The Advanced Subscription Momentum Report contains a wide variety of configuration options that can have significant effects on how your data displays in the report's results. It is very important to understand what each setting does and why you would (or would not) want to utilize them. Below you will find explanations of and instructions for each section of configuration options, which you can use to make informed decisions when setting up the report.
1 - Setup
The settings in this section allow you to give your report a name and a description. These two items are very helpful when identifying the report after creating it, so make sure they properly explain the information that the report contains. You can also add tags to the report in this section.
| Field | Description |
|---|---|
| Name | Enter a name for this report that will make it easily identifiable for future reference. |
| Description | A description of the report that appears on the main Reports page. |
| Tags | Tags provide flexibility in how you organize your reports, so feel free to add as many to this report as necessary. |
2 - General Settings
Define high-level aspects of the report's output that determine how values will be calculated and displayed.
| Option | Description |
|---|---|
| Report In |
If you have Multi-currency enabled in your Maxio Core account, you have the option to display your report results in your home or local currency. If you choose to report in your home currency, you can track metrics across multiple currencies with meaningful results, as each non-home Transaction is shown in its equivalent home currency amount using the Transaction FX rates. If you choose to report in local currency, you will need to be mindful of the effect that FX rate differences can make on your analytics when reporting across multiple different currencies. While the register's currency is listed for reference in the report, you may want to consider only selecting registers of the same currency in any given report if you choose to report in local amounts. You also have the option to select a reporting currency and convert all of the currencies to it in the report. When you select this option, you will also need to choose the currency you would like to report in as well as the conversion strategy. You have two options for the conversion strategy:
You also have the option to set a constant currency date when the "Convert to Reporting Currency" is selected. This will make sure the converted rate stays the same as the value on a particular day. Select a date for the Constant Currency Date to apply this as well as the checkbox "Use Modified Rate". The rate will be displayed in the "Modified FX Rate" column of the FX Rate Schedule report. |
| Registers | Select one or more registers from which Transactions are to be included. If you have only one register, then this option is not applicable. If you have multiple registers and no register is selected, all registers are included. |
| Formatting | Indicate if you would like to include a column for row totals in the report and whether to not to display two decimal points for the values in the Momentum section of the report. |
| Use Amount | Select the metric you would like to use to calculate values in the report. |
3 - Time Settings
Select which time frame you would like to report on as well as the periods of time displayed in the columns of the report.
| Option | Description |
|---|---|
| Date Range | Select the time frame you would like to report on. Note that if you select the Custom Dates option, you will need to select the start and end date of the range. |
| Periodicity | Determine the length of the reporting periods, which will be represented by the columns of the report. Please be aware that for quarterly and yearly periodicity, only the Momentum, Committed Momentum, Customer Count, and Committed Customer Count sections can be displayed. Also, the end date of the date range may be adjusted to ensure that there are no partial periods. |
| Calculation Period |
Determine the granularity of the momentum calculations (New, Lost, Expansion, Contraction). This option is often set equal to the periodicity but can be set to a smaller value. For example, suppose that the periodicity is set to "Quarterly", and you had a new Customer in January for $100 MRR, who purchased additional items in February for $50. If your Calculation Period was set to “Monthly”, we would show $100 New and $50 Expansion in Q1. With a "Quarterly" Calculation Period, all $150 would appear as New for Q1. When selecting the Calculation Period, keep in mind the following:
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4 - Report Sections
Select the sections of the report you would like to include in the output. Each section also allows you to select which rows to include in the report along with special settings, where applicable.
| Option | Description |
|---|---|
| Momentum |
Measures Opening, New, Expansion, Contraction, Lost, and Ending values for Transactions. |
| Momentum Moving Average | Provides 12 period moving averages for the values in the Momentum section. |
| Momentum Performance | Provides options to display actual target values and percent of target achievement from the Momentum (#1) section against a selected Target you create in Maxio Core, but separately from the report. Targets are created and maintained outside of the report definition so they can be used in multiple reports. |
| Committed Roll Forward |
Analyzes Transaction value by Order Date for when the Order Date is in a month preceding the Transaction Start Date, generating Net and Gross Backlog numbers for new and renewal TXs. Committed calculations use the Transactions Order, Start and End Dates. Like all other calculations in the report, data is Interpreted based on analysis of the timing of the Transaction dates, not any specific tags associated with the Transactions themselves. When a Transaction Order Date is in the same month as the Transaction Start Date, the Transaction will be both added as both "Backlog" and also "Converted from Backlog" in the same month. If a Transaction has no Order Date, the Transaction Start Date is used as the Order Date. Because the Subscription Momentum report is an interpretive report, meaning it analyzes the TX data and looks at the changes over periods of time to determine net effects vs using TX tags such as the Class, overlapping Transactions for the selected Group By (Customer or Customer/Contract) are likely to be reported as New Backlog. To be considered Renewal, a TX must start in a period where another TX ends. |
| Committed Momentum |
Please note that this section must first be enabled by the Maxio Support team before you can use it. Measures Opening, New, Expansion, Contraction, Lost, and Ending values for Transactions using the earliest of the TX Order Date or TX Start Date, whichever is earlier. |
| Customer Count |
Measures Opening, New, Expansion, Contraction, Lost, and Ending period Customer counts by analyzing Transactions. The Customer Count for each row is the count of Customers that have a value in the equivalent Momentum row. To view the Customers, select the option Include Groups Collapsed or Show Groups Expanded. Note that the independent nature of the Momentum row calculations can result in situations where the Opening + New - Lost IS NOT EQUAL to End. This typically occurs when there are gaps in Transactions spanning more than a month. |
| Committed Customer Count | Measures Opening, New, Expansion, Contraction, Lost, and Ending Customer counts for Transactions by commitment date (Order Date). |
| Customer Count Moving Average | Provides 12 period moving averages for the Customer counts from the Customer Count section. |
| Customer Count Performance | Provides options to display actual target values and percent of target achievement from the Customer Count section against a Target you create in Maxio Core but separately from the report. Targets are created and maintained outside of the report definition so they can be used in multiple reports. |
| Transaction Renewals |
Measures Transaction renewal and cancellation values. The following applies to all the rows in this Transaction Renewal section. Because the Advanced Subscription Momentum report is an interpretive report, meaning it analyzes the TX data and looks at the changes over periods of time to determine net affects vs using TX tags such as the Class, these calculations require that there are no overlapping Transactions for the selected Group By (Customer or Customer/Contract) in order to determine what is a renewal and what is being renewed. That means that all the Transactions being renewed must end in the period, and the renewal Transactions, if any, must all start in the period. If there is even one Transaction that overlaps the period, all Transactions that start or end in the period are ignored in Transaction and Customer Renewals calculations. Such Transactions will be captured as Expansion and Contraction in the Momentum section. Example: A customer has the following Transactions TX 1 - 1/1/22 to 12/31/22 TX 2 - 2/1/22 to 6/30/22 TX 3 - 7/1/22 to 10/31/22 TX2 and TX3 are excluded from all renewal calculations. They are included in other calculations in the Subscription Momentum Report, but are ignored in the Transaction and Customer Renewals sections. Click here for more information about the Transaction Renewals section. |
| Customer Renewals |
Measures Customer renewal and cancellation counts. The Customer Count report counts Customers using data from the Transaction Renewals section. To view the names of the Customers include Groups and view the results in the Transaction Renewals section. Click here for more information about the Customer Renewals section. |
| Renewals Performance | Displays renewals performance metrics such as Gross Renewal Rate, Gross Customer Renewal Rate, and Net Renewal Rate. |
| Additional Metrics |
Measures Transaction churn and renewal rates, including moving averages, as well as Averages for the Momentum (#1) section. Click here for more information about the Additional Metrics section. |
| Gross Revenue Retention |
Measures the amount of recurring revenue over one year. It is calculated by using these parameters: Gross Revenue Retention = (Opening MRR from 1 year ago + Lost MRR during the past year + Contraction MRR during the past year) / Opening MRR from 1 year ago See also: |
| Customer Metrics |
Select Trailing 12 months if your business is primarily an annual or longer-term subscription business. This calculation uses the Total of Customers Lost this month and the previous 11 months divided by the Customer opening from 11 months ago. Select Monthly if your business is a pure or mostly monthly subscription business. With a sufficient number of customer records (50 or more), the two calculation methods return values that are typically materially the same. The same underlying principle of statistics (law of large numbers) that makes this true also results in materially accurate results when your subscription periods are always longer than a year. Naturally, the data set has to be large enough for the law of large numbers to hold, which is generally going to be the case for a multi-million dollar revenue subscription company. Early stage businesses should experiment with the report settings to determine the optimal settings. Use of moving averages can be helpful in removing spikes. |
| Customer Lifetime Value |
Performs various lifetime value calculations to provide values, moving average values, and CLV to CAC ratios. Click here for more information about the Customer Lifetime Value section. |
| Net Dollar Retention |
Calculates the change in existing Customers' total MRR/ARR for the previous one-year period. It takes last year's ending MRR for only existing Customers and compares it to the data for exactly one year later. It disregards new Customers, who have started after the given period start date and do not have at least one year's worth of data. The Net Dollar Retention section of the report displays the following:
Let's say, for example, the Net Dollar Retention for June 2019 was 113%. This means that of the Customers you had in June 2018, you may have retained 100% of your prior year customers, but even if you didn't, you added enough new or expansion revenue to make up the difference. As in, if you had 100 customers at June 2018 with $1,000 each of revenue, lost 10 of those initial customers, but added 23 new customers (also with $1,000 each of revenue), your net dollar retention is $113,000, or 113%. If you're interested in gross revenue retention, or using the example above, seeing the retention of the same 100 customers you had in June 2018, see "Gross Revenue Retention" under the Additional Metrics section of the report. |
5 - Special Settings
Configure additional settings that provide greater flexibility and granularity to present metrics that best align with your business economics.
| Option | Description |
|---|---|
| Special Calculations |
Roll up Customers by Parent Data from child Customers (those with a parent) is not shown directly on the report, but instead is rolled into the parent Customer's data. This is most noticeable in calculations of "New" and "Lost". Exclude Customers Who Net to Zero This setting applies to the Momentum and Customer count sections of the report. Often there are situations where the economic value of a customer is zero (free trials, early terminations). This setting allows you to adjust when a customer is considered "new" or "lost." Instead of using the start and end date of the transactions, you use the earliest and latest dates of when a customer's transactions do not equal zero. For example, consider a customer that had a 3-month free trial. With the setting enabled, the customer would not be included in the momentum or customer count sections until the 4th month, when their transactions were not equal to 0. With the setting disabled, the customer would be considered a new customer in month 1 with an expansion in ARR/MRR in month 4. The same would apply to a customer who ended their contract early and a negative/offsetting transaction was used to account for the early termination. With the setting enabled, the customer would be considered lost at the time of termination. With the setting disabled, the customer would be considered a contraction to 0, and then after the latest transaction end date, lost. Include Intra-Period Fluctuations This setting helps display the impact of Customers that (a) are new and lost within the same calculation period, or (b) expand and contract within the same calculation period. With the option enabled, a Customer's total MRR/ARR will be computed within each calculation period in addition to being computed at the end dates. With this option disabled, the default setting, a Customer's total MRR/ARR is only computed at the end date of each calculation period. Customers that are new and lost within the same calculation period are omitted from the report, and expansions and contractions of a Customer within the same calculation period are not shown. Carry Forward Expired Select to expand the categorization of Opening and End of Period to distinguish Transactions that are Active (really exist in the period) vs. those that have simply Expired (neither Renewed nor Canceled). When on, Carry forward assumes the full value of any Expired Transaction is included in the End of Period calculation that is used in many of the other calculations within the report, including CLV calculations. Transactions that have been Canceled are NOT carried forward. Use Transaction End Date as Committed End Date When enabled, Committed Momentum is computed by using the Transaction end date as the committed end date. Note that this can overstate the impact of renewals on Committed Momentum. Disable this option to use the day before the renewing transaction's committed start date (the earlier of its order date or start date) as the committed end date of the renewed transaction. This often yields a report that best reflects business performance. |
| Identification of Renewals |
This determines how the report identifies renewals within the data, and can affect the results within many sections of the report: Renewal Linkages in Transactions Identify renewals strictly based on Transaction renewal linkages. If renewal linkages are defined correctly in the underlying data, users may find that this option produces a report that best describes business performance. Proximity of Dates Identify renewals based on the start date of one Transaction (the renewal) occurring within the same period as the end date of another Transaction (the renewed Transaction). If renewal linkages are not consistently defined within Transactions, users may find that this option produces a report that best describes business performance. Note: Users might not consider all scenarios with Transaction dates aligned end-to-start as actual renewal scenarios, so this option represents a more subjective approach. Hybrid Logic This option is very similar to “Proximity of Dates”, except that a few calculations make decisions based on renewal linkages. For example, in a Momentum section where a Transaction appears to represent a win-back, a linkage indicating that the Transaction renews another from a prior period will cause the Transaction to be classified as an expansion instead of a win-back. Note: Some users may not prefer this option, given that the other two are more straightforward. |
| Momentum Calculation Basis |
Determines whether Customers, Contracts, Subscriptions, or custom fields (if configured) are the basis for New, Lost, Expansion and Contraction calculations. To add a custom field as an option, edit the custom field and check the Add to Advanced Subscription Momentum box: You can select a maximum of three custom fields for momentum calculations. |
| Segmentation of "New" |
With this setting you can segment your “New” classifications to differentiate between Customers who have never been a Customer before, and those who were former Customers. Do Not Segment The "New" classification is not segmented. A Customer can be "new" and "lost" only once. A large gap between Transactions is reported as a "Contraction" followed by an "Expansion". New and Win-Back The "New" classification is segmented to show "Win-Back" Customers. A large gap between a Customer's Transactions is reported as a "Loss" followed by a "Win-Back". |
| Segmentation of "Lost" |
This setting lets you show an additional level of detail on "Lost" amounts. Do Not Segment The "Lost" classification is not segmented. Expired and Canceled Segment "Lost" amounts to distinguish between "Expired" Transactions and "Canceled" Transactions. This setting can help identify lost Customers that may still be candidates for renewal. Short Loss Segment "Lost" amounts to identify Customers that were "New" and "Lost" within a short period of time. |
| Expansion and Contraction Calculation Tolerance | Expansions or contractions less than this amount will not be counted. For example, given the default tolerance of 0.99, an expansion of 0.01 will be ignored. This is especially useful when not displaying decimal places in results. |
6 - Report Details
Elect to report only the summary metrics or you can include additional details. Additional details give you the ability to understand underlying business drivers according to any customer, contract, or transaction field. Use the additional details below to better understand the drivers behind your customer subscriptions.
| Option | Description |
|---|---|
| Level of Detail |
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7 - Filters
Filter in or out specific data from the report. Add as many or as few filters as needed to answer the questions you have within your business.
| Option | Description |
|---|---|
| Item Type | Select whether you would like to include recurring items only, non-recurring items only, or both in the report. |
| Ad-Hoc | Configure any necessary filters using a wide variety of fields and operators. |
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