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© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
SaaS Velocity = Product + Metrics
Tom LeGrice, SaaS & Platform Lead
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Optimised
Resources
Better
Products
More
Feedback
Amazon Flywheel SaaS on AWS Flywheel
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. https://www.forentrepreneurs.com/saas-metrics-2/
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Developers
Users Business
Product
I hate this!
You need xyz!
Your competitor
has abc!
We are not on the
latest tech!
Be worried!
I want shiny toys!
Customer needs 123
otherwise we lose this deal!
How long do
they stay? How much do
they pay us?
How many
customers
do we
have?
How much
do they cost
to get and
serve?
LTV
(lifetime value)
Customer Acquisition Costs (CAC)
Churn rate
Cost to serve (CTS)
Average Revenue Per User (ARPU)
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
• Xero growth in their Annual report
• graphs
Xero Annual Report, FY18
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Xero Annual Report, FY18
RDS
serverless
AI/ML
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Cost per Transaction
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
How much does it cost me in platform costs to execute this transaction?
Which customers/ industries/ channels should I invest in?
What is the cost of supporting certain customers?
What about people overheads like developer resources?
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Business
Costs
AWS
Platform
Costs
User
Metrics
Tagging via AWS Cost Explorer API
Kinesis Streams /
Clicks
ERP or SaaS API
DECIDE HOW TO RECOGNISE A USER
S3
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Data Sources Ingest Store Process Analyze
Clickstream
Databases
Events
Transactions
AWS Glue
Amazon
Kinesis
Firehose
Amazon Athena
AWS DMS Amazon S3
(Raw Data)
Amazon S3
(Data Lake)
Amazon
QuickSight
QuickSight
Dashboards
Amazon Sagemaker
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
“At Airbnb, we use machine learning to
build customer lifetime value models (LTV) for
guests and hosts. These models allow us to
improve our decision making and interactions with
our community at very granular levels (down to the
user level if we like). We improved our CLTV by
over 5% as a result.”
https://medium.com/airbnb-engineering/automated-machine-learning-a-paradigm-shift-that-accelerates-data-scientist-productivity-airbnb-f1f8a10d61f8
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
https://thenextweb.com/artificial-intelligence/2017/10/25/airbnb-ai-sketches-design-code/
https://airbnb.design/sketching-interfaces/
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
1. Invest in Product as the Cultural Triage Point
2. Implement Business Cost Per Transaction Metrics
Ensure it is real time dashboards!
Agreement across the business for decision process
3. Build competency in Product + Metrics to achieve
Velocity
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Visualise AWS Costs using Athena & Quicksight
https://aws.amazon.com/blogs/big-data/query-and-visualize-aws-cost-and-usage-
data-using-amazon-athena-and-amazon-quicksight/
Web Beacons with Kinesis
https://docs.aws.amazon.com/solutions/latest/real-time-web-analytics-with-
kinesis/components.html
Airbnb Auto-Sketcher
https://airbnb.design/sketching-interfaces/
Xero Annual Reports
https://www.xero.com/au/about/investors/financial-info/annual-report-2018/
tlegrice@amazon.com
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
APN Webpage https://aws.amazon.com/partners/
APN Blog https://aws.amazon.com/blogs/apn/
APN LinkedIn Group https://www.linkedin.com/groups/12101129
Twitter @AWS_Partners
Join the AWS Partner Network!
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
TechShift Accelerator Program
Accelerate migration of
your software to cloud-
native service
Differentiate by offering
premium features through
AWS advanced service
integrations
Broaden customer reach
through AWS field, partners
& programs
Register Your Interest: https://aws.amazon.com/events/techshift/accelerator/
SaaS
Modernize
Migrate
Sydney 5th February 2019
Melbourne 7th February 2019 Sydney 14-15th May 2019
Melbourne 16-17th May 2019 TBC

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SaaS Velocity = Product + Metrics - Tom LeGrice - AWS TechShift ANZ 2018

  • 1. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. SaaS Velocity = Product + Metrics Tom LeGrice, SaaS & Platform Lead
  • 2. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Optimised Resources Better Products More Feedback Amazon Flywheel SaaS on AWS Flywheel
  • 3. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. https://www.forentrepreneurs.com/saas-metrics-2/
  • 4. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Developers Users Business Product I hate this! You need xyz! Your competitor has abc! We are not on the latest tech! Be worried! I want shiny toys! Customer needs 123 otherwise we lose this deal!
  • 5.
  • 6. How long do they stay? How much do they pay us? How many customers do we have? How much do they cost to get and serve?
  • 7. LTV (lifetime value) Customer Acquisition Costs (CAC) Churn rate Cost to serve (CTS) Average Revenue Per User (ARPU)
  • 8. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. • Xero growth in their Annual report • graphs Xero Annual Report, FY18
  • 9. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Xero Annual Report, FY18 RDS serverless AI/ML
  • 10. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Cost per Transaction
  • 11. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. How much does it cost me in platform costs to execute this transaction? Which customers/ industries/ channels should I invest in? What is the cost of supporting certain customers? What about people overheads like developer resources?
  • 12. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Business Costs AWS Platform Costs User Metrics Tagging via AWS Cost Explorer API Kinesis Streams / Clicks ERP or SaaS API DECIDE HOW TO RECOGNISE A USER S3
  • 13. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Data Sources Ingest Store Process Analyze Clickstream Databases Events Transactions AWS Glue Amazon Kinesis Firehose Amazon Athena AWS DMS Amazon S3 (Raw Data) Amazon S3 (Data Lake) Amazon QuickSight QuickSight Dashboards Amazon Sagemaker
  • 14. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. “At Airbnb, we use machine learning to build customer lifetime value models (LTV) for guests and hosts. These models allow us to improve our decision making and interactions with our community at very granular levels (down to the user level if we like). We improved our CLTV by over 5% as a result.” https://medium.com/airbnb-engineering/automated-machine-learning-a-paradigm-shift-that-accelerates-data-scientist-productivity-airbnb-f1f8a10d61f8
  • 15. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. https://thenextweb.com/artificial-intelligence/2017/10/25/airbnb-ai-sketches-design-code/ https://airbnb.design/sketching-interfaces/
  • 16. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. 1. Invest in Product as the Cultural Triage Point 2. Implement Business Cost Per Transaction Metrics Ensure it is real time dashboards! Agreement across the business for decision process 3. Build competency in Product + Metrics to achieve Velocity
  • 17. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Visualise AWS Costs using Athena & Quicksight https://aws.amazon.com/blogs/big-data/query-and-visualize-aws-cost-and-usage- data-using-amazon-athena-and-amazon-quicksight/ Web Beacons with Kinesis https://docs.aws.amazon.com/solutions/latest/real-time-web-analytics-with- kinesis/components.html Airbnb Auto-Sketcher https://airbnb.design/sketching-interfaces/ Xero Annual Reports https://www.xero.com/au/about/investors/financial-info/annual-report-2018/ tlegrice@amazon.com
  • 18. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. APN Webpage https://aws.amazon.com/partners/ APN Blog https://aws.amazon.com/blogs/apn/ APN LinkedIn Group https://www.linkedin.com/groups/12101129 Twitter @AWS_Partners Join the AWS Partner Network!
  • 19. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. TechShift Accelerator Program Accelerate migration of your software to cloud- native service Differentiate by offering premium features through AWS advanced service integrations Broaden customer reach through AWS field, partners & programs Register Your Interest: https://aws.amazon.com/events/techshift/accelerator/ SaaS Modernize Migrate Sydney 5th February 2019 Melbourne 7th February 2019 Sydney 14-15th May 2019 Melbourne 16-17th May 2019 TBC