What it is worth
How much money your customer journey is leaving on the table.
When you and your team change how the customer journey works, one of the levers improves for good and the impact repeats every year. Below are six model calculations for two typical B2B companies, a calculation for new products and three stories of companies we work with.
How we calculate the impact.
Impact is the shift in a lever times the size of the company times the number of years the change holds. There are six levers on the customer journey: price, win rate, sales capacity, sales speed, customer retention and cash. We turn the impact mainly into profit, margin or cash; for customer retention we show revenue.
Model cases for two typical companies.
Both companies sell to other businesses, have a 40% gross margin, win a quarter of their deals, and half of their revenue repeats every year. It is a model calculation and the company figures are illustrative. Each case shows how it is calculated.
| Model company | 40 people | 250 people |
|---|---|---|
| Annual revenue | €2.4M | €20M |
| Average deal | €6,000 | €40,000 |
| Opportunities a year | 1,600 | 2,000 |
| Target per salesperson | €240,000 a year | €800,000 a year |
| Program price | €1,500 a month, so €18,000 a year | individual price |
| What we change with your team | 40 people | 250 people |
|---|---|---|
| 1. No more selling through discounts A manager approves any discount above 5%, salespeople sell on value and pricing comes in bundles. Calculation: the average discount drops by 3 percentage points and all of it goes to profit. | +€72,000 profit a year | +€600,000 profit a year |
| 2. Chase only deals you can win The team shares one definition of a qualified deal, drops any deal with no next step within 14 days and works only with companies in the target segment. Calculation: the win rate rises from 25 to 28%. | +€115,000 margin a year | +€960,000 margin a year |
| 3. Sales without the founder A sales playbook, onboarding for new salespeople, a head of sales who builds on the system, and the CEO only on strategic deals. Calculation: a new salesperson ramps up in 5 months instead of 9, the company hires 2. We assume a salesperson sells nothing during ramp-up. | +€64,000 margin, one-off | +€213,000 margin, one-off |
| 4. A pipeline that moves Every deal has a next step with a date or it is dropped, and once a week the team reviews the deals that are stuck. Calculation: deals close 30 days sooner. | €197,000 of revenue a month sooner | €1.6M of revenue a month sooner |
| 5. Customers who stay Every customer has an owner, renewals are discussed 90 days ahead and a new customer soon sees what the service brings them. Calculation: retention of recurring revenue rises from 80 to 85%. We count only existing customers. | +€282,000 of revenue over 3 years | +€2.3M of revenue over 3 years |
| 6. Money in on time Payment terms in the contract, an invoice right after delivery and one person responsible for collection. Calculation: payment terms shorten from 75 to 50 days. | €164,000 extra cash | €1.4M extra cash |
Cases 3, 4 and 6 are one-off: margin from a faster ramp-up, money that arrives sooner and cash that stays in the account. The others hold every year for as long as the change lasts. The impacts partly overlap, so we never add them up. For the 40-person company, even the smallest annual impact is at least four times the annual program price.
New products: don't spend on unproven ideas.
Model calculation: a company tries 2 to 3 new products a year. Every product that proves unviable only after a year of building and launch costs over €40,000 of internal time plus launch costs. Compass spots a weak idea within a few weeks, before the company puts the first serious money into it.
A three-month project in which we teach your whole team to do this costs €12,000 excl. VAT.
How Compass works →Three companies we work with.
We don't give names, industries or numbers because the companies are covered by a confidentiality agreement.