SaaS Funding Guide | SaaS Portfolio Report | ChatGPT and American Jobs: A Survey

In This Issue: How to Identify and Secure the Funding Your SaaS Needs ? New Study Looks at SaaS Portfolio Growth ? Pew Center Explores Public Opinion of ChatGPT's Impact

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Created and distributed by the team at?Bay Leaf Digital, SaaS Wire is your source for news and information that will keep you and your business up to date on the latest news and trends in our ever-changing industry.??

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The Ultimate SaaS Funding Guide

Securing funding is a pivotal step in the growth trajectory of any startup. To get the funding you need to scale your B2B SaaS business, you need to understand where your SaaS is in the growth cycle, the types of SaaS funding that are available to grow your company, how to prepare for a meeting with funders, what those potential funders will want to know, and how to sustain a mutually satisfying relationship over the course of many years.

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New Report Highlights SaaS Portfolio Growth?

The team at Productiv has released the first part of their 2023 State of SaaS series, a comprehensive look at facts and figures garnered by analyzing over 100 million SaaS licenses and 100 billion data points over three years. Key findings in part one of the report include:??

• Despite shrinking budgets and personnel rosters, SaaS portfolios grew 32% between 2021 and 2023.??
• The average corporate SaaS portfolio size is 371 apps. This breaks down by company size: 473 for enterprise, 335 for mid-market companies, and 253 for small and medium-sized businesses.?
• SaaS portfolio growth occurred in companies of all sizes. This was also correlated to company size: 49% for enterprise, 41% for mid-market, and 5% for SMBs.?

• The use of “shadow IT” – solutions installed by employees outside of approved procurement channels – dropped to 51%, its lowest point in four years, as companies improve governance and cost optimization.??
• Evernote and Canva are among the most popular shadow IT options and, of course, ChatGPT made a noticeable splash this year.?
• SaaS agreement terms continue to shrink as companies seek to protect themselves against need changes and budget fluctuations. 85% of all contracts studied were for only one year. Contracts of more than three years had the greatest decline.?
• SaaS spending per employee averages $9,643. Of note, smaller businesses spend proportionally more than larger ones do. SMBs spent 11% more than mid-market organizations, which spent 34% more per employee than enterprises did.?
• SaaS sprawl continues. A 48% increase in apps was observed across 14 key categories from 2021 to 2023.?

• More than half of licenses go unused over a 90-day period, but there was a slight improvement from 45% usage to 47%. SMBs saw the highest usage rates, at 50%.?
• Four apps – LinkedIn, Salesforce, Atlassian Cloud, and Lucidchart dominate SaaS use across departments. Calendly saw the most growth in adoption from 2022 to 2023, possibly driven by hybrid word environments.??
• The average number of apps used per department grew 27% YoY, now averaging 87. IT and Security saw the greatest growth at 33%, followed by Customer Satisfaction; Engineering uses the most apps at 108.?

The report concludes that now is the time for companies to rationalize their SaaS portfolios as spending and governance teeter on the edge of control.?

Subscribe to SaaS Wire to keep up with continuing coverage as other components of Productiv’s report become available.?

Most Americans Believe that ChatGPT Will Not Impact Their Jobs?

The Pew Research Center recently conducted a survey to gauge public perception and usage of ChatGPT and chatbots in general. The study reveals that despite the buzz around the "robot revolution," most Americans have not used ChatGPT, and only a small percentage believe it will significantly impact their jobs.?

Key takeaways from the report include:?

• Limited Usage: Only 18% of U.S. adults have used ChatGPT. Among those aware of ChatGPT, 24% have used it. Younger adults and college-educated Americans are more likely to have engaged with the technology.?
• Purpose of Use: One in five adults use ChatGPT for entertainment, 19% for learning, and 16% for work-related tasks. Younger Americans are more likely to use it for educational and entertainment purposes than older adults are.?
• Industry Impact: About half of those surveyed believe chatbots will majorly impact jobs like software engineers (56%), graphic designers (54%), and journalists (52%). However, only 19% of employed adults think chatbots will significantly impact on their own jobs.?
• Demographic Variances: Among employed adults aware of ChatGPT, 60% of those aged 30 to 49 believe chatbots will have a major or minor impact on their jobs. This percentage decreases with lower educational levels and varies across industries.?
• Skepticism on Utility: Only 15% of working adults think chatbots would be extremely or very helpful for their work. Younger and more educated workers are slightly more optimistic.?
• Regulatory Concerns: Two-thirds of respondents are more concerned that the government will not regulate chatbots enough, rather than over-regulating them. This concern is bipartisan but more prevalent among Democrats.?

The data suggests a generational and educational divide in the perception and usage of ChatGPT. While younger and more educated individuals are more inclined to use and see the potential of this technology, the broader public remains skeptical or unaware of its capabilities and impact. This implies a need for more public education and industry-specific training to bridge this gap. The study also raises questions about the future role of government in regulating emerging AI technologies. This topic will likely gain more attention as these technologies become more integrated into daily life and work.?

At Bay Leaf Digital, we believe that AI is creating yet another frontier in the fourth industrial revolution and its effects will be far-reaching. We began integrating?this new technology into our work earlier this year and are excited to keep up with AI innovations. In fact, the copy and images in this news brief were created with the hybrid human-AI approach that we often use to generate content. Interested in learning more about how we do it? Schedule a chat with us today.?

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