Market Expansion
A hotel has a goal to rent out its restaurants to weddings and other events to improve the gross revenue of these facilities by 30% and of the hotel by 15% by attracting wedding couples and guests.Market Penetration
An ice cream manufacturer launches an aggressive promotional campaign to improve its brand recognition to 80% of target market and market penetration of its leading product to 23%. This represents an improvement in top line revenue of 44%.Diversification
Launching new products such as a fashion brand that plans a line of shoes with a target of $4 million revenue in the first year after launch.Market Entry
A German hotel chain plans to expand into France by purchasing three locations from a competitor and rebranding them. The goal is to improve top line revenue by 12% to $77 million per quarter.Premiumization
A restaurant seeks to improve gross margins by 10% with higher prices on new menu items that are perceived as premium by customers. For example, a hamburger with three kinds of cheese and four types of mushroom that sells well at a price premium of 35% over a regular cheeseburger.Forward Integration
Expanding your control of your supply chain in the direction of the customer. For example, a manufacturer of t-shirts that plans to sell products directly to the end-customer as an ecommerce vendor to generate additional revenues of $1.2 million per quarter.Backward Integration
Expanding your control of your supply chain in the opposite direction of the customer. For example, a brand of premium green tea that buys its own tea plantation. They target a 10% increase in gross margins by capturing more of the value chain.Churn Rate
A telecom company plans to reduce customer churn by 40% by eliminating unpopular bandwidth charges with a goal to improve customer lifetime value to $4600 by retaining customers longer.Leads
A property developer plans to develop 500 leads for a condominium development to sell all 180 units within 6 months at an average selling price of $560,000.Win Rate
A software company plans to improve its sales win rate to 33% by adding a popular feature that customers often demand. This will improve top line revenue by $12.1 million per year.Overhead Cost
A bank plans to reduce overhead cost by 4% to improve net profit to 66.6 million by retiring three legacy IT systems.Unit Cost
A manufacturer plans to reduce unit costs for a high-end bicycle helmet to $90 per helmet by using a new bamboo composite material. This will improve gross margin to 70% for the product representing a bottom line improvement of $900,000 per quarter.Overview
Revenue goals are targets for business income. There are several common ways to frame these goals:
| Definition: Revenue Goals | ||
Type | ||
Definition | Targets for the strategy and performance of a business that improve gross or net profit. | |
Related Concepts | ||
