ServiceSource® (NASDAQ: SREV), the global leader in recurring revenue management, and the Technology Services Industry Association (TSIA), today announced the availability of a joint whitepaper on the importance of consumption analytics in successfully managing recurring revenue growth.
The whitepaper, titled “ Consumption Analytics Are Critical for Recurring Revenue Growth,” showcases how technology providers must become experts at monitoring consumption in order to gauge customer success and ensure their products are delivering value. The paper also highlights ServiceSource’s January 2014 acquisition of Scout Analytics as a major proof point of this concept. The companies will also host a joint webinar on the topic, titled “ What Usage Analytics Reveals About Customers to Drive Growth,” on May 15, 2014.
TSIA’s 8 th annual 2014 Global Technology Survey introduced new consumption analytics and recurring revenue management categories. The report recognized consumption monitoring/analytics as a key piece of a shift toward outcome-based services, and recurring revenue management for enabling service professionals to automate renewals and analytics that predict likelihood of renewal and manage profitable contract/maintenance programs. In fact, the survey found that 34% of organizations allocated technology budget to consumption analytics, and 39% to recurring revenue management for the 2014-2015 fiscal year.
“A fundamental change is happening within technology firms where there is a shift from being paid solely to deliver products, to being paid based on delivering value,’” said J.B. Wood, president and CEO of TSIA. “Because of this shift, technology-enabled companies must become experts very quickly on exactly how customers are consuming their products and services. Measuring and monitoring consumption requires that technology suppliers learn to answer an entirely new set of questions.”“For the first time, we are breaking out recurring revenue and consumption analytics as critical investment categories,” said John Ragsdale, vice president of technology and social research for TSIA. “As companies increasingly make the shift to recurring revenue and cloud-based business models, they require new technologies, solutions, and analytics to retool their existing sales infrastructures. By offering a comprehensive portfolio recurring revenue and consumption analytics solutions and managed services, ServiceSource is today playing a pivotal role in this transformation for many leading business-for-business (B4B) companies.”