As a CFO, you’ve probably been frustrated by the hours you spend on Excel, trying to create segmentation analysis for your GTM teams. Once you’ve finished them, you may even have been disappointed by the final result: unclear and imprecise insights that are hard to share while you spent a tremendous amount of time to obtain them.
Paul Rayers, the CFO of Eventdrive, a SaaS developing an online platform for event management, used to have the same problem. Since switching to Fincome, however, his productivity has skyrocketed and collaboration with his teams has been streamlined.
We sat down with Paul to hear more about how Fincome had completely changed the way he analyzed his company's financial success. Read on to learn more about his positive experience with Fincome.
Funded in 2016 Eventdrive, is an intuitive platform making managing virtual, hybrid, and in-person corporate events easy.
“We realized that we weren’t analyzing our business correctly. We worked on an annual license basis, and thus used to deeply analyze our business only once a year.”
Paul explained in this interview how his company focused solely on annual performance (ARR) and ignored Eventdrive monthly revenue variations (growth, churn, upsell, down-sell and reactivation).
MRR (or Monthly Recurring Revenue) is a financial indicator that measures the monthly recurring revenue generated by a company. It is calculated by multiplying the number of paying customers by the monthly amount of their subscription.
MRR provides an overview of monthly committed revenue in the current subscription base.
This allows SaaS companies to quickly detect trends and make more informed decisions. This is vital because the SaaS landscape can be dynamic and companies need to adapt their strategies more flexibly.
Also, analyzing MRR allows SaaS businesses to gain insights into churn rates and expansion revenue on a monthly basis. This gives a more detailed understanding of customer behaviors and helps to develop targeted retention and growth strategies.
This is not to say that MRR is better than ARR, but that they need to both be considered when analyzing the financial success of a company. The MRR provides real-time insights, while ARR offers a more stable and predictable long-term perspective.
It clearly gave Paul a new perspective on how to analyze his activity:
“The feature I appreciate the most is the MRR growth, which lets me analyze key indicators (KPIs) such as growth or retention rates for each client or client category.”
“Yet with Fincome, we’ve been able to analyze our revenues and KPIs on a monthly basis and better understand our growth drivers and churn reasons. Using Fincome proved to be extremely useful in identifying specific market segments in which we were overperforming and vice versa. We have then been able to fuel our GTM teams with all takeaways deriving from our analyses and now everyone in the team can access Fincome.”
Analytical segmentation lets users categorize customer data into distinct groups based on various criteria, enabling businesses to uncover hidden patterns and opportunities for targeted strategies.
Paul shared that analytical segmentation has let him immediately see how each tier or category of customers is performing. This has made it easy for him to identify his company’s weak spots for each type of client.
Fincome lets users know much more about their business than just the churn rate or annual revenue. With the insights provided by our service, you can understand which customer bases are most satisfied, for example, and tailor pricing strategies to maximize profit.
”Analytical segmentation has saved me a lot of time, because whereas I used to spend several hours just updating my Excel, now this is done automatically.”
Paul shared how he has been so much more productive since ditching Excel. Whereas it used to take him hours to create spreadsheets, now it just takes a single click.
“I’ve been able to share graphs with the rest of the company that clearly showed what worked and what didn’t.”
At Eventdrive, Paul was able to communicate business figures in a much more visual way, whether with the head of sales or CEO. As a result, they became much more aware of potential problems, allowing them to deal with them much faster.
Paul’s journey shows how Fincome can radically change a CFO’s life. Before Fincome, Paul struggled with Excel and analyzed his company’s performance only once a year.
With Fincome, Paul has:
Ultimately, Fincome revolutionized Paul’s daily workflow. The platform’s real-time, detailed analysis capabilities instiled a commitment to regular, detailed assessments, transforming the company’s approach to financial analysis from an annual ritual to a monthly practice.
If you’re eager to discover how Fincome can elevate your business, explore the testimonials from our satisfied customers.
Don’t hesitate to contact us to start streamlining strategies for tangible growth and enriching your strategic acumen!
