How do you project revenue for a product that hasn’t been shipped yet? Our leadership team wants to understand how fast it will grow.
14 Answers
Start with a Total addressable market (TAM) * share of TAM you can get in next 3-5 years *confidence level *Revenue per user per year * 3-5 years. In the RICE framework,...
8506 Views
BILL Director Product Management • Apr 14
Honestly, any revenue projection for a 0 to 1 product is an educated guess. The goal is to make it a structured, defensible one.Here is how I approach it:Start with the a...
376 Views
Atlassian Head of Product, Jira Product Discovery • 1y
I don't really have a "scientific" answer to this - I've always done this in 2 ways: creating a bottom-up model, and trying to find data from other companies/competitors ...
3615 Views
Buffer Staff Product Manager | Formerly Wayfair, Abstract, CustomMade, Sonicbids • 4y
So, in my experience of building 0-to-1, I've never had to do this before exploring a potential new product 😅 and candidly, I really don't like doing it because any proje...
1867 Views
Head of Product, VP • 3y
When setting up any new line of business, revenue projection is an important step to understand the expected outcomes and viability of the business. For new a new product...
2002 Views
The Walt Disney Company Director of Product Management • 10mo
Projecting revenue for a 0 to 1 product isn't an exact science, especially if its product in a new category. That said, here are two approaches depending on the type of p...
1114 Views
IBM Product Management • 9mo
There are three methods I have used for forecasts of revenue with new product delivery: Bottom-Up Market Sizing Start with your Total Addressable Market (TAM), then narro...
378 Views
Asana Former Head of Product Operations | Formerly Adobe • 8mo
Leadership likes hard numbers- actually we all probably do. But, providing hard numbers requires a skill all of lack- forecasting the future.While you can't provide a gua...
498 Views
DocuSign Director of Product Management • 3y
There are a couple of different things you have to do and validate that can help demonstrate the revenue potential. You have to do is TAM (Total Addressable Market) ana...
1090 Views
strongDM Sr. Director, Product Management • 3y
Projecting revenue for a product that hasn't shipped yet can be challenging, but there are some steps you can take to estimate potential revenue:Define your target market...
618 Views
Carta VP Product, Upmarket & Private Equity • 2y
If this is a brand new product (i.e no existing product in market) you can go the TAM route: Do a total addressable market (TAM) analysis - you can either use public sour...
779 Views
Matterport VP of Product • 1y
Start by mapping your leading and lagging metrics Leading metrics examples include sales and customer engagement, customer usage Lagging metrics examples include bookings...
670 Views
Gainsight Director, Product Management | Formerly Cisco • 2y
Projecting revenue for a product that hasn't been shipped yet can be challenging since it involves forecasting future outcomes based on limited information. However, you ...
501 Views
Atlassian Director of Product Management (Confluence) | Formerly PayPal, eBay, Intel, Verizon • 2y
Projecting revenue for a product that hasn't been shipped is a tough but essential exercise for any organization.Some key inputs are:Market size and potential addressable...
818 Views