Won + open subscription revenue deals feeding into revenue forecasting
Our company has the ambition to build a recurring revenue base. The first subscription-based agreement was signed in August and there is a pipeline of open deals, all with monthly revenue. Deals are typically generated in USD and EUR, whilst our local and reporting currency is NOK. We have therefore looked into the recurring revenue reporting tool, seeking to integrate won + open recurring revenue deals (risked) into a revenue forecast.
I see some challenges and would like to share these;
- Recurring revenue seem to be reported in the local currency, disregarding the actual deal currency (1 EUR reported as 1 NOK).
- The revenue forecast uses deal value, not the recurring revenue, and there is no connect between the two, such as using the “total revenue earned” automatically generated on a subscription.
- There seems to be no “probability adjustment” option for open recurring revenue deals.
- Won deals are re-calculated based on updated exchange rates, such that there will be offsets between reported revenue in financial accounts and won deals that are in other currencies than the currency used in the financial accounts. We are implementing a custom field (value entered when an invoiced is issued) and would like to use this value in the “accumulated revenue forecast”.
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Hi @Anders Berger , thank you so much for your feedback! We appreciate your input and you being so clear with your use cases.
We are still developing Recurring Revenue and the reporting done with Insights. Ultimately, our goal is to make them both so flexible that they cover all the scenarios you mentioned, or at least the great majority of use cases. They're on our backlog of ideas, and the hardest job is to prioritise all ideas and suggestions from all our customers.
That being said, I've made sure to relay your suggestions internally and use them to give our teams thinking points to be considered in the future.
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The Subscription Revenue report is exactly what we are looking for. However, we need it to only show Subscription Revenue from Won Deals (we are a membership organisation so would like to use this report to forecast our income based on our membership subscriptions). Incorporating Open Deals is perhaps useful but we could really use 3 reports: one for Won deals; one for Open deals and the existing combination. Is there any way we can create the Won Deals report ourselves?
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One other thing to consider: we cannot export our subscription information out into excel, the fields are not available to select - any advice?
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Sandra Anderson said:
The Subscription Revenue report is exactly what we are looking for. However, we need it to only show Subscription Revenue from Won Deals (we are a membership organisation so would like to use this report to forecast our income based on our membership subscriptions). Incorporating Open Deals is perhaps useful but we could really use 3 reports: one for Won deals; one for Open deals and the existing combination. Is there any way we can create the Won Deals report ourselves?
Hi @Sandra Anderson ! To include only won deals in your Revenue Report, simple add a condition to the filter that automatically comes with the report: add "Won time > is" and he time period will automatically be the same as the one used in the "Payments due" condition.
Currently there is no condition in Revenue Reports where you can choose the status of the deal only as Open, but I've sent your suggestion to the team for consideration in the future.
You can, however, create a Performance Report only for Won deals and then toggle the variables on the graph to be displayed as you wish.
Learn more about all the options here.
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Sandra Anderson said:
One other thing to consider: we cannot export our subscription information out into excel, the fields are not available to select - any advice?
It's not available yet but it's our plans for the next batch of things to come, see here.
Speaking of which, here’s how to stay on top of what’s coming down the line:
- Follow What's Planned to know what we're working on currently and what’s to come.
- Follow What’s New and don’t miss any new releases.
- Join our Research and Beta Testing channel for the chance to try out early versions of new and improved features. 🚀
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Is there any update on the issue mentioned in bullet point 1 about currencies converting at 1:1?
This is the only thing holding me back from using this tool again.
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Paul Webster said:
Is there any update on the issue mentioned in bullet point 1 about currencies converting at 1:1?
This is the only thing holding me back from using this tool again.
Good news @Paul Webster , that issue has been fixed and there's proper currency conversion in reports now. 🚀
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Sandra Anderson said:
The Subscription Revenue report is exactly what we are looking for. However, we need it to only show Subscription Revenue from Won Deals (we are a membership organisation so would like to use this report to forecast our income based on our membership subscriptions). Incorporating Open Deals is perhaps useful but we could really use 3 reports: one for Won deals; one for Open deals and the existing combination. Is there any way we can create the Won Deals report ourselves?
Brilliant! Many thanks.
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@Anders Berger @Sandra Anderson @Paul Webster Update: Forecast Goals are now available too. Learn all about it here. 🚀
Pro tips:- 🌟 Follow What’s New and don’t miss any new releases.
- 🔮 Follow What's Planned to know what we're working on currently and what’s to come.
- 🧪 Join our Research and Beta Testing channel for the chance to try out early versions and give us your opinion about new and improved features before they go live.
- 🔎 Learn all about any of Pipedrive’s features from our Knowledge Base tutorials in your preferred language and our Academy video courses. Simply search for your topic!
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Miho said:
HI. Thanks for adding the subscription revenue function.
Is the below point mentioned in this original post now available?
- There seems to be no “probability adjustment” option for open recurring revenue deals.
Hi @Miho , it's part of the segmentation menus when you create a Revenue Forecast report:
This is where we make all product update announcements, make sure to follow them:
- Follow What's Planned to know what we're currently working on and what’s to come.
- Follow What’s New and don’t miss any new release announcements.
- Join our Research and Beta Testing channel for the chance to try out early versions and give us your opinion about new and improved features before they go live.
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I just spent an hour chatting with support for the third time as I (we, sometimes) couldn't wrap our heads around the forecasted revenue report not showing, well, total forecasted revenue.
I’ve got all the data in there as payment schedules or subscriptions (or sometimes deal values). I've got deal probabilities. Pipedrive robots should be able to sum that up into how much $ is coming in each month.
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