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5 key metrics that help edtech startups improve profitability

While some experts anticipate a second honeymoon period for edtech, founders in the space need to change their tactics and learn how to get better results for less money in new startups.

If you have a good product, a great marketing team, and a stellar sales team, it makes sense to expect to make a lot of money.

Unfortunately, the reality is that these things do not help at all.

Once you figure out what makes each of your strategies “effective” or “good,” you will succeed. It is important to learn how to break down your tactics to increase your income.

Direct ways to increase income

Address the effectiveness of the sales department
Analyzing metrics begins with determining each manager’s target results.

Since a person can only do so much, it is important to know how much time and effort they put in each day.

It is important to evaluate the workload of your sales department to see if anyone is getting too much or too little work.

Too many leads can often be assigned to a sales manager, but this can have a negative effect on their effectiveness.

Overworked sales managers cannot effectively communicate with clients, which negatively affects the overall return on marketing investment.

You can calculate a “normal” workload based on your product and take steps to avoid assigning new leads to overworked sales managers until their workload normalizes.

Each lead’s Service Level Agreement (SLA).

SLAs can be used as an indicator of how quickly business managers respond to incoming requests.

Our data shows that elapsed time directly correlates with conversion rate.

Managers should call customers back within 5-20 minutes. Conversion rates can drop by 20% to 30% if callback times are between 30 minutes and an hour. A manager who calls customers back after an hour cuts their conversion rate in half.

Create a simple dashboard to track SLAs per day and see if your team is overloaded or short on leads.

Bank deferment and student loan approval rates.
Postman, an Application Programming Interface (API) management platform for enterprises.

Seeing a rise in usage in traditional sectors like banking, retail, ad tech and automotive.

Its CEO told ET, amid mass layoffs and cost-cutting at Big Tech firms influencing the growth of several enterprise software service providers.

India’s most valuable Software-as-a-Service (SaaS) startup at USD 5.6 billion.

Postman has partnered with companies like Axis Bank and Di ..Financial services players and banks are one of the fastest growing sectors, rapidly modernizing and adopting APIs , he said.

The remarks come as SaaS companies have seen sales cycles slow from their peaks in 2021 as several enterprise customers look to cut costs and renegotiate pricing.

Sources: Techcrunch | EconomicTimes

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