Recurring revenue analysis is a toolset of analysis that can be employed when a business generates revenue through subscription/contract based means.
1 Conceptual ARR guidance
2 Engagement best practices
3 Application of data analytics
4 Example analyses
Your monthly or annual recurring revenue (MRR and ARR for short) is one of the primary reason we're all in SaaS. Recurring revenue means our growth can compound and through this momentum we can ensure we're always improving and building something beautiful.
Here we walk through exactly how to calculate Lifetime Value (MRR/ARR), including what to and not to include in the calculation, as well as how to optimize this crucial SaaS metric.
This Business Case Interview Training that you can access in editable Powerpoint at www.slidebooks.com, has been created by ex-Deloitte and McKinsey Management Consultants
WebSummit 2018 - The SaaS Business Model & MetricsDavid Skok
SaaS businesses are extremely sensitive to a small number of important variables. If you are running a SaaS company, understanding how these variables drive your business model is crucial to long-term success. In this talk, David Skok, author of the now famous SaaS Metrics 2.0 blog post will talk through those key metrics and their impact on the overall SaaS business model.
The document outlines five proven strategies for sales growth based on interviews with 120 sales leaders. The strategies are: 1) Find growth opportunities before competitors through analyzing data on markets and customers. 2) Sell through multiple channels tailored to different customer needs. 3) Use sales operations and technology to optimize the sales process and support the sales team. 4) Focus on developing sales talent and culture. 5) Provide leadership to drive organizational commitment to sales growth. Implementing these strategies can help companies significantly outperform their peers in revenue and profit growth.
Strategic management PowerPoint presentation slides provide reliable solutions for a systematic approach to business management. Following PowerPoint designs, involves the formulation and implementation of the major objectives and initiatives taken by an association's top management. Well researched topics with engaging graphics have been scripted here for an evaluation of the internal and external environments in which the organization works. Topics included here are, executive summary, mission vision values, management board organization chart, targets for the next business quarter, establish a value proposition, establish a value proposition, marketing plan objective, identifying new market channels, brand promotion strategies for engagement, focus on your strength, look to your competition, product feature comparison, annual, revenue financial summary, sales and performance dashboard and financial projections. These headings are scripted for a constant planning, monitoring, analysis and assessment for an organization to meet its goals and objectives. Further funding, hr services and operation plan deciding team initiates and strategies PPT slides are also included with chart sheets, timeline review, bar, and graphs PPT design for a comprehensive approach. Our Strategic Management Powerpoint Presentation Slides will grow upon you. You will definitely get fond of them.
Looking to scale something up? Depending on how you're going after your market/ acquiring users, you may need to build a sales organization that's optimized for a top-down or bottom-up sales process (or perhaps both).
Watch the video overview at http://a16z.com/2015/03/06/go-to-market-bootcamp/ and then check out this slide deck, which shares some concrete tips and tools for accelerating time to market -- from the go-to-market experts at a16z, led by 'sales savant' Mark Cranney.
Because selling to enterprises is a lot like getting a bill passed through Congress: it can get stuck. And getting stuck -- or going down the wrong path -- can mean death to startups in a competitive market. Here's how to avoid that.
Getting into consulting is one of the most difficult tasks. It’s not only very selective but also quite tough and long recruitment process. You will have at least 5 job interviews, spend on average 2-3 months in recruiting process and your chances of succeeding will be around 5-10%. I will help you significantly boost the odds in your favor.
This course will help you prepare for the cases that you will be asked to solve during the job interviews with consultants. I will improve your knowledge and skills in analysis through a series of practical cases. It is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have participated in over 200 recruitments and the materials in this course will encompass all the tricks that you should use during the interview. On the basis of what you will find in this course and I have trained over 100 business analysts who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the course you will know:
1. How to approach any type of cases that you may come across in the job interview?
2. How to apply the most useful concepts and methods used later by consultants in their work?
3. How to be efficient during the interview?
4. How the consultant minds works?
In this presentation you will find information about importance of Key Performance Indicators (KPI's) for subscription-based (SaaS) Internet startups.
The full list of metrics mentioned in the presentation, exact formulas, and examles you can find at http://datmachine.co/saas_metrics.
If you have any questions, don't be shy to drop me a line on my email: efremov(at)datmachine.co.
Your monthly or annual recurring revenue (MRR and ARR for short) is one of the primary reason we're all in SaaS. Recurring revenue means our growth can compound and through this momentum we can ensure we're always improving and building something beautiful.
Here we walk through exactly how to calculate Lifetime Value (MRR/ARR), including what to and not to include in the calculation, as well as how to optimize this crucial SaaS metric.
This Business Case Interview Training that you can access in editable Powerpoint at www.slidebooks.com, has been created by ex-Deloitte and McKinsey Management Consultants
WebSummit 2018 - The SaaS Business Model & MetricsDavid Skok
SaaS businesses are extremely sensitive to a small number of important variables. If you are running a SaaS company, understanding how these variables drive your business model is crucial to long-term success. In this talk, David Skok, author of the now famous SaaS Metrics 2.0 blog post will talk through those key metrics and their impact on the overall SaaS business model.
The document outlines five proven strategies for sales growth based on interviews with 120 sales leaders. The strategies are: 1) Find growth opportunities before competitors through analyzing data on markets and customers. 2) Sell through multiple channels tailored to different customer needs. 3) Use sales operations and technology to optimize the sales process and support the sales team. 4) Focus on developing sales talent and culture. 5) Provide leadership to drive organizational commitment to sales growth. Implementing these strategies can help companies significantly outperform their peers in revenue and profit growth.
Strategic management PowerPoint presentation slides provide reliable solutions for a systematic approach to business management. Following PowerPoint designs, involves the formulation and implementation of the major objectives and initiatives taken by an association's top management. Well researched topics with engaging graphics have been scripted here for an evaluation of the internal and external environments in which the organization works. Topics included here are, executive summary, mission vision values, management board organization chart, targets for the next business quarter, establish a value proposition, establish a value proposition, marketing plan objective, identifying new market channels, brand promotion strategies for engagement, focus on your strength, look to your competition, product feature comparison, annual, revenue financial summary, sales and performance dashboard and financial projections. These headings are scripted for a constant planning, monitoring, analysis and assessment for an organization to meet its goals and objectives. Further funding, hr services and operation plan deciding team initiates and strategies PPT slides are also included with chart sheets, timeline review, bar, and graphs PPT design for a comprehensive approach. Our Strategic Management Powerpoint Presentation Slides will grow upon you. You will definitely get fond of them.
Looking to scale something up? Depending on how you're going after your market/ acquiring users, you may need to build a sales organization that's optimized for a top-down or bottom-up sales process (or perhaps both).
Watch the video overview at http://a16z.com/2015/03/06/go-to-market-bootcamp/ and then check out this slide deck, which shares some concrete tips and tools for accelerating time to market -- from the go-to-market experts at a16z, led by 'sales savant' Mark Cranney.
Because selling to enterprises is a lot like getting a bill passed through Congress: it can get stuck. And getting stuck -- or going down the wrong path -- can mean death to startups in a competitive market. Here's how to avoid that.
Getting into consulting is one of the most difficult tasks. It’s not only very selective but also quite tough and long recruitment process. You will have at least 5 job interviews, spend on average 2-3 months in recruiting process and your chances of succeeding will be around 5-10%. I will help you significantly boost the odds in your favor.
This course will help you prepare for the cases that you will be asked to solve during the job interviews with consultants. I will improve your knowledge and skills in analysis through a series of practical cases. It is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have participated in over 200 recruitments and the materials in this course will encompass all the tricks that you should use during the interview. On the basis of what you will find in this course and I have trained over 100 business analysts who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the course you will know:
1. How to approach any type of cases that you may come across in the job interview?
2. How to apply the most useful concepts and methods used later by consultants in their work?
3. How to be efficient during the interview?
4. How the consultant minds works?
In this presentation you will find information about importance of Key Performance Indicators (KPI's) for subscription-based (SaaS) Internet startups.
The full list of metrics mentioned in the presentation, exact formulas, and examles you can find at http://datmachine.co/saas_metrics.
If you have any questions, don't be shy to drop me a line on my email: efremov(at)datmachine.co.
SaaS/subscription businesses are much more complex than traditional businesses, and SaaS performance cannot be measured in the same way as traditional businesses are measured. Based on a talk given at the SaaStr Annual Conference in San Francisco, this slide deck offers a comprehensive and detailed look at the key metrics that are needed to understand and optimize a SaaS business, and how these can be used to drive SaaS success. This presentation includes information on:
- An intro to SaaS metrics
- Unit economics
- LTV and churn: An in-depth look
- Variable pricing axes
- Months to recover CAC
- The primary unit of growth: Sales
- Understanding public SaaS companies
Quarterly Business Review Powerpoint Presentation SlidesSlideTeam
Here is a content ready Quarterly Business Review PowerPoint presentation having 79 slides to help you with your business review PPT. To save you time and the trouble of making an important presentation from scratch, here we have come up with readymade presentation related to your topic. In this quarterly business review PPT example, we have included a quarterly highlight, financial summary, key developments, balance sheet, cash flow statement, key financial ratios, funding updates, top customers & vendors, top debtors & creditors, project updates, competitor analysis, etc. You can also use this complete business review PowerPoint sample slide with related topics 30-60-90-day plan, product roadmap, Phases of Implementation, Major Roadblocks or Obstacles, SWOT analysis, CSR, customer services benchmarking, org chart, goals and success matrix, scorecard and many more. This is the most suitable QBR PPT designs for middle and top-level management. This professionally pre-designed quarterly business review presentation graphics are available to download. Our Quarterly Business Review Presentation Slides are truly out of this world. Just click download button and be a hero among your peers. Enable folks to infer the correct facts with our Quarterly Business Review Powerpoint Presentation Slides. It helps elaborate on the circumstances. https://bit.ly/2S1I2SM
Management Consulting Toolkit - Framework, Best Practices and TemplatesAurelien Domont, MBA
This Toolkit was created by ex-McKinsey, Deloitte & BCG Consultants, after 2,000+ hours of work. It is considered the world's best & most comprehensive Management Consulting Toolkit. It includes all the Frameworks, Tools & Document Templates required to improve the Management Consulting Capability of your organization & excel as a Management Consultant. This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit at www.slidebooks.com
How to Prepare for Quarterly Business ReviewJoan Braatz
A merchant's guide to preparing for a Quarterly Business Review key supplier and senior leadership. Some organizations may call this a Joint Business Plan (JBP). This presentation explores what merchandise data reports a merchant team should review in preparation for a QBR with supplier.
Mech/ Merchandise /Revenue/Gross Profit/Margin/Dollars/Data/Ecommerce/Omnichannel/Retail
Dave Kellogg SaaStr 2021: A CEO's Guide to MarketingDave Kellogg
Slides from Dave Kellogg's presentation at SaaStr Annual 2021, entitled A CEO's Guide to Marketing, where Dave discusses the top 5 things CEOs and C-level startup executives should know about marketing. Includes a 4-slide appendix of background resources.
The document discusses strategies for multi-channel retail and digital transformation in the retail industry. It covers several areas including retail propositions, customer segmentation and offers, analytics and insights, merchandising and point-of-sale systems, and developing an integrated multi-channel retail strategy and architecture. The document emphasizes enhancing the customer experience across channels through improved customer profiling, personalization, and loyalty programs.
Startup DNA: the formula behind successful startups in Silicon Valley (update...Yevgeniy Brikman
[Updated May 5, 2017] "Successful startups are all alike; every unsuccessful startup is unsuccessful in its own way." These are my personal observations on a few traits that make startups successful. You can find a video of the talk at https://www.youtube.com/watch?v=z_D9oXCK2lM and the book at http://www.hello-startup.net/.
Bessemer Venture Partners' is proud to share The State of the Cloud for 2017.
As the definitive guide to the biggest trends in the cloud industry, this year’s “State of the Cloud Report” includes:
1. A Look Back at 2016
- 2016 was a marquee year for a number of reasons. First, we all remember the rocky start in February where the Cloud Market dropped 35%
- Subsequently, rebounded back to normal levels and ended the year up +15%
- The dip in the market had two main outcomes: First, it led to unprecedented amounts of M&A (4x more than any other year and 40% of the total cloud market cap of $300B) – and second, it led to the fewest number of cloud tech IPOs since the financial crisis.
- A combination of these factors has led to the highest quality backlog of private cloud companies in history. The top 100 private Cloud companies alone represent over $100B of private enterprise value.
2. We provide a deeper look into the three top questions every private cloud CEO should be discussing with his/her executive team
- How fast should I be growing?
- How much should I burn?
- How do I scale?
3. Bessemer’s 7 Predictions for 2017
- The year of human assisted AI
- APIs will serve as the backbone for a majority of software infrastructure
- Architect for infinite scale without infinite spend
- Mobile unlocks non-desk worker productivity
- NPS everything
- Diverse teams win
- The screenless software movement
Top 25 must read books for management consultantsAsen Gyczew
As a management consultant or a business analyst you have to read a lot to master the intricacy of business world. You should not only master typical management consulting techniques but also reach for books on lean manufacturing, financial modeling and valuation, managing people, building strategy, effective work and many many more.
In this presentation you will find my impartial selection of books that I have read and helped me a lot on my way to the top of consulting and management world.
PYTHON AND DATA SCIENCE FOR INVESTMENT PROFESSIONALSQuantUniversity
Join CFA Institute and QuantUniversity for an information session about the upcoming CFA Institute Professional Learning course: Python and Data Science for Investment professionals.
Churn is Dead, Long Live Net Dollar Retention, SaaStr Annual @ Home, SaaStr 2020Dave Kellogg
My presentation at SaaStr Annual 2020 which focuses on understanding SaaS business from a metrics viewpoint with a particular focus on the health of the installed base as measured by churn rates and net dollar retention rates
This Toolkit was created by ex-McKinsey, Havas & Deloitte Consultants specialized in Marketing, Sales & Communication Strategy. It includes all the Frameworks, Tools & Templates required to help you define and execute your Sales, Marketing, Communication and Pricing Strategy & Plan. This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit in Powerpoint and Excel at www.slidebooks.com.
How to become world class business analystAsen Gyczew
The document provides tips for becoming a world-class business analyst. It discusses simplifying complex issues using techniques like issue trees and bottom-up/top-down approaches. The document also covers mastering analytical techniques like the 80/20 rule and removing bottlenecks using concepts from lean manufacturing. Additional topics include business models, critical chain project management, and recommended reading materials.
Management consultants are brutally efficient. They not only are taught to do their work fast, but also are very good in selecting the right issues. I know it from first-hand experience as I spent my first 5 years in this hostile environment of top consulting companies. Yes, we worked sometimes 10-15 hours a day; 6-7 days a week but we managed with a small team to do in 3 months what the whole company was not able to do in years. Management consultants’ efficiency stems from 3 things: good organization, efficiency in daily activities and extremely good skills in picking the right topics. I think that those skills are crucial and I will teach how to acquire them.
In this presentation I will show you how to do the right things fast and efficiently so you can enjoy fully your work and life (depending what are your priorities ;) . The presentation is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. On the basis of what you will find in this course I have trained over 100 business analysts and consultants who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
I do not like to overcomplicate things so in every lecture I will be quite straightforward. In every lecture I described a different hack and I give examples how to use it, especially in services such as consulting. To every lecture you will find attached (in additional resources) many useful files: examples shown in the lecture, furthers suggestion, exercises etc.. If you don’t find something that you need let me know - I will try to prepare something and I will add to the presentation
In the presentation I use 6 main frameworks: 80/20 rule (Pareto Principle), lean manufacturing, theory of constraints, getting things done, critical chain method, lean startup
Moving from data to insights: How to effectively drive business decisions & g...Cloudera, Inc.
Firms have become obsessed with data. But the key to competitive advantage is not just more or bigger data or big data technology, it is finding actionable insights from all the data as well as embedding insight in processes and applications. This requires a change in your approach - modernized architecture and embedding insights and data in you business decisions It also requires a change in how your people work systematically to find, test and implement insights. In this webinar, Forrester Vice President and Principal Analyst Brian Hopkins will present results from two years of research into these ideas and recommend to attendees how they can get the most out of their data and analytics to drive effective business decisions and gain competitive advantage.
Complete Business Frameworks Toolkit - Strategy, Marketing, Operations, Consu...Flevy.com Best Practices
Download this primer now from slideshare.
Full version here:
https://flevy.com/browse/business-document/complete-consulting-frameworks-toolkit-644
This is a very comprehensive document with over 350+ slides--covering 51 common management consulting frameworks and methodologies (listed below in alphabetical order). A detailed summary is provided for each business framework. The frameworks in this deck span across Corporate Strategy, Sales, Marketing, Operations, Organization, Change Management, and Finance.
These frameworks and templates are the same used by top tier consulting firms. With this comprehensive document in your back pocket, you can find a way to address just about any problem that can arise in your organization.
The level of detail varies by framework, depending on the nature of the management model. Examples, templates, and case studies are provided.
FULL LIST OF MANAGEMENT CONSULTING FRAMEWORKS & METHODOLOGIES:
1. ABC Analysis
2. Adoption Cycle ( Consumer Adoption Curve)
3. Ansoff Market Strategies
4. Balanced Scorecard
5. BCG Growth-Share Matrix
6. Benchmarking
7. Blue Ocean Strategy
8. Break-even Analysis
9. Business Unit Profitability
10. Economics of Scale
11. Environmental Analysis
12. Experience Curve
13. Cluster Analysis
14. Company & Competitor Analysis
15. Consumer Decision Journey ( McKinsey Consumer Decision Journey)
16. Core Competence Analysis
17. Cost Structure Analysis
18. Customer Experience
19. Customer Satisfaction Analysis
20. Customer Value Proposition
21. Fiaccabrino Selection Process
22. Financial Ratios Analysis
23. Gap Analysis
24. Industry Attractiveness & Business Strength Assessment
25. Key Purchase Criteria
26. Key Success Factors (KSF)
27. Market Sizing & Share
28. McKinsey 7-S
29. Net Present Value
30. PEST Analysis
31. Porter Competition Strategies
32. Porter's Five Forces
33. Portfolio Strategies
34. Price Elasticity
35. Product Life Cycle
36. Product Substitution
37. Relative Cost Positioning
38. Rogers' Five Factors
39. Scenario Techniques
40. Scoring Models
41. Segment Attractiveness
42. Segmentation & Targeting
43. Six Thinking Hats
44. Stakeholder Analysis
45. Strengths & Weaknesses Analysis
46. Structure-Conduct-Performance (SCP)
47. SWOT Analysis
48. SWOT Strategies
49. Treacy / Wiersema Market Positioning
50. Value Chain Analysis
51. Venkat Matrix
This Corporate/Business Strategy & Strategic Planning Toolkit was created by ex-McKinsey, Deloitte and BCG Strategy Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Strategy Toolkit. It includes all the Frameworks, Best Practices and Templates required to define & implement a winning Corporate/Business Strategy and Strategic Plan for your organization.
This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit in Powerpoint and Excel at www.domontconsulting.com.
Sales Segmentation & Qualification for B2B SaaS CompaniesGuillaume Lerouge
This document provides guidance on selecting target customer segments and generating qualified leads for B2B SaaS companies. It emphasizes that most founders initially think their product can appeal to everyone, but targeting a specific segment is important. Selecting the right segment determines strategic choices. Generating leads requires inbound and outbound marketing to find potential customers experiencing problems the product solves. Qualifying leads confirms a fit between the product and customers' needs. The document offers tips on segmentation, marketing, sales approaches, and qualifying leads for the target segment.
Building the Billion dollar SaaS Unicorn for 2018Kelly Schwedland
The document provides an overview of key metrics, terms, and growth strategies for building a billion dollar SaaS unicorn company. It discusses 11 important SaaS metrics including MRR, ARR, CAC, LTV, NPS, churn, cohort analysis, and revenue per employee. It also outlines typical growth phases like the "T2D3" model of tripling revenue twice and doubling revenue three times to hit benchmarks like $2M, $6M, $18M, and $72M in ARR. Finally, the document emphasizes the importance of product-market fit and conducting customer interviews in the early "lean startup" phase.
The document outlines the key steps in an effective B2B sales process. It discusses 6 steps: 1) selecting the right prospects through segmentation and ideal customer profiles, 2) initial contact through meetings, 3) implementing the right sales strategy, 4) performing well in face-to-face meetings, 5) determining the next step, and 6) closing deals. It emphasizes the importance of clean, accurate customer data to enhance the sales process.
Sage Intacct Presentation - Moving from Order Entry to Contractsndhsshare1
Dear Colleague,
We were thankful for the opportunity to present at the 2018 Sage Intacct Advantage conference. We compared order entry to contract management systems, showing the capability of the latter to manage continuous workflow, subscription billing, and meet ASC 606 compliance requirements. Creating business value through automation, simplification, and options for enterprise-wide visibility.
Available for your consideration, and one-on-one review with our team.
Sincerely,
Seth Pomeroy, Partner, NDH
312.461.0505
seth@ndhcpa.com
Sap s4 ccm concept for sales and purchasingVenkat Mannam
The document discusses SAP S/4HANA's Condition Contract Management functionality for simplifying rebate and settlement processes. It describes how managing retroactive rebates can be challenging in ECC but is simplified in S/4HANA. Key capabilities of Condition Contract Management include centralizing rebate data, retroactively applying rebates, automatic business volume calculation, and intuitive settlement functionality. Various rebate scenarios such as sales, purchasing, commissions are supported.
SaaS/subscription businesses are much more complex than traditional businesses, and SaaS performance cannot be measured in the same way as traditional businesses are measured. Based on a talk given at the SaaStr Annual Conference in San Francisco, this slide deck offers a comprehensive and detailed look at the key metrics that are needed to understand and optimize a SaaS business, and how these can be used to drive SaaS success. This presentation includes information on:
- An intro to SaaS metrics
- Unit economics
- LTV and churn: An in-depth look
- Variable pricing axes
- Months to recover CAC
- The primary unit of growth: Sales
- Understanding public SaaS companies
Quarterly Business Review Powerpoint Presentation SlidesSlideTeam
Here is a content ready Quarterly Business Review PowerPoint presentation having 79 slides to help you with your business review PPT. To save you time and the trouble of making an important presentation from scratch, here we have come up with readymade presentation related to your topic. In this quarterly business review PPT example, we have included a quarterly highlight, financial summary, key developments, balance sheet, cash flow statement, key financial ratios, funding updates, top customers & vendors, top debtors & creditors, project updates, competitor analysis, etc. You can also use this complete business review PowerPoint sample slide with related topics 30-60-90-day plan, product roadmap, Phases of Implementation, Major Roadblocks or Obstacles, SWOT analysis, CSR, customer services benchmarking, org chart, goals and success matrix, scorecard and many more. This is the most suitable QBR PPT designs for middle and top-level management. This professionally pre-designed quarterly business review presentation graphics are available to download. Our Quarterly Business Review Presentation Slides are truly out of this world. Just click download button and be a hero among your peers. Enable folks to infer the correct facts with our Quarterly Business Review Powerpoint Presentation Slides. It helps elaborate on the circumstances. https://bit.ly/2S1I2SM
Management Consulting Toolkit - Framework, Best Practices and TemplatesAurelien Domont, MBA
This Toolkit was created by ex-McKinsey, Deloitte & BCG Consultants, after 2,000+ hours of work. It is considered the world's best & most comprehensive Management Consulting Toolkit. It includes all the Frameworks, Tools & Document Templates required to improve the Management Consulting Capability of your organization & excel as a Management Consultant. This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit at www.slidebooks.com
How to Prepare for Quarterly Business ReviewJoan Braatz
A merchant's guide to preparing for a Quarterly Business Review key supplier and senior leadership. Some organizations may call this a Joint Business Plan (JBP). This presentation explores what merchandise data reports a merchant team should review in preparation for a QBR with supplier.
Mech/ Merchandise /Revenue/Gross Profit/Margin/Dollars/Data/Ecommerce/Omnichannel/Retail
Dave Kellogg SaaStr 2021: A CEO's Guide to MarketingDave Kellogg
Slides from Dave Kellogg's presentation at SaaStr Annual 2021, entitled A CEO's Guide to Marketing, where Dave discusses the top 5 things CEOs and C-level startup executives should know about marketing. Includes a 4-slide appendix of background resources.
The document discusses strategies for multi-channel retail and digital transformation in the retail industry. It covers several areas including retail propositions, customer segmentation and offers, analytics and insights, merchandising and point-of-sale systems, and developing an integrated multi-channel retail strategy and architecture. The document emphasizes enhancing the customer experience across channels through improved customer profiling, personalization, and loyalty programs.
Startup DNA: the formula behind successful startups in Silicon Valley (update...Yevgeniy Brikman
[Updated May 5, 2017] "Successful startups are all alike; every unsuccessful startup is unsuccessful in its own way." These are my personal observations on a few traits that make startups successful. You can find a video of the talk at https://www.youtube.com/watch?v=z_D9oXCK2lM and the book at http://www.hello-startup.net/.
Bessemer Venture Partners' is proud to share The State of the Cloud for 2017.
As the definitive guide to the biggest trends in the cloud industry, this year’s “State of the Cloud Report” includes:
1. A Look Back at 2016
- 2016 was a marquee year for a number of reasons. First, we all remember the rocky start in February where the Cloud Market dropped 35%
- Subsequently, rebounded back to normal levels and ended the year up +15%
- The dip in the market had two main outcomes: First, it led to unprecedented amounts of M&A (4x more than any other year and 40% of the total cloud market cap of $300B) – and second, it led to the fewest number of cloud tech IPOs since the financial crisis.
- A combination of these factors has led to the highest quality backlog of private cloud companies in history. The top 100 private Cloud companies alone represent over $100B of private enterprise value.
2. We provide a deeper look into the three top questions every private cloud CEO should be discussing with his/her executive team
- How fast should I be growing?
- How much should I burn?
- How do I scale?
3. Bessemer’s 7 Predictions for 2017
- The year of human assisted AI
- APIs will serve as the backbone for a majority of software infrastructure
- Architect for infinite scale without infinite spend
- Mobile unlocks non-desk worker productivity
- NPS everything
- Diverse teams win
- The screenless software movement
Top 25 must read books for management consultantsAsen Gyczew
As a management consultant or a business analyst you have to read a lot to master the intricacy of business world. You should not only master typical management consulting techniques but also reach for books on lean manufacturing, financial modeling and valuation, managing people, building strategy, effective work and many many more.
In this presentation you will find my impartial selection of books that I have read and helped me a lot on my way to the top of consulting and management world.
PYTHON AND DATA SCIENCE FOR INVESTMENT PROFESSIONALSQuantUniversity
Join CFA Institute and QuantUniversity for an information session about the upcoming CFA Institute Professional Learning course: Python and Data Science for Investment professionals.
Churn is Dead, Long Live Net Dollar Retention, SaaStr Annual @ Home, SaaStr 2020Dave Kellogg
My presentation at SaaStr Annual 2020 which focuses on understanding SaaS business from a metrics viewpoint with a particular focus on the health of the installed base as measured by churn rates and net dollar retention rates
This Toolkit was created by ex-McKinsey, Havas & Deloitte Consultants specialized in Marketing, Sales & Communication Strategy. It includes all the Frameworks, Tools & Templates required to help you define and execute your Sales, Marketing, Communication and Pricing Strategy & Plan. This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit in Powerpoint and Excel at www.slidebooks.com.
How to become world class business analystAsen Gyczew
The document provides tips for becoming a world-class business analyst. It discusses simplifying complex issues using techniques like issue trees and bottom-up/top-down approaches. The document also covers mastering analytical techniques like the 80/20 rule and removing bottlenecks using concepts from lean manufacturing. Additional topics include business models, critical chain project management, and recommended reading materials.
Management consultants are brutally efficient. They not only are taught to do their work fast, but also are very good in selecting the right issues. I know it from first-hand experience as I spent my first 5 years in this hostile environment of top consulting companies. Yes, we worked sometimes 10-15 hours a day; 6-7 days a week but we managed with a small team to do in 3 months what the whole company was not able to do in years. Management consultants’ efficiency stems from 3 things: good organization, efficiency in daily activities and extremely good skills in picking the right topics. I think that those skills are crucial and I will teach how to acquire them.
In this presentation I will show you how to do the right things fast and efficiently so you can enjoy fully your work and life (depending what are your priorities ;) . The presentation is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. On the basis of what you will find in this course I have trained over 100 business analysts and consultants who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
I do not like to overcomplicate things so in every lecture I will be quite straightforward. In every lecture I described a different hack and I give examples how to use it, especially in services such as consulting. To every lecture you will find attached (in additional resources) many useful files: examples shown in the lecture, furthers suggestion, exercises etc.. If you don’t find something that you need let me know - I will try to prepare something and I will add to the presentation
In the presentation I use 6 main frameworks: 80/20 rule (Pareto Principle), lean manufacturing, theory of constraints, getting things done, critical chain method, lean startup
Moving from data to insights: How to effectively drive business decisions & g...Cloudera, Inc.
Firms have become obsessed with data. But the key to competitive advantage is not just more or bigger data or big data technology, it is finding actionable insights from all the data as well as embedding insight in processes and applications. This requires a change in your approach - modernized architecture and embedding insights and data in you business decisions It also requires a change in how your people work systematically to find, test and implement insights. In this webinar, Forrester Vice President and Principal Analyst Brian Hopkins will present results from two years of research into these ideas and recommend to attendees how they can get the most out of their data and analytics to drive effective business decisions and gain competitive advantage.
Complete Business Frameworks Toolkit - Strategy, Marketing, Operations, Consu...Flevy.com Best Practices
Download this primer now from slideshare.
Full version here:
https://flevy.com/browse/business-document/complete-consulting-frameworks-toolkit-644
This is a very comprehensive document with over 350+ slides--covering 51 common management consulting frameworks and methodologies (listed below in alphabetical order). A detailed summary is provided for each business framework. The frameworks in this deck span across Corporate Strategy, Sales, Marketing, Operations, Organization, Change Management, and Finance.
These frameworks and templates are the same used by top tier consulting firms. With this comprehensive document in your back pocket, you can find a way to address just about any problem that can arise in your organization.
The level of detail varies by framework, depending on the nature of the management model. Examples, templates, and case studies are provided.
FULL LIST OF MANAGEMENT CONSULTING FRAMEWORKS & METHODOLOGIES:
1. ABC Analysis
2. Adoption Cycle ( Consumer Adoption Curve)
3. Ansoff Market Strategies
4. Balanced Scorecard
5. BCG Growth-Share Matrix
6. Benchmarking
7. Blue Ocean Strategy
8. Break-even Analysis
9. Business Unit Profitability
10. Economics of Scale
11. Environmental Analysis
12. Experience Curve
13. Cluster Analysis
14. Company & Competitor Analysis
15. Consumer Decision Journey ( McKinsey Consumer Decision Journey)
16. Core Competence Analysis
17. Cost Structure Analysis
18. Customer Experience
19. Customer Satisfaction Analysis
20. Customer Value Proposition
21. Fiaccabrino Selection Process
22. Financial Ratios Analysis
23. Gap Analysis
24. Industry Attractiveness & Business Strength Assessment
25. Key Purchase Criteria
26. Key Success Factors (KSF)
27. Market Sizing & Share
28. McKinsey 7-S
29. Net Present Value
30. PEST Analysis
31. Porter Competition Strategies
32. Porter's Five Forces
33. Portfolio Strategies
34. Price Elasticity
35. Product Life Cycle
36. Product Substitution
37. Relative Cost Positioning
38. Rogers' Five Factors
39. Scenario Techniques
40. Scoring Models
41. Segment Attractiveness
42. Segmentation & Targeting
43. Six Thinking Hats
44. Stakeholder Analysis
45. Strengths & Weaknesses Analysis
46. Structure-Conduct-Performance (SCP)
47. SWOT Analysis
48. SWOT Strategies
49. Treacy / Wiersema Market Positioning
50. Value Chain Analysis
51. Venkat Matrix
This Corporate/Business Strategy & Strategic Planning Toolkit was created by ex-McKinsey, Deloitte and BCG Strategy Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Strategy Toolkit. It includes all the Frameworks, Best Practices and Templates required to define & implement a winning Corporate/Business Strategy and Strategic Plan for your organization.
This Slideshare Powerpoint presentation is only a small preview of our Toolkit. You can download the entire Toolkit in Powerpoint and Excel at www.domontconsulting.com.
Sales Segmentation & Qualification for B2B SaaS CompaniesGuillaume Lerouge
This document provides guidance on selecting target customer segments and generating qualified leads for B2B SaaS companies. It emphasizes that most founders initially think their product can appeal to everyone, but targeting a specific segment is important. Selecting the right segment determines strategic choices. Generating leads requires inbound and outbound marketing to find potential customers experiencing problems the product solves. Qualifying leads confirms a fit between the product and customers' needs. The document offers tips on segmentation, marketing, sales approaches, and qualifying leads for the target segment.
Building the Billion dollar SaaS Unicorn for 2018Kelly Schwedland
The document provides an overview of key metrics, terms, and growth strategies for building a billion dollar SaaS unicorn company. It discusses 11 important SaaS metrics including MRR, ARR, CAC, LTV, NPS, churn, cohort analysis, and revenue per employee. It also outlines typical growth phases like the "T2D3" model of tripling revenue twice and doubling revenue three times to hit benchmarks like $2M, $6M, $18M, and $72M in ARR. Finally, the document emphasizes the importance of product-market fit and conducting customer interviews in the early "lean startup" phase.
The document outlines the key steps in an effective B2B sales process. It discusses 6 steps: 1) selecting the right prospects through segmentation and ideal customer profiles, 2) initial contact through meetings, 3) implementing the right sales strategy, 4) performing well in face-to-face meetings, 5) determining the next step, and 6) closing deals. It emphasizes the importance of clean, accurate customer data to enhance the sales process.
Sage Intacct Presentation - Moving from Order Entry to Contractsndhsshare1
Dear Colleague,
We were thankful for the opportunity to present at the 2018 Sage Intacct Advantage conference. We compared order entry to contract management systems, showing the capability of the latter to manage continuous workflow, subscription billing, and meet ASC 606 compliance requirements. Creating business value through automation, simplification, and options for enterprise-wide visibility.
Available for your consideration, and one-on-one review with our team.
Sincerely,
Seth Pomeroy, Partner, NDH
312.461.0505
seth@ndhcpa.com
Sap s4 ccm concept for sales and purchasingVenkat Mannam
The document discusses SAP S/4HANA's Condition Contract Management functionality for simplifying rebate and settlement processes. It describes how managing retroactive rebates can be challenging in ECC but is simplified in S/4HANA. Key capabilities of Condition Contract Management include centralizing rebate data, retroactively applying rebates, automatic business volume calculation, and intuitive settlement functionality. Various rebate scenarios such as sales, purchasing, commissions are supported.
This document provides guidance for completing a detailed questionnaire for a customer service benchmark study. It outlines the scope and functional areas covered in the study, including contact center, billing, payment processing, field service, and more. It provides definitions for important terms and explains what costs should be included and excluded. The guidelines help ensure responses are accurate, comparable, and understood in the context of the underlying process models.
Low-interest rates mean that P&C leadership teams are facing increasing pressure to generate heftier margins from their underwriting operations. More at http://gt-us.co/1japuAu
These slides are an extract from a workshop on Saas Analytics I gave in collaboration with the Dutch National Association for Private Equity and Venture Capital. In there, I explain how to create a frame of analysis for Saas Businesses starting from understanding the customer dynamics and then identifying the right metrics for the case.
This document defines accounting information systems and discusses their importance for future accountants. It also covers the conceptual framework for financial reporting, the basic elements and assumptions of financial statements, and the qualities of effective information. Finally, it outlines what will be covered in the remainder of the course, including AIS technology, recording and sharing information, systems development, and applications of information systems.
Rethink Your Software Licensing Monetization StrategyFlexera
This whitepaper discusses how software companies can introduce subscription licensing models to generate recurring revenue streams. Some key points:
- Perpetual licenses are still dominant but subscription models are growing as cloud/SaaS grows. Subscription licenses provide recurring revenue over time rather than an upfront lump sum.
- Subscription models offer benefits like predictable recurring revenue, flexibility to meet different customer needs, and lower upfront costs that can open new markets. However, they require changes to business processes like pricing, product numbering, renewals, and revenue recognition.
- When implementing a subscription model, companies should add it without replacing perpetual licenses. They also need to align compensation, pricing structures, and operations to support the subscription business
1) A customer profitability analysis evaluates the costs and revenues assigned to segments of a company's customer base. It focuses on determining which customers are profitable versus unprofitable.
2) The general approach involves segmenting customers, calculating the revenue and costs attributable to each segment using activity-based costing, and then analyzing the profitable versus unprofitable segments.
3) A case study showed an insurance company used customer profitability analysis to identify that recently retired customers were unprofitable for a certain policy, so it adjusted agent commissions to discourage selling to that segment.
Cost Analysis ModelsUnit 3 Written AssignmentBUS .docxbobbywlane695641
The document provides an analysis of costs for a catering and events business. It finds the business has a break-even point of 3,158 events based on revenue of $4,500 per event and variable costs of $2,600 per event. It also calculates the business would need 5,789 events to increase profits from $3.5 million to $5 million. The analysis is limited as it makes estimates and assumptions about demand that may not reflect reality. Key data like taxes and certain fixed costs are also missing.
Nine business models and the metrics you should track-convertedOneDayIncubation
Tracking metrics is important for understanding your business performance, identifying areas for improvement, benchmarking against competitors, and fundraising. The document defines metrics for nine common business models: enterprise software, SaaS, usage-based, subscription, transactional, marketplace, e-commerce, advertising, and hardware. It provides the definition and purpose of key metrics for each model and common mistakes to avoid, such as using bookings and revenue interchangeably or including non-recurring revenue in monthly recurring revenue calculations.
Administrative Cost Savings through Invoice VerificationsRutger Gassner
Administrative costs associated with invoice processing can be reduced through strategic verification of invoice data. A tiered approach to invoice verification includes checking for invoice compliance, filtering duplicate bills, and verifying product prices. Ensuring accurate and complete invoices are validated against purchase orders and price thresholds can significantly decrease costs from disputes and repetition in the payment process.
Administrative Cost Savings through Invoice Verificationsrlshepard
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
Administrative Cost Savings through Invoice Verificationsjwchitwood
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
Administrative Cost Savings through Invoice Verificationsdarissa1
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
: By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
Administrative Cost Savings through Invoice VerificationsPatricia Waguespack
Administrative costs associated with invoice processing can be reduced through strategic verification of invoice data. A tiered approach includes checking invoices for compliance with policies, filtering duplicate bills, and verifying product prices match contractual agreements or are within typical cost ranges. Automating these verification processes can significantly decrease manual work and costs associated with exception management and invoice disputes.
Administrative Cost Savings through Invoice VerificationsLinda Anderson
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
Administrative Cost Savings through Invoice Verificationsjtprater
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
Administrative Cost Savings Through Invoice VerificationsDave Schongar
There are significant costs associated with processing paper invoices, with companies spending between $3-15 per invoice on average. Strategic invoice verification processes can help reduce these administrative costs. A tiered approach to invoice verification includes checking for invoice compliance, filtering duplicate bills, and verifying product prices match contractual agreements or are within expected tolerances. Automating these verification steps can dramatically decrease the costs from manual exception handling and disputes, capturing meaningful cost savings.
Administrative Cost Savings through Invoice VerificationsElizabeth Benditt
By incorporating strategic invoice verifications into the accounting process, an organization can significantly reduce the cost to process transactions and eliminate man-hours dedicated to invoice dispute and resolution. This paper discusses various types of automated invoice verification process, their purpose and the advantages stemming from a strategically implemented electronic payment program.
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
In a tight labour market, job-seekers gain bargaining power and leverage it into greater job quality—at least, that’s the conventional wisdom.
Michael, LMIC Economist, presented findings that reveal a weakened relationship between labour market tightness and job quality indicators following the pandemic. Labour market tightness coincided with growth in real wages for only a portion of workers: those in low-wage jobs requiring little education. Several factors—including labour market composition, worker and employer behaviour, and labour market practices—have contributed to the absence of worker benefits. These will be investigated further in future work.
Abhay Bhutada, the Managing Director of Poonawalla Fincorp Limited, is an accomplished leader with over 15 years of experience in commercial and retail lending. A Qualified Chartered Accountant, he has been pivotal in leveraging technology to enhance financial services. Starting his career at Bank of India, he later founded TAB Capital Limited and co-founded Poonawalla Finance Private Limited, emphasizing digital lending. Under his leadership, Poonawalla Fincorp achieved a 'AAA' credit rating, integrating acquisitions and emphasizing corporate governance. Actively involved in industry forums and CSR initiatives, Abhay has been recognized with awards like "Young Entrepreneur of India 2017" and "40 under 40 Most Influential Leader for 2020-21." Personally, he values mindfulness, enjoys gardening, yoga, and sees every day as an opportunity for growth and improvement.
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting, 8th Canadian Edition by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Ebook Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Pdf Solution Manual For Financial Accounting 8th Canadian Edition Pdf Download Stuvia Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Financial Accounting 8th Canadian Edition Ebook Download Stuvia Financial Accounting 8th Canadian Edition Pdf Financial Accounting 8th Canadian Edition Pdf Download Stuvia
Economic Risk Factor Update: June 2024 [SlideShare]Commonwealth
May’s reports showed signs of continued economic growth, said Sam Millette, director, fixed income, in his latest Economic Risk Factor Update.
For more market updates, subscribe to The Independent Market Observer at https://blog.commonwealth.com/independent-market-observer.
BONKMILLON Unleashes Its Bonkers Potential on Solana.pdfcoingabbar
Introducing BONKMILLON - The Most Bonkers Meme Coin Yet
Let's be real for a second – the world of meme coins can feel like a bit of a circus at times. Every other day, there's a new token promising to take you "to the moon" or offering some groundbreaking utility that'll change the game forever. But how many of them actually deliver on that hype?
Understanding how timely GST payments influence a lender's decision to approve loans, this topic explores the correlation between GST compliance and creditworthiness. It highlights how consistent GST payments can enhance a business's financial credibility, potentially leading to higher chances of loan approval.
1. Recurring revenue analysis
Guidance deck for software companies
André Hohmann | Josh Kingston | Korbinian Müller | Jonas Reiner | David Kanis
2. Page 2
The significance of recurring revenue analysis
Recurring revenue analysis is a toolset of analysis that can be
employed when a business generates revenue through
subscription/contract based means.
► Industries that lend themselves to this include software, online
services, utilities, and any consumer services that result in
memberships or subscriptions (gyms, clubs). There is a continued
shift in the software industry to move away from one-time license
sales to more recurring models of revenue making this analysis of
particular importance.
► Having revenues earned through a recurring manner opens up a
library of analysis to tightly describe the quality of recurring
revenue and the key business drivers including:
► Churn analysis
► Revenue bridging (Upsell, downsell, cross-sell, new/lost
products and customers)
► Cohort analysis
► Customer lifetime value
► Contractual revenue run-out analysis
► Understanding the particularities of these analysis is critical for
building/challenging an equity story for a business with recurring
revenue.
ARR retention bridge
3. Page 3 EY TAS for Evonik
1 Conceptual ARR guidance
2 Engagement best practices
3 Application of data analytics
4 Example analyses
4. Page 4
Revenue analysis: all combinations you can think of
are both possible and relevant…
Bookings / billings: TCV
& ACV
Recognized revenue
(what GAAP?)
Cash inflows
Monetary units
# of contracts
# of customers
# other project specific
SKU
SKU
Perpetual license
Term license
SaaS
Revenue stream
Maintenance
Consulting / Service
Show it how?Analyze what?
Analyze by?
Price increase /
decrease
Upsell / downsell
Cross-sell
Main views on drivers
Bridge it by?
Volume changes
New client / contract
additions
[Project specific]
Regions / countries
[Project specific]
Products / product groups
[Project specific]
Customers / customer
groups
[Project specific]
Anything else…
Direct
Distribution channels
Reseller
[e.g. Cloud, anything
else]
A) By fiscal year
Recognized in period
ARR : Contracted / recurring
amounts at cut-off date
Two perspectives:
B) Year-on-year change
C) Customer cohorts
Churn / renewal (rates)
5. Page 5
Subscription revenue analysis
Covered timeframe: Last twelve months versus other periods
ARR / MRR
in €/USD
(optional: #
of SKU, e.g.
contracts,
customers)
BOP
► Annual / monthly
recurring revenue
at beginning of
period
► Usually value of
inventory snapshot
at a certain point of
time (e.g.31
December 2017),
can also be
recognized
► Contracted
(“CARR / CMRR)
versus implicit
1
Upsell /
Downsell
in €/USD
► Incremental
ARR / MRR
from
increasing
utilization /
volumes with
existing
products at
constant BOP
price levels
► Data may not
be retrievable
in all
transactions
in order to
isolate this
impact from
price
variations and
cross-selling
Price
Increase /
Decrease
in €/ USD
► Incremental
ARR / MRR
from variation
of prices at
existing
products at
constant BOP
volume levels
► Data may not
be retrievable
in all
transactions
in order to
isolate this
impact from
upsell / down
sell and
cross-selling
Cross-
selling in
€/ USD
► Incremental
ARR / MRR
from adding
existing
products to
existing
customers at
constant BOP
prices
► Data may not
be retrievable
in all
transactions
in order to
isolate this
impact from
upsell / down
sell and price
variations
Churn in
€/ USD
or #
► Incremental
ARR / MRR
customers
terminating
their contracts
► Churn rates in
relation to
BOP figures
or LTM
averages may
also be
assessed
► Definitions of
churn need to
be
understood,
challenged
and presented
Addit-
ions in
€/ USD
or #
► Incremental
ARR / MRR
customers
terminating
their contracts
► Churn rates in
relation to
BOP figures
or LTM
averages may
also be
assessed
► Definitions of
churn need to
be
understood,
challenged
and presented
ARR / MRR
in €/USD
(optional: #
of SKU, e.g.
contracts,
customers)
EOP
► Annual / monthly
recurring revenue
at end beginning of
period
► It may be
necessary to put in
a mix effect as well
depending on
underlying sources
of data
72 3 4 5 6
Net retained revenue (NRR)
6. Page 6
Identifying recurring revenue streams
29 October 2020
Typical view on recurring revenue components
► License revenue is typically non-recurring in its nature.
► Term licenses may be a special case if they are subject to clauses foreseeing a renewal in
case not terminated.
► SaaS (or other subscription revenue) and Maintenance is typically formed in self-renewing
(unless terminated) contracts formed for an at least annual duration. Of course exceptions
may apply and need to be challenged / raised in expert calls / Q&A with the Target.
► Consulting and other revenue streams may also comprise certain recurring elements,
e.g. fixed hour contingents or extended maintenance fees.
► Even if such recurring components of service or consulting projects exist, you should
raise this with the client as any man-hour based revenue is usually deemed less
valuable than SaaS or maintenance. You should decide whether to include any such
recurring other services together with the client and keep proper track of any such
disclosure decisions.
► Especially for smaller targets, the revenue streams may not be properly maintained in
the base data. Our clients usually emphasize that any hour-based business or any other
components of service business should not be disclosed as SaaS or maintenance. You
should try to review the contents of the disclosed revenue streams for validity based on
invoice descriptions and expert interviews and adjust whenever possible / feasible.
Dimensions of recurrence
► Recurring revenue is usually defined based on an underlying contractual arrangement.
However, in some cases, e.g. when assessing current trading or a business plan, you may
need to decide on the quality of recurrence.
► Some SaaS contracts have a baseline revenue and a variable component dependent on
license points or other volume-indicators. For example, a contract might comprise a base
fee, a variable price per license point and a committed minimum volume growth per year.
► Projected ARR not underpinned by existing contracts represents managements sales
ambitions.
Perpetual license
Term license
SaaS
Revenue stream
Maintenance
Consulting / Service
Other revenue streams
Recurring
revenue
streams
May comprise
recurring
elements
Quality of recurrence
Contractual
Non-contractual /
management ambition
Baseline
Volume upside
Committed upside
7. Page 7
Decision tree for establishing ARR based on
available data
29 October 2020
Minimum data requirements
► Proper calendarization of the data (exact date)
► Granularity of the dataset on customer level in order to be
able to assess churn
► Revenue stream should to be traceable to judge on
recurrence of revenue (if not, billing cycles may be used as
proxy but may be misleading)
ARR available?
TCV / ACV
Billings / payment
data
Contract duration
Billing cycle data
Option 1: use TCV / ACV data
Option 3: use recognized revenue data
Cool, you’re fine ;-)
yesno
Option 2: use billings / payment data
Revenue recognized
Accrual basis
corections
What to do when ARR is not reported by the Target?
Especially for smaller Targets (e.g. owner-led firms), regular KPI reporting is often limited in
scope and depths so ARR won’t be reported at all or not in the granularity necessary to fulfil
our scope of work. There are several ways of working around this issue. Below is a brief
summary of how to deal with these issues sorted by preference and practicality:
Option 1: use TCV / ACV data
► By dividing TCV with contract length and spreading it over the respective timeframe of the
contract equally, ARR can be computed and assigned to the respective periods.
► ACV could also be used if maintained by the company. Be mindful of any impacts of price
escalator clauses or variable contract components.
Option 2: use billings / payment data
► Raw billing data can also be used to calculated recurring revenue in case the underlying
contract terms can be matched to the billing data
► In order for this method to be even more precise ,it is best to differentiate between delivery
date and invoice data. Usually the delivery date should be the first point in time for which
recurring revenue is recognized and should overrule the invoiced date or even less
relevant, the payment date.
Option 3: use recognized revenue data
► In theory, if revenue is properly accrued on a monthly basis, multiplying the respective
monthly revenue * 12 would yield the correct ARR balance (assuming all revenue is
accrued at 1st of the month).
► In practice, this approach has many pitfalls: Sometimes discounts and rebates are not
properly accrued on monthly basis and need to be corrected for such analysis. Also, any
true-ups (e.g. from license audits) or any other items not accrued proportionally will impact
the results.
► It is therefore crucial when using this method to ascertain revenue recognition policies for
all relevant ARR streams / products and correct for any identifiable biases arising from it.
8. Page 8
Variants of unit economics
29 October 2020
Typical unit economics encountered in software transactions
Unit economics for software deals typically focus on contracts and customers, but other units
may also be of relevance::
► Contracts: Base case for unit economics when TCV / ACV reporting is established.
Calculation of ARPU would usually yield meaningful results. Unit churn would also yield
meaningful results, however it should be noted that churn is more commonly defined on
total customer level.
► Customers: Unique customers are commonly used as basis for unit economics.
Customer groups and / or families may frequently be a variant encountered in various
engagements. ARPU and churn rate computation yields meaningful results.
► License counts: Some companies won’t be willing or able to report on licenses sold, but
in case so, they would provide for meaningful units for computing churn rates and ARPU.
► License points: In some instances, a contract might imply a firm-wide license at flexible
pricing per license points. One example of license points would be end user access points
for a service provider where the service provider purchased the license. Usually, such
license points might not be willingly shared or readily available in a DD-context.
► End users: May be relevant for certain commercial assessments but typically won’t be
inducing variable payments in the sense of license points above. One example of end
users might be a service tool software part of a service bundle resold by a company to
enterprise clients that also give access to the software to various users per instance. May
be important to evaluate the commercial outreach of a software but usually cannot be
reliably reported in a DD-context.
► Invoices: Will be available when using billing data as source data for ARR analysis but
typically won’t produce meaningful result when transposing to ARPU or unit churn.
► Orders: Will usually be available when TCV data is available. Can provide meaningful
hints on selling cycles and seasonality. Average order value can be meaningful for
analysis, order churn rates typically would not be conclusive for analysis.
# of contracts
# of customers
# other project specific
SKU
SKU
# of Licenses
# of Invoices
# of End users
# of License points
Meaningfulness of unit economics (ARPU)
► Not all unit data will be suitable for drawing conclusions from
the figure itself (e.g. Average revenue by invoice may be
biased when comparing monthly billing clients with annual
billing clients).
► Sometimes, such shortcomings can be neglected when
computing price / volume mix effects in case the base units
and their cyclicity do not change
A) Enables
computation
and analysis
of Average
revenue per
Unit (ARPU)
B) Enables
computation
and analysis
of unit churn
# of orders
9. Page 9
Churn rates
29 October 2020
Churn rates – computation and interpretation
Churn rates are typically discussed either on unit / logo basis or € basis
Standard ways of computing churn rates:
1. Basic variant: Churn (either in € or #) divided by (either € or #) at BOP
2. Alternative variant: Churn / (Ø(BOP + EOP))
Defining the level of churn:
► Usually, the identification of churn will need to be based on a specific level, e.g. contract versus
customer versus a group of customers. Generally speaking, churn rates and churn will be much
higher when assessed on individual contract level versus customer level. In case a customer has
multiple contracts, contract churn would be reflected in downsell or volume change instead of churn
in this logic. Churn and churn rates would thus c.p. always get lower the more aggregated the basis
of defining churn is.
► It is pretty common to evaluate churn either on a customer or customer group level.
► When establishing customer groups, checking for renaming of companies, mergers and name
duplicate is essential to validate that all customers are properly mapped to a group
Monthly versus annual churn rates
► Churn rates can theoretically be compiled for any timeframe.
► We noted two / three dominant forms of translating between annual and monthly churn rates. Note
that result may vary greatly depending on the seasonality of churn and new business.
► Variant A (annual churn): Annual churn / BOP (January), alternatively / by avg. BOP
► Variant B (average monthly churn): Sum of monthly churn / Sum of BOP per month
Assessing churn when no contract termination is recorded
Typically, when termination dates are not readily available, churn could be estimated based on the
recurrence of revenue. Any customer disappearing for more than one billing cycle would typically be
marked as churn. However, a return of the customer (“Boomeraing”) should be checked and override
any such churn flagging.
of contracts
of customers
# other project
specific SKU
Churn
customer groups
End users
License points
#
ARPU
€ / $
Churning units Churn value
Variations in compiling churn rates
► Keep in mind that there is no uniform way of
computing churn rates and so especially on the
sell-side we should understand how any churn
rate is computed and be able to duplicate this
► Also on the buy-side the client mi
10. Page 10
Cohort analysis
29 October 2020
Cohort analysis
Benefits
► Analyzing customer developments by time-based cohorts allows for a more
detailed view on the customer lifecycle and the development of customer
lifetime value
► Especially in subscription based business, the analysis of customer cohorts
has become common practice
► Also, this allows to analyze trends in sales endeavors and success of new
product launches
► Upselling and churn rates can also be analyzed on a more granular level
Restrictions
► Cohorts need to contain a minimum number of unit to become meaningful for
analysis.
► Meaningful analysis is usually only possible after a certain minimum age of
the cohort
► Ageing cohorts may be subject to certain biases in case only inactive
customers remain (which may be a finding in itself).
► With cohorts, it is usually better to have the longest history of data available in
order to be able to form more meaningful cohorts
Typical cohort criteria
► Calendarization: this is the typical form. Depending on
0.0
5.0
10.0
15.0
20.0
25.0
30.0
Initial
Subs.Y1
Subs.Y2
Subs.Y3
Subs.Y4
Subs.Y5
Initial
Subs.Y1
Subs.Y2
Subs.Y3
Subs.Y4
Initial
Subs.Y1
Subs.Y2
Subs.Y3
Initial
Subs.Y1
Subs.Y2
Initial
Subs.Y1
Initial
FY11 FY12 FY13 FY14 FY15 FY16
€m
License Maintenance & Subscription Service & Other
7.7
9.8
10.9
12.5
13.3
14.0
1.6
3.2
5.1
6.9
8.8
10.3
1.6
2.8 3.2 3.5 3.9 4.1
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
Initial Subs. Y1 Subs. Y2 Subs. Y3 Subs. Y4 Subs. Y5
€m
License accumulated Maintenance & Subscription accumulated Service & Other accumulated
11. Page 11
Customer lifetime value
29 October 2020
Customer lifetime value
Benefits
► Customer lifetime value (CLTV) and its comparison to customer acquisition
costs (CAC) is a key metric for recurring revenue business that is used by
buyers and financers to appraise the health of the business.
Restrictions and considerations
► Customer lifetime (CLT) is typically estimated by taking the reciprocal of the
average churn rate. E.g. average annual churn rate of 33% results in a
customer lifetime of 3 years (1/33%). Cohorts must be compared over similar
terms to arrive at their average churn rate, particularly when churn rates
decrease rapidly year on year.
► Customer Value (CV) should be provided from the lowest subdivision of
commercially meaningful customer available. E.g. one estimated monthly
value for all customers on average wouldn’t be very helpful. Having a value
for each cohort and contract length would allow for the identification of
particular trends.
► Customer acquisition costs (CAC) are costs directly attributable to acquiring
new customers, this is usually al costs associated with marketing to
customers, paying rebates to brokers and other incentives to third parties in
the customer pipeline.
CLTV of Jan-Cohorts over time
Jan16 Jan17 Jan18 Jan19
3 month 22 20 20 19
6 month 26 25 24 22
12 month 34 32 30 31
weighted avg. Lifetime
(months)
25 25 26 25
3 month 9.5 9.4 11.1 10.9
6 month 7.8 7.7 8.4 8.0
12 month 5.3 5.3 5.8 5.2
weighted avg. monthly
value (€)
7.6 6.6 7.1 6.8
3 month 209 184 222 203
6 month 205 190 200 172
12 month 178 168 177 162
CLTV (€) 191 168 186 170
CAC (€)¹ 61 43 35 28
CAC multiple 3x 4x 5x 6x
Customer
Lifetime (CLT)
Customer Value
(CV)
Customer
Lifetime Value
(CLTV)
Customer
Acquisition Cost
(CAC)
CAC Multiple
12. Page 12
Contractual revenue runout
29 October 2020
Revenue run-out by subscription duration with renewals
Ref: Gymondo BI System Download, Financial Model, EY Analysis
Currency: € 000 1 month 3 months 6 months 12 months Total
Jul-20 9 619 287 1,118 2,031
Aug-20 8 524 267 1,098 1,897
Sep-20 7 475 255 1,081 1,819
Oct-20 7 422 235 1,064 1,727
Nov-20 6 391 215 1,040 1,652
Dec20 6 367 202 1,025 1,601
FY20 43 2,798 1,461 6,425 10,727
10,726
21,453
23,179
2,840
1,726
7,887
FY20BYTDJun Contracted
Revenue with
renewals
Total Remainder
10,727
FY20 budget bridge after contracted revenue and renewals
Contracted revenue runout
Benefits
► As a result of the reliability of earnings for businesses with recurring revenue,
budget analysis can be much more measured and precise. In the example
left, it was shown on a live engagement that as of June 30 2020, 93% of the
year’s full budget could already be considered earned using contractual
revenue run out analysis.
Restrictions and considerations
► Detailed contractual revenue run-out analysis requires specific knowledge of
each live contract and its remaining term. These remaining revenue days for
each contract can then be turned into revenue to be realized via their
contracted average revenue per day. (This is the amount presented in gold in
the bridge).
► In addition to simple contracted revenue, the analysis can be extended to
allow for renewals of those contracts based on historical retention rates.
► After a subscription expires, the next month’s revenue associated with that
subscription is equal to the prior month’s revenue scaled by the probability
that the user renewed based on historical renewal rates.
13. Page 13
Typical dimensions (excluding revenue stream) –
Region, customer, customer group, brand, channel
29 October 2020
Typical dimensions used in analysis (“the stuff to build slicers and filters from”)
As a general rule, never delete dimensions from a dataset if not technically necessary. Typically, if data was disclosed,
client might request an analysis and it is always easier to omit than to append.
1. Geography
► City
► Country
► Region (combination of countries, may vary from client to client, make sure to disclose definitions)
► When presenting a split by geography, it should be understood how this dimension is determined. Typical variants
include:
► Invoice address (which may not be reflective of actual geography of the end user)
► Selling legal entities' address (which even more so may not be reflective of actual geography of the end user)
► Other data sources to be explired on case-by-case basis
2. Sales channels / agents
► Sales channels are typically split into direct sales and indirect channels such as resellers or OEM’s who embed a
target’s products.
► An analysis by sales agent will be highly insightful if feasible to asses key sales team members to keep / incentivize.
3. Products / product groups / brands
► Products / product groups and brands can usually be established in a mapping table.
► Multiple n to n relations might occur which without a mapped flat file would limit the flexibility of any analysis
3. Customers / customer groups / size / cohorts (see previous slides)
4. Invoicing currency
► Billing data and contract data typically includes information on currency. This is highly valuable for analyzing the FX
exposure and impact of FX fluctuations on sales / EBITDA and to perform constant currency analysis
5. Other dimensions may be established on a case-by case basis
Geography
Sales channels
Customer / customer
groups / size
Typical dimensions
Sales agents
Billing cycles
Brands
Products / product
groups
Departments
Cohort
Invoicing currency
Deal size
Other dimensions
14. Page 14 EY TAS for Evonik
1 Conceptual ARR guidance
2 Engagement best practices
3 Application of data analytics
4 Example analyses
15. Page 15
Standard software DD request list
29 October 2020
Notes to standard request list
► The below attached IRL contains all typical FDD items as well as a sales cube download request which should suffice to prepare a market standard ARR
analysis
► It is however best practice to have a call early-on with the target in order to evaluate “the art of the possible” for each item and explain aim of analysis and
reflect on potential workarounds based on actual data availability.
16. Page 16
Request lists for ARR analysis
29 October 2020
Customer ID Product ID Volume (if relevant) Contract ID Contract Start Date Contract Term
(Months)
Contract Value
Customer 1234 Product 9876 3 Contract 9999 20/12/2019 24 1000
Core table - Option 1 (preferable)
All contracts, per customer, per product/service, showing contract start date, contract length and total contract value.
Core table - Option 2 (if total contract value is not available)
Detailed transaction level data by customer, product/service. Data should be transactions dated to the day. We will use this data to arrive back at a table
that looks like the preferred table in option 1, so any contract information available to help minimize assumptions is desirable. E.g. the same customer,
paying the same amount, for the same product every 3 months will usually be assumed to be on recurring 3 month contracts for that product.
Customer ID Product ID Volume (if relevant) Transaction date Transaction Amount
Customer 1234 Product 9876 3 20/12/2019 1000
Supplementary tables (required in all cases)
a. Customer IDs with customer acquisition dates (we would expect these dates to exceed the scope of the transaction and the transaction
data provided for many customers)
b. Roll-ups of customers into any business relevant cohorts, e.g. industry, region, channel, size (SME, individual etc).
c. Roll-ups of products/services into business specific product/service groups
Optional extras:
If teams consider constant currency to be important then the core tables should include the transaction currency
If teams consider the legal entity selling the product significant to the analysis then this field should be added to the core table request.
17. Page 17 EY TAS for Evonik
1 Conceptual ARR guidance
2 Engagement best practices
3 Application of data analytics
4 Example analyses
18. Page 18
Workflows improve standardization,
automatization and harmonization
29 October 2020
Analytics tools based on workflows such as Alteryx,
Power Query or Python support standardization and
automatization of recurring revenue analyses.
Speeding up the analysis, the data process workflows
ensure a consistent deliverable across projects by
pre-configuration and conformity to consistent
definitions.
Sales-cube data received from the client for the
purpose of financial due diligence are often in a
similar shape and structure with data extracts only
needing little adjustments or amendments before they
can be fed into the workflow. So standardization
actually works!
Workflows are useful for data cleansing, manipulation
and preparation. The resulting flat files are the basis
for customized or pre-designed MS PowerBI reports
with several pages of analysis.
19. Page 19
Dynamic dashboards slice analyses flexibly and
allow further granularity
29 October 2020
A breakout of the ARR
categories in a matrix
format.
Evaluates New in
relation to Lost, on an
ARR $ and logo basis.
Evaluates total
ARR $ per active
customer.
Evaluates New
ARR $ per New
customer.
Evaluates Lost
ARR $ per Lost
customer.
Displays $ and
logo churn over
time. When a
selection is made
(e.g., Cohort),
the “Total”
ignores filters to
show the rates
for your selection
in relation to the
Company totals.
Displays ARR $
and NRR% over
time. When a
selection is made
(e.g., Cohort),
the “Total”
ignores filters to
show the rates
for your selection
in relation to the
Company totals.
Values in the below
visuals should be filtered
to the last date in the
dataset. The NRR%
gauge shows the Dec18
NRR% relative to the
Min and Max for the
Historical Period.
Rapid preparation of recurring revenue analysis topics including churn and revenue bridging can be achieved in a standardized way with data models and dynamic
dashboards such as PowerBI or Excel Power Query. Slicers allow to quickly focus the analysis on a special topic of interest and view the data from a particular viewpoint.
20. Page 20 EY TAS for Evonik
1 Conceptual ARR guidance
2 Engagement best practices
3 Application of data analytics
4 Example analyses
23. Page 23
Report visualization of ARR bridge
29 October 2020
Client A (€736k)
Client B (€591k)
Client C (€371k)
Other Top20 (€359k)
Remaining Upsell (€832k)
Client A (€900k)
Client B (€530k)
Client C (€459k)
Other Top20 (€383k)
Remaining Upsell (€1,252k)
Client A (€534k)
Client B (€389k)
Client C (€258k)
Other Top20 (€437k)
Remaining Upsell (€1,357k)
Client A (€1,055k)
Client B (€297k)
Client C (€224k)
Client D (€196k)
Client E (€181k)
Client F (€115k)
Other Top20 (€318k)
Remaining Upsell (€928k)
Upsell Downsell New Logo