Developing an ROI Model: A Key B2B Value Prop

How do you provide an ROI story for a service or software that doesn’t directly affect revenue? Convincing buyers of the value in an intangible product is an interesting challenge. Without question, ROI can be your primary value prop.

For enterprise solutions sales, you’ll speak to many stakeholders throughout the sales process, and each will have their own particular ROI interest. CIOs: staffing; COOs: efficiencies; CFOs: payback period. So among the other business values you communicate, ROI needs to be incorporated into all of your messaging.

Many ROI models work off a three-year period, but consider showing a five to seven-year cycle, which is the average expected life of a SaaS application. An extended lifecycle will work to your advantage financially, and show prospects the confidence you have in your product as a long term solution.

Another way to rise above your competition is to include everything in your model. No sugarcoating. All implementation, training, customization, data conversion, required hardware upgrades, annual increases, and whatever else applies. Take the ambiguity out of your ROI proposal to avoid grey-area traps and nickel-and-diming accusations.

Captivate your prospects. Providing full understanding of their ROI concerns will assure them that you have their best interests in mind.

JeanMarie

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