Recipe for PSaaS Success
Recipe
- Lead with Comprehensive and Differentiated PSaaS
- Sell All 7 Types of RR
- Interlock RR
- Sell Features and Benefits of P/SaaS
- Maximize P/SaaS Licenses Sale
- Leverage PSaaS greater Win Ration
- Require System Support Up Front with PSaaS
- Include Equipment Upgrade as an Option Up Front
- Develop and Sell Managed Services/Licenses
- Sell Supplies Using Supplies as a Service Methodology
- Offer Digital Credentials
- Include 3-4% Annual Increases Across All RR
- Prepare Budge Sheets Annually for all Customers
- Invoice RR for the Year in Advance in December
Results
- $0.25-$0.50/yr. per $1 Installed Equipment
- High Quality / No Contract / Annual RR
- Less than 1% Customer Attrition
- 2x Company Growth
- Margin 4 - 8x greater than One Time Revenue Margin
- Greater Margin Over Time
- 15 - 20x greater Company Valuation Company Value greater than 5x Annual Recurring Revenue