SaaS Time to First Value (TTFV) Calculator

Think of Time to First Value (TTTV) as a sprint at the very end of the race for a new user of your SaaS. If they do not like the value of your SaaS quickly, there is a high probability that they will leave and start using your product less and less.

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    Strategic Alignment Benefit

    Knowing your TTFV aids in aligning product development with user desires.

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    Impact on Customer Satisfaction

    Increased time to desired outcome lowers customer satisfaction, leading to churn.

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    Key Point 3

    Growth Driver Enhancement

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📈 Results

SaaS Time to First Value (TTFV)

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Time to First Value (TTFV) measures the time it takes for a new user to realize the initial value from your SaaS product, calculated from the moment they start onboarding to their first value achievement.

How to Calculate SaaS Time to First Value (TTFV)

To correctly gauge the SaaS Time to First Value (TTFV), follow these simplified steps:

  1. Identify the exact timestamp when the user achieved their first significant value. For example, if a user completes a project which signifies their first value, document the date and time. Example: A user completes a critical project on 15th January 2024 at 10:00 AM.
  2. Determine the timestamp of the user’s initial onboarding or start date. This is crucial for measuring the start point. Example: A user signed up on 1st January 2024 at 09:00 AM.
  3. Calculate the difference between the two timestamps to find the duration it took to reach the first value. Subtract the onboarding timestamp from the timestamp of achieving the first value. Example: 15th January 2024 at 10:00 AM minus 1st January 2024 at 09:00 AM equals 14 days and 1 hour.
  4. Convert this duration into your preferred unit of time, such as days, hours, or minutes, to clearly articulate the TTFV. Example: The TTFV in this case would be expressed as 14 days and 1 hour.

SaaS TTFV = (Timestamp of First Value Achievement) – (Timestamp of User Onboarding or Start)

Understanding SaaS Time to First Value (TTFV)

Ioana Grigorescu

January 27, 2025

What is Time to First Value (TTFV) in SaaS?

SaaS Time to First Value (TTFV) measures how long it takes from when a user first engages with the software to when they experience their first significant win. A shorter TTFV means users can quickly see the value of the product, enhancing user satisfaction and potentially leading to higher user retention. Conversely, a longer TTFV might cause user frustration and decrease the likelihood of continued use.

  • Accelerates user adoption by quickly showcasing core value, leading to higher conversion and retention rates.

  • Guides strategic decisions by optimizing onboarding and prioritizing features, thus shortening time to value.

  • Informs feature rollouts and pricing adjustments to meet user needs efficiently and cost-effectively.

Practical Examples of Saas Time to First Value (TTFV)

  • Example 1: In a CRM software scenario, a user signs up for a free trial, imports their contacts, and initiates their first email marketing campaign all within 3 days. The TTFV is therefore 3 days.
  • Example 2: For project management software, a new user registration often involves adding team members, creating a project, and assigning tasks, which typically takes about 1 week. Hence, the Time to First Value is 1 week.
  • Example 3: In the context of an analytics platform, a user adds the tracking code to their website and begins seeing data the very next day. This makes the TTFV just 1 day.
Time Period New Users Users Reaching First Value TTFV (Days) TTFV Change (Days) TTFV Change (%) Trend Analysis
Month 1 500 200 15 – – Initial onboarding, longer TTFV
Month 2 600 350 10 -5 -33% TTFV improved due to process optimization
Month 3 700 500 7 -3 -30% Consistent improvement, effective onboarding
Month 4 800 600 6 -1 -14% Continued optimization leads to minor improvement

SaaS TTFV = 10 Days – 4 Days = 6 Days

Different Ways to Calculate Time to First Value (TTFV)

  • Simple TTFV: Measures the time from signup to the point where the user first experiences a benefit. For example, when a user sends their first message in a messaging app.
  • Feature-Specific TTFV: Focuses on the time spent using a specific feature to gauge its usefulness. For instance, calculating the time it takes a user to utilize a project management feature after signup.
  • User Segment TTFV: Evaluates the time to complete tasks or achieve goals, segmented by user type. This can highlight different experiences in the onboarding process, such as comparing the time it takes a free trial user versus a paid user to complete the same tasks.
  • Milestone-Based TTFV: Tracks the time taken to reach significant milestones within the product, indicating the progression of a user’s understanding of the product’s value. An example is a user completing all steps in an onboarding checklist.

How to Improve Your SaaS Time to First Value (TTFV)

  • Optimize Your Product Page: Make sure that your product page has all the pertinent details a prospective buyer could require in order to comprehend and be drawn to your offering. Improve its aesthetic appeal to draw in and hold the interest of visitors. By enabling speedier consumer selections, product presentations that are clear, educational, and visually appealing can drastically cut down on the time to first value.
  • Employ Markups for Structured Data: To enhance the way the information about your product appears in search engine results, include structured data markups in the code of your website. Better visibility and comprehension of your product’s features at a glance may result from this. The TTFV can be accelerated by increasing your product’s visibility in search results, which can help buyers recognize its worth more quickly.

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