Issue link: https://pravda.ufcontent.com/i/1285868
10 | The Total Economic Impact™ Of SalesLoft Overall, more automated, effective, scalable, and A/B-tested sales cadences, content, and personalized templates helped interviewees improve sales effectiveness. For the composite organization, our analysis assumed a 2.5x increase in open rate responses and a 20% increase in conversion rate from SQL to opportunity, on the conservative end of our findings. In modeling the impact of improved sales effectiveness from SalesLoft for the composite organization, Forrester made the following assumptions: › Used the annual baseline sales activity prior to SalesLoft to quantify the financial impact of an increase in sales effectiveness, given that the full impact of the increase in sales activity is counted in the previous benefit category. This is represented in row B1 below. › Shows pre- and post-SalesLoft response rates and conversion rates from SQL-to-opportunity in rows B2 through B3 and B4 through B5, respectively. The delta in net-new deals across the pre-SalesLoft and post-SalesLoft scenarios can be seen in rows B7 and B8. › That the conversion rate from opportunity to closed business remains unchanged at 5%. › That the composite organization has an average transaction size of $20,000 and maintains a gross profit margin of 15%. To account for the variance in conversion rates, average deal sizes, and profit margins, Forrester risk-adjusted this benefit category downward by 20%. Over three years, the profit growth from improved sales effectiveness for the composite organization totaled a PV of $2.1 million. 2.5x increase in response/open rate 20% increase in conversion rate from SQL to opportunity Profit Growth From Improved Sales Effectiveness: Calculation Table REF. METRIC CALC. YEAR 1 YEAR 2 YEAR 3 B1 Annual baseline sales activity (prior to SalesLoft) 225,000 225,000 225,000 B2 Response rate before SalesLoft 10% 10% 10% B3 Response rate after SalesLoft 25% 25% 25% B4 Conversion rate to opportunity before SalesLoft 8.0% 8.0% 8.0% B5 Conversion rate to opportunity after SalesLoft 9.6% 9.6% 9.6% B6 Conversion rate from opportunity to closed business 5.0% 5.0% 5.0% B7 Cumulative annual net-new customers without SalesLoft B1*B2*B4*B6+ B7 PY 90 180 270 B8 Cumulative annual net-new customers with SalesLoft B1*B3*B5*B6+ B8 PY 270 540 810 B9 Average deal size $20,000 $20,000 $20,000 B10 Profit margin 15% 15% 15% Bt Profit growth from increased sales effectiveness (B8-B7)*B9*B10 $540,000 $1,080,000 $1,620,000 Risk adjustment ↓20% Btr Profit growth from increased sales effectiveness (risk-adjusted) $432,000 $864,000 $1,296,000