SaaS Marketing Budget Calculator
Calculate your optimal SaaS marketing budget based on ARR, growth targets, and customer acquisition cost goals.
Recommended Annual Marketing Budget
$339K
$28K/mo · 17.0% of ARR
Target ARR
$2.8M
New ARR Needed
$900K
New Customers
75
LTV:CAC
300.0:1
CAC Payback
1 mo
Suggested Channel Allocation
Industry Benchmark
Series A SaaS companies typically spend 30% of ARR on marketing ($600K/yr for your ARR).
How to Use This Calculator
Enter your current ARR, target growth rate, and average deal size to establish your baseline.
Set your target CAC and current customer LTV to calculate sustainable spending ratios.
Review recommended budget allocation across paid, content, events, and product marketing channels.
Adjust growth stage to see how budget distribution shifts from seed to enterprise scale.
Frequently Asked Questions
What percentage of ARR should SaaS companies spend on marketing?
Early-stage SaaS companies typically spend 80-120% of ARR on sales and marketing combined. As companies scale, this drops to 30-50% of ARR. Marketing alone usually accounts for 15-30% of ARR depending on growth targets and sales efficiency.
How do I calculate customer acquisition cost for SaaS?
Divide total sales and marketing spend by the number of new customers acquired in that period. Include all costs: salaries, tools, ad spend, content creation, and events. A healthy CAC payback period is typically 12-18 months.
What is a good LTV to CAC ratio for SaaS?
A 3:1 LTV to CAC ratio is considered healthy for SaaS businesses. Below 3:1 suggests you are spending too much to acquire customers. Above 5:1 may indicate you are underinvesting in growth.
How should SaaS marketing budget change by growth stage?
Seed stage companies focus on product-market fit with lean budgets. Series A shifts to demand generation and content. Series B and beyond invest heavily in paid acquisition, brand, and international expansion.
What channels deliver the best ROI for SaaS marketing?
Content marketing and SEO typically deliver the highest long-term ROI for SaaS. Paid search works well for high-intent keywords. Product-led growth and referral programs become increasingly important at scale.
Why Use This Calculator
- Determine ideal marketing spend as a percentage of ARR
- Balance CAC and LTV for sustainable growth
- Allocate budget across channels based on growth stage
- Benchmark against SaaS industry standards
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"Simple, fast, and actually useful. I've bookmarked this for every campaign planning session."
Growth Lead, Fintech Startup