Traditional business models are set up on the notion that customers will make singular purchases, a subscription model brings in constant, consistent revenue.
Importantly, subscription revenue modelling is a continuous process, and forecasting subscription revenue accurately can be tricky. Whilst often a detailed plan is built out ahead of a financial period (like the start of the financial year), it is important to check on your assumptions and adjust the values to maintain an accurate picture of the future. Circumstances can change, your assumptions may have been wrong or you’ve changed the way your business works slightly; there’s all manner of things that can impact your revenue and your model. By constantly checking, updating or creating new models you can ensure your business can adapt quickly to change, make data-driven decisions and stay ahead.
Modelling with the Subscription Revenue Planning block is straightforward with Blox. The simple guided experience makes it possible for all leaders and planners to model their business and analyse different assumptions and scenarios. An intelligent summary output then helps you easily analyse each scenario, seeing how the inputs impact the outputs for all your Key Business Indicators.
You can create a your own plan in just 5 minutes by following the simple guided steps:
- Select your planning timescales
- Input some assumption values for key drivers for your Recurring Revenue. Including:
- Current customer numbers
- Subscription Prices
- Customer growth and churn assumptions
- View your plan through an interactive analysis dashboard and adjust your drivers to see the outcomes
- Save your model and share it with others!
Learn more on our Subscription Revenue Planning model page, or click here to try it yourself for free, no credit card required!