Page 23 - PowerPoint Presentation

Revenue Impact to Overall Business

The next step is to model the REVENUE impact of transforming a portion of your business to a cloud and/or recurring revenue model.

$7.0 M Revenue Comparison Assumptions
$6.5 M
$6.0 M • Sample is a solution provider with
$5.5 M $5M in revenue.
$5.0 M
$4.5 M • Cloud represents 10% of business
$4.0 M in YR1 growing to 25% in YR4

• Cloud deals are 50% of the size of
on-premise Solutions

• On premise revenue is growing at
5% per year

• Company growth achieved is 7 –
20% over 4 years

Year 1 Year 2 Year 3 Year 4

Revenue - On premise Only Revenue - Balanced Practice

The data contained in this chart is illustrative. Assumptions are “ We are seeing 20-25% growth in our cloud ”
included at the back of this document. .
business vs. 5% in our on-premise
business…
– Cisco Cloud Provider