For a Software as a Service (SaaS), strategic planning and measurable objectives are key to sustainable growth. One of the most effective frameworks for aligning goals across an organization is the use of Objectives and Key Results (OKRs).

This blog explores how OKRs can be tailored specifically for SaaS companies looking to scale operations, enhance product offerings, and improve customer satisfaction.

Read our comprehensive guide to OKRs here.

What are OKRs and How Are They Used?

OKRs consist of an Objective, which defines a goal to be achieved, and Key Results, which are measurable outcomes that track the achievement of that goal. This framework helps companies set and communicate clear, quantifiable objectives across the organization. OKRs are typically set quarterly to allow teams to adapt and iterate on strategies quickly, responding to changing market conditions and internal dynamics. Regular OKR review cycles, involving assessing outcomes and refining objectives, are crucial for maintaining relevance and driving progress.

Read our introduction article to learn more about OKRS and what they are.

10 Ideal OKRs for a SaaS

1. Increase Monthly Recurring Revenue (MRR)
   • Increase new customers by 12% each quarter.
   • Reduce churn rate by 2,5% each quarter.
     
2. Improve Customer Acquisition
   • Increase website traffic by 25% each quarter through enhanced SEO and content marketing.
   • Improve conversion rate from trial to paid users by 10% by optimizing the onboarding process.
     
3. Enhance Customer Retention
   • Decrease churn rate by 2,5% each quarter through targeted retention campaigns.
   • Increase customer satisfaction score to 90% by implementing feedback loops and regular customer satisfaction surveys.
     
4. Expand Market Presence
   • Enter one new geographical market each quarter.
   • Increase brand awareness by 20% in new markets through localized marketing campaigns.
     
5. Improve Product Engagement
   • Increase daily active users by 15% by enhancing user experience and introducing new features.
   • Increase average session duration by 10% through user interface improvements.
     
6. Optimize Sales Funnel
   • Increase lead-to-customer conversion rate by 10% by refining sales messaging and training.
   • Decrease sales cycle length by 15% through streamlined proposal and contracting processes.
     
7. Increase Customer Lifetime Value (CLTV)
   • Increase average revenue per user (ARPU) by 10% through upselling and cross-selling initiatives.
   • Increase average customer lifespan by 10% by enhancing customer support and loyalty programs.
     
8. Improve Product Quality
   • Decrease the number of bugs and issues reported by 15% through more rigorous QA processes.
   • Release 2 new features per quarter based on customer feedback and demand.
     
9. Enhance Customer Support
   • Decrease average response time to customer queries by 25% by optimizing support team workflows.
   • Increase customer satisfaction rate with support to 85% through training and development of support staff.
     
10. Strengthen Strategic Partnerships
    • Establish 2 new strategic partnerships per quarter with complementary service providers.
    • Increase referral traffic from partners by 15% through co-marketing efforts.

Read our full list of KPIs here, or the speclialized list of KPIs for sales.

5 Tips to Keep OKR on Top-Level Quality for SaaS

1. Align OKRs with Strategic Goals: Ensure each OKR directly contributes to the broader business objectives and strategies of the company.
2. Make OKRs Actionable and Measurable: Set clear, quantifiable key results that can be regularly monitored and measured.
3. Engage Teams in the OKR Process: Involve all relevant team members in setting and reviewing OKRs to ensure buy-in and relevancy.
4. Regularly Review and Adjust OKRs: Set a regular schedule to assess progress and refine OKRs based on performance and changing circumstances.
5. Celebrate Achievements and Learn from Failures: Recognize when goals are met or exceeded, and equally, conduct retrospective analyses to learn from areas where OKRs were not met.

Summary and Conclusion

For SaaS companies, OKRs provide a clear, structured way to scale up operations, boost product offerings, and improve customer experiences. By setting specific, challenging, yet achievable goals, SaaS organizations can ensure continued growth and adaptability in a competitive market.

Recommended Reading

• “Measure What Matters” by John Doerr
• “Radical Focus” by Christina Wodtke
• “High Output Management” by Andrew Grove

These resources offer further insights into the implementation and benefits of OKRs within tech companies and beyond, providing readers with practical tools and strategies to enhance their own OKR frameworks.