Hi folks,
I have a custom object field called contracts. Here we keep the start and end date and contract value of the software we sell to our customers (for example, Adobe, Autodesk, Microsoft).
I created a property called contract value, I associate deals with contracts and collect deals in this property.
However, there is a problem here, I want to use a date filter and do the collection process. In other words, I need to collect the related deals between the start date and end date of the contract. In the current situation, it also collects old dated deals and this does not have an annual contract value.
Actually, there is another problem besides this; for example, a customer renewed a contract for $10,000 on the contract renewal date, then 6 months passed and the customer bought an additional $5000 product for the remaining 6 months, the value of this contract should not be $15,000, but $20,000 because $5000 is only the price for 6 months.
Has anyone experienced this and how do you use it? I would be very happy if someone could help.
Hey @FatihSeven, Happy Friday!
I understand the challenges you’re facing with calculating the total contract value while filtering deals based on contract dates and correctly handling mid-term additions. To ensure that only relevant deals within the contract period are collected, you need to apply a date filter. This will exclude old deals that fall outside the contract’s start and end dates.
When a customer makes an additional purchase mid-term, it’s important to annualize the value of that addition.
To our top experts, @TomM2 and @aviafriat26 any recommendations for @FatihSeven matter?
Thank you,
Pam
Hey @FatihSeven
can ask you how are you calculating the Contract value? Is it a calculated property or are you doing this in a workflow?
On the other hand the calculation of MRR and ARR in HubSPot it still a work in progress and doesnt work properly specially for the situations that you describe when there are upsells and crossells (or even downsells). So in this cases you can check for 3rd party apps, or what we do is create a programmable automations in operations hub with your own rules to make those calculations acurate (and you can even create a new renewal deal at the end of the year for the sumatory amount of all the current deals)
Hope this helps
PS: If operations Hub and programmable automations if something you are willing to explore let us know, we can help you built this custom for your company.