obviously. So, this article will handle some interesting statistics, including SaaS products, SaaS security, SaaS applications, and SaaS platforms, in order to help you and be your guide.

If you are curious about what SaaS brings to companies, we have gathered for you 40+ excellent SaaS business statistics you need to know, the reasons why you need to keep an eye on SaaS statistics, key points to take away from these statistics, and more!

Why do you need to keep an eye on SaaS statistics?

Knowledge is power, and statistics is an excellent source of reliable knowledge because each statistic carries applied experiences. You can rely on these statistics because you can foresee the future without taking any or fewer risks by checking them. 

Moreover, keeping an eye on SaaS statistics will let you improve your decision-making mechanism. For all these reasons, you should never underestimate the power of SaaS statistics for your business.

40+ powerful statistics about SaaS businesses

Success is no accident, so one should put enough effort and hard work into it. Statistics is a useful source for you to increase your company’s success and find the correct techniques for your business. If you do not want to lose any time to get ahead of your competitors, you should definitely look at these 40+ powerful statistics about SaaS business:

General statistics about SaaS businesses

General statistics about SaaS business will help you to have a general outline of the issue in your mind. The statistics, which include data about SaaS spending or SaaS solutions, can lead you to find your own technique to grow faster and improve your business in a professional way. If you want to access all these exclusive privileges, have a look at these general statistics about SaaS business: 

1. There are almost 8 times as many SaaS businesses in the US as there are worldwide. (Exploding Topics)

2. 150+ SaaS apps are used by businesses with more than 1000 workers. (BetterCloud)

3. The market of cloud applications is expanding and does not appear to be slowing down anytime soon. From $30.3 billion in 2013 to over $214 billion in 2019, the market has increased. (Apps Run the World)

4. The pandemic has had no impact on SaaS expenditure of 1 in 5 businesses. (IDC)

5. Within the next 5 years, half of all the businesses that utilize numerous SaaS services will centralize administration. (Gartner)

6. A total of 73% of respondents said SaaS was important in some way. In terms of those numbers, 38% of respondents said that SaaS is “very important” to the success of their company. Meanwhile, SaaS is “quite important” to 35% of respondents. (Harvey Nash)

7. SaaS apps account for 70% of all businesses' software usage. (BetterCloud)

8. The SaaS market is estimated to be worth $195 billion. (Gartner)

9. By 2025, the US SaaS market is projected to rise by more than two times. (Reply)

10. SaaS solutions, however, only see 2.8 days of engagement per user per month on average or a median “stickiness” of 9.4%. (Mixpanel)

Source: Reply

SaaS market statistics

SaaS market size statistics can help you to better fore see your company's future. Also, statistics based on pricing will let you have fewer risks by wasting less money or not wasting money at all. By using the correct strategies and checking these statistics carefully, one can easily improve the customer retention rate for their company’s good. Have a look at these SaaS market statistics: 

11. At a predicted CAGR of 18.7%, the worldwide Software as a Service (SaaS) industry is expected to increase from $273.55 billion in 2023 to $908.21 billion in 2030. (Fortune Business Insight)

12. Nearly half of firms (47%) provide a free trial to attract new clients. (Openview)

13. With rare instances of less than six months, best-in-class businesses have a CAC payback of 6-12 months. (Openview)

14. When salespeople help free trailers, the conversion percentage increases to 15.5%. (TomTunguz)

15. Over 8 applications are used by the average person at work. (Vendr)

Source: Fortune Business Insight

SaaS industry statistics

SaaS has become an important branch of the big and strong industry world. The statistics given below prove that there is a lot of realistic and useful data about SaaS. In order to take advantage of them and learn your lessons, you should definitely check these SaaS industry statistics: 

16. Dynamic pricing yields favorable benefits for 98% of SaaS companies. (Zippia) 

17. In 2018, the typical business spent $343,000 on SaaS, an increase of 78% over the previous year. (Vendr)

18. 38% of businesses rely nearly totally on SaaS. (Gartner)

19. 78% of businesses utilized SaaS in 2022. (Gartner)

20. Nearly 75% of B2B app users claim they would rather make their purchase online or through an app than through a salesperson. (Forrester)

21. Nowadays, more than 60% of the purchasing process takes place before a customer interacts with a provider. (Gartner)

Source: Forrester

SaaS adoption statistics

SaaS adoption statistics will help give you a chance to present a better service for your users. Since one of the SaaS aims is to  deliver computing services through applications without losing time for the users, these SaaS adoption statistics will help you: 

22. The number of applications used by businesses has increased exponentially as a result of the adoption of SaaS, tripling from 8 to 16 between 2015 and 2017. (Totango)

23. 73% of firms used just SaaS apps in 2020. (Totango)

24. SaaS’s quick and widespread adoption has significantly changed sectors and created a new standard. Notably, SaaS use is growing by 20% annually in the healthcare industry. (Totango)

25. From 2021 to 2028, the SaaS video conferencing market is anticipated to expand at a CAGR of 21.9%. The increased use of remote work and online collaboration is driving this expansion, underscoring the demand for dependable and feature-rich video conferencing solutions that provide seamless communication and collaboration. (Gartner)

26. 95% of healthcare firms now use SaaS applications, reflecting a considerable increase in SaaS use in the sector. (BetterCloud)

Source: Totango

SaaS revenue statistics

SaaS revenue statistics will allow you to understand the importance of SaaS usage. As long as you find the correct techniques for your company, you can decrease the churn rate. These statistics include how much SaaS users spend or earn money from it. Check these SaaS revenue statistics: 

27. Companies with an ARR of $5M - $10M rely on expansion revenue on average 20% of the time. (Key)

28. To counteract the consequences of churn, it is advised that at least 30% of your income originate from expansions or upsells. (Paddle)

29. At the conclusion of the same time, top-performing businesses retain just over one-third of both new and current consumers. (Mixpanel)

30. The market for software as a service (SaaS) is anticipated to be valued at over 197 billion dollars in 2023 and rise to 232 billion dollars in 2024. (Statista)

31. With a $4.75 billion market revenue in 2021, France comes in second. In Europe’s SaaS market, Italy, Netherlands, and Belgium were among the top 5. (Gartner)

32. By 2020, North America controlled over 55% of the worldwide SaaS market, holding the position of the biggest revenue. (Gartner)

33. 92% of the SaaS company’s first-year revenue, on average, goes to client acquisition. (McKinsey)

34. About 26% of the money generated by SaaS enterprises is allocated to R&D projects. (Paddle)

Source: McKinsey

SaaS trends in 2023

It is essential to keep up with the latest trends. As time passes, rules and techniques in the services and marketing change, too. So, checking the statistics of the very previous tears will not be able to present you in a data-driven way. For this reason, you should have a look at these SaaS trends in 2023: 

35. At a predicted CAGR of 25.89%, the worldwide SaaS market share would increase from USD 143.77 billion in 2021 to USD 720.44 billion by 2028. (GlobeNewswire)

36. Currently, the SaaS sector accounts for 2% of Fortune 500 businesses’ total revenue and 0.15% of the globe's GDP. (CMF)

37. By 2027, the retail and e-commerce sectors are estimated to reach USD 138.9 billion and USD 130.7 billion, respectively, from the BFSI (banking, financial services, and insurance) sector.  (BBC Research)

38. Beginning in 2023, global venture capital (VC) financing decreased by 53% over a year. (Crunchbase)

39. To combat modern security threads, 75% of businesses are now revamping their risk and security governance. (Gartner)

40. Self-service capabilities are becoming a staple in SaaS trends in 2023, as more than 81% of clients want more autonomy. (GetNice)

Source: GetNice

Key points to take away from these statistics

With all these valuable data, you can take advantage of them. Knowing all these SaaS statistics alone will not help you suddenly like a magic wand, for sure. The point is to know what to do and how to use them. So, you should pay attention to these key points: 

To sum up

To wrap it all up, statistics are an excellent source of information for you to grow your business faster. In this article, we have handled 40+ great SaaS business statistics, including market, industry, adoption, revenue, 2023 statistics, and more. With all this valuable data, we hope you can help you find your own way to a more successful career path!