SOURCE: Scout Analytics

Scout Analytics

June 05, 2013 09:00 ET

Scout Analytics Unveils Industry's First Renewal Performance Management Solution for Subscription-Based Businesses

New Dashboard, Calculator, and Analytics Allow Executives to Manage a Closed-Loop Renewal Process for Continuous Revenue Growth

SEATTLE, WA--(Marketwired - Jun 5, 2013) - Scout Analytics™, the leader in cloud-based recurring revenue management, today announced availability of the industry's first closed-loop Renewal Performance Management solution that predicts renewal revenue opportunities and then tracks the resolution to continuously improve revenue yield. Powered by a Renewal Performance Calculator, Scout Yield Optimizer provides executives with an at-a-glance Performance Dashboard containing actionable predictive analytics to maximize customer lifetime value. The new Renewal Performance Calculator also enables sales and marketing to continuously improve predictions by correlating monthly recurring revenue (MRR) growth and churn to customer usage patterns.

For subscription businesses, managing the cost of renewals and up-sells is critical to profitability. According to OPEXEngine research, the cost of renewal comprises an average of 10-20 percent of a contract's annual value. Reducing the cost of renewals requires accurately analyzing historical data for the sources of up-sells and churn, and then applying predictive analytics to prioritize sales, marketing, and support resources for maximum renewal revenue yield.

"Subscription businesses generate much more customer data than their conventional cousins, which can be instrumental to enabling better management," said Denis Pombriant, managing principal of Beagle Research Group, LLC. "Measuring and monitoring usage data provides a wealth of insight that subscription companies need to manage their businesses and monetize their products."

The Renewal Performance Calculator automatically computes each renewal's impact to MRR and classifies each subscription as an up-sell, down-sell, cancellation, or new. The solution enables sales and marketing to identify sources of revenue growth and churn, verify predictions, and prioritize renewal revenue opportunities -- providing a true closed-loop renewal management process. Features and capabilities include:

  • Renewal Performance Dashboard: Provides C-level executives with an at-a-glance, color-coded report on recurring revenue over a specified time period. The dashboard enables business leaders to track performance based on renewals, churn, and new MRR.
  • Renewal Performance Calculator: Enables marketing and sales professionals to explore historical customer data to accurately identify, communicate and analyze sources of churn and growth. Revenue for each subscription renewal is classified into categories such as up-sell, down-sell or cancellation, among others.
  • Report Export: Allows users to export product and customer renewal yield calculations to other applications for customized reporting and analysis.
  • Renewal Performance Analysis: Enables closed-loop analysis by linking renewal predictions with resolutions for continuous improvement of renewal revenue.

"Unlike financial reporting systems that focus on aggregate reporting of monthly recurring revenue, Scout's Renewal Performance Calculator is the only technology to transform historical renewal data into actionable predictive analytics," said Matthew Shanahan, senior vice president of strategy at Scout Analytics. "Scout's solution enables real-time tracking, source analysis and predictive analytics so subscription businesses can maximize customer lifetime value."

A free trial of the Renewal Performance Management solution is available at


"Companies are flying blind when it comes to identifying up-sell opportunities and potential churn as current billing and CRM systems don't link initial and renewed contracts," said John Kelly, vice president of marketing at ValantMed. "Scout Analytics provides a single, real-time measurement of revenue growth based on historical data and current usage. This approach has enabled us to streamline decision making within the executive team and capitalize on additional revenue opportunities."

"The venture capital community lacks a standardized practice for portfolio companies to systematically report monthly recurring revenue to key stakeholders," said John Connors, partner at Ignition Partners. "By allowing businesses to showcase anticipated revenue numbers backed by actual customer data and usage, Scout Analytics will transform how our industry evaluates current and prospective investments."

"The subscription business model is becoming the de facto standard within the software and publishing industries. Executives leading the charge must adapt to a new set of rules that fundamentally change the way they do business," said Brian Bell, chief marketing officer at Zuora. "By applying predictive analytics from customer usage data, Scout Analytics provides a new methodology that will help companies thrive in the subscription economy."

About Scout Analytics™
Scout Analytics is the leading provider of cloud-based recurring revenue management solutions for subscription businesses. The Scout Analytics platform transforms usage data into predictive analytics for customer renewal behavior and trial conversions. Our solutions are designed to reduce customer and revenue churn, increase renewal revenue yield, optimize rate plan performance, and maximize trial conversions. With over 100 customers, Scout Analytics is proven to increase revenue 10-15%. Scout Analytics is currently delivering recurring revenue management solutions across multiple industries including information services, SaaS, and digital media. The venture-backed company is based in Issaquah, Washington. To learn more about Scout Analytics, visit or call 425.649.1100.

Contact Information

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    Katharine Kemp
    Barokas PR for Scout Analytics
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