CUSTOMER FORMULA
LEVER 1–2
Leads / Month
Total qualified prospects entering your pipeline
Conversion Rate (%)
% of leads that become paying customers
REVENUE FORMULA
LEVER 3–4
Avg Transaction Value ($)
Revenue captured per transaction
Transactions / Year
How often each customer buys per year
PROFIT FORMULA
LEVER 5–6
Cost of Goods Sold (%)
Direct cost to deliver your product/service, as % of revenue
Operational Costs / Year ($)
Overhead, salaries, tools, rent — including owner time
All calculations are annualized. Leads/month are multiplied by 12 for annual figures. COGS is applied as a percentage of revenue. Operational Costs are fixed annual overhead. Results are for illustrative purposes — consult your accountant for precise projections.
PROFIT IMPACT SUMMARY
CUSTOMERS (ANNUAL)
Annual Leads
—
→
—
Customers
—
→
—
ANNUAL REVENUE
Current
—
Target
—
—
PROFIT IMPACT
Current Annual Profit
—
↓
Projected Annual Profit
—
—
LEVER-BY-LEVER CHANGE
Leads
—
Conversion Rate
—
Avg Transaction
—
Transactions/Year
—
COGS Reduction
—
OpEx Reduction
—
Ready to move these levers?
Work with KT-22 Strategic Coaching to build a 90-day action plan around your biggest opportunities.
wbenedict@kt-22strategiccoaching.com
(734) 575-4910
(734) 575-4910