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Channelnomics' Projector provides you, the managed service provider, the means of determining your potential with the recurring-revenue model. Projector takes several factors into account when calculating the long-term total impact of recurring revenue relative to specific services or packages. This version of Projector is a generic scenario that assumes all contracts are annual and paid up-front.
In the next few pages, we’ll ask you a series of questions relative to your managed service model. We assure you that this won’t take up much of your time. When completed, we’ll send you a report detailing your results and take you to an interactive report, which allows you to see, in real time, how different variables affect the recurring-revenue model.
Let’s start with the cost of goods from the vendor. This should be the unit cost to your business for the product or service you plan to resell. If you don’t know the exact price, give an estimate.
Once you’ve determined the price you’ll pay the vendor, the next step is setting a price with sufficient margin to position your business for sustainable profitability. Again, estimates can be used if you don’t have exact pricing established.
Here we’ll look at the size of your typical customer as measured by the average number of end users. In a subscription model, each user in a client environment contributes to the total amount of recurring revenue.
Tell us about your current customer base for the subscription-based product or service you’ll be selling.
The compounding nature of recurring-revenue sales makes adding to the customer rolls a vital component of the subscription-based service model.
Adding net-new customers is only part of the battle. Retaining the customers you’ve already won is also critical to recurring-revenue success.
Assuming the vendor will increase per-seat or per-unit price by 10% annually, the partner must also increase prices in order to maintain profitability.
Please enter your contact information to receive your Projector recurring-revenue results and use the dynamic Channelnomics' Projector tool.
Use of Channelnomics’ Projector is subject to the terms and conditions of 2112 Enterprises LLC. Users are advised to use Channelnomics’ Projector at their own risk. Click here to see 2112’s terms and conditions.