Re:Selling to enterprises
by rgrieselhuber on Saturday February 06, 2010 @07:54PM
(#1107018)
How does this apply to subscription-based models? I'm guessing that the valley of death bounds change when you're talking about monthly recurring revenue.
If most managers can approve a $5,000 purchase without much hassle, what's the magic number for monthly subscriptions? Is it $5K/12? Higher? Lower?
Also, with subscription-based sales, you often have the opportunity to sell more plans to the same organization if your product solves their problem. Is there some magic number that people have experienced here? If it's proven by one business unit, can you get enough "grass-roots" support to equal something close to $100K/12? That would be nice because it cuts down on the timeline of the initial sale and is a natural way to recruit internal champions.
If most managers can approve a $5,000 purchase without much hassle, what's the magic number for monthly subscriptions? Is it $5K/12? Higher? Lower?
Also, with subscription-based sales, you often have the opportunity to sell more plans to the same organization if your product solves their problem. Is there some magic number that people have experienced here? If it's proven by one business unit, can you get enough "grass-roots" support to equal something close to $100K/12? That would be nice because it cuts down on the timeline of the initial sale and is a natural way to recruit internal champions.