Thursday, January 16, 2014

LEUR Early Indicators



I summarized the LEUR (Land --> Expand --> Upsell --> Renew) Business model in my prior blog post, LEUR Business Model.


Since the LEUR model is complex, it is important to identify the early indicators:


LEUR MODEL
EARLY INDICATOR    à
METRIC
Land
Evals*
Win Rate
Expand
Active Users
Expand Rate
Upsell**
Premium Bundle on new sales
Attach Rate
Renew
Usage
Renewal Rate

*I would be interested in understanding the conversion rate of evals into new customers (ie land) by month -- the conversion rate after 1 month, 2 months, 3 months, ...  

**Please note that Upsell is selling a new software product/service to an existing user, while Premium bundle is selling the new software product/service to a new user.  This distinction is important, because sales is generally better at selling to new users than existing users.  But, upsells to the installed base can become a very large number, with the growth of the company's installed base.


Note:  photo is from EastCobberMagazine

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