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Overview of Consumption Insights

Zuora

Overview of Consumption Insights

Overview

Consumption Insights is a machine learning-powered feature designed to help your business optimize revenue by providing deep analytics on usage-based metrics. This feature supports usage-based pricing model users. By leveraging data-driven insights, you can accurately forecast revenue, identify top products and customers, and mitigate churn risk.

Cosumption Insights Dashboard.png

Key Capabilities of Consumption Insights

Overview Dashboard

  • Provides a comprehensive snapshot of total billable usage trends.
  • Includes historical data and forecasting for the current and upcoming months.
  • Identifies top 5 products and top 5 customers based on billable usage amounts.

Account Insights

  • Displays detailed usage trends for each customer account.
  • Opportunity Scoring ranks customers based on increasing usage patterns, highlighting up-sell or cross-sell potential.
  • Risk Scoring identifies accounts with declining usage, indicating potential churn risks.

Billable Amount Drivers

  • Analyzes billable amounts by product or customer to uncover key revenue drivers.
  • Provides insights into high-performing products and customers.

Forecasting & Anomaly Detection

  • Predicts future revenue and usage trends using historical time series data.
  • Identifies anomalies that may require business intervention.
  • Enables proactive decision-making to maximize revenue opportunities.

Users Benefits

  • Accurate Forecasting: Plan effectively with precise predictions of future usage trends.
  • Revenue Optimization: Unlock new revenue opportunities by understanding customer behaviors.
  • Churn Prevention: Detect at-risk customers and take proactive measures to retain them.
  • Strategic Decision-Making: Gain a competitive edge by leveraging actionable insights.

Consumption Insights Use Cases

Forecasting Revenue

  • Predict future billing amounts based on customer usage trends.

Revenue Forecasting.png

  • Period over period comparison to identify seasonal variations and align business planning accordingly.

Revenue Trend.png

Upsell and Cross-Sell Optimization

  • Use opportunity scores to target high-growth accounts.

upsell:Cross sell optimization.png

  • Enhance customer engagement strategies based on detailed usage patterns for particular units of measure.

Churn Risk Mitigation

  • Leverage risk scoring to identify accounts with declining consumption.
  • Take proactive steps to re-engage at-risk customers.

Frequently Asked Questions (FAQs)

Q. How frequently is the Consumption Insights data updated?

  • The data is refreshed daily, with timestamp in the dashboard.

Q. What forecasting model does Consumption Insights use?

  • We use machine learning models that predict time-series data as well as detect anomalies in time-series data. We score accounts using a variety of algorithms (e.g. Mann-Kendall Test) to score individual accounts.

Q. Does this feature work for all Zuora customers?

  • Consumption Insights is compatible for all Advanced Consumption Billing (ACB) customers as well as Non-ACB cusotmers. 

Q. Does Zuora charge extra for this feature?

  • No, this feature is included as part of of your Billing subscriptions.