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| Revenue Formula for Software Sales |
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Percent |
Impact |
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| Variable |
Unit |
Amount |
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Increase |
of Increase |
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Methods and Costs to Impact |
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| Sales reps |
1 |
10 |
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10.00% |
$1,040,000 |
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Hiring more reps at $250K target expense |
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| Opportunities per rep |
1 |
40 |
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10.00% |
$1,040,000 |
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Marketing, qualification process, partners |
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| Close rate |
% |
20% |
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10.00% |
$1,040,000 |
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Strong sales processes, marketing, technical resources |
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| Number of licenses |
1 |
10 |
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10.00% |
$1,040,000 |
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Strong sales processes, marketing, qualification |
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| Average List Price |
$ |
$20,000 |
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10.00% |
$1,040,000 |
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Marketing, qualification |
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| Net Price (after discount) |
% |
65% |
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10.00% |
$1,040,000 |
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Discount controls, strong sales processes, marketing, qualification |
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| Total revenue |
$ |
$10,400,000 |
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| Revenue per Sales Rep |
$ |
$1,040.00 |
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