Revenue Implications for Product-as-a-Service Companies

New Opportunities, New Challenges

The as-a-Service model is shaping the future of almost every industry. Digital transformation has enabled a world where physical products can become conduits for valuable digital services and outcomes-based solutions. These valuable services are the lynch pin for ongoing relationships with customers, which are monetized via high-margin, high-growth recurring revenue models.

This introduces challenges including:

 Complex revenue recognition when a hybrid product or digital service business model is distributing directly to an end customer

 Managing things like leasing components in a bundled product or service offering

 And, the downstream effect around financial reconciliation processes

Learn more about these types of challenges and the recommendations for success when moving to an as-a-service model.

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