R2D
Protocol
— Internal Tool
Revenue Leak Scorecard
Working instrument for diagnostic sessions. Fill with client data — all coefficients are adjustable.
1
Financials & Sales
ARR, €
New clients / year
Avg ACV, €
Sales & Marketing costs / year, €
Gross Margin, %
Avg contract length, years
2
Engineering & R&D
Blended daily rate — full delivery team
Annual payroll — all delivery roles, €
People in delivery team
Working days / year
Include: dev, QA, design, analytics, PM. Exclude: pre-sales, L2/L3 if on a separate cost center.
Blended rate =
—
per person-day
Payroll ÷ (team size × working days)
Avg custom work per deal, person-days
Total R&D budget / year, €
Actual custom share of R&D, %
3
Churn & Onboarding
Churn ARR / year, €
Onboarding cost per client, €
4
Feature ROI — R&D Waste
Feature
Build cost, €
Adoption
1 = nobody uses · 5 = everyone uses
+ Add feature
5
Assumptions — adjust to client reality
% of churn attributable to low feature adoption
30%
Default 30% (Pendo 2023). Adjust using client's exit interview data or NPS churn reasons.
Toxic deal threshold: custom cost exceeds X% of ACV
30%
Default 30%. A deal is "toxic" when custom build cost exceeds this share of ACV. Lower for thin-margin clients.
Engineering norm: acceptable custom share of R&D
15%
Default 15%. Engineering Drag = spend above this threshold. Set to client's stated target.
Calculate Revenue Leak →
€0
Estimated annual revenue leak
That's
0%
of ARR — across 4 categories
€0
R&D Waste
Spend on features with low or zero adoption
€0
Toxic Revenue
Deals where custom build exceeds margin threshold
€0
Retention Risk
Churn ARR linked to low feature adoption
€0
Engineering Drag
R&D above norm consumed by custom work
What-if: reduce custom share by
10%
Engineering Drag — after
—
R&D Waste — after
—
Annual savings
—
Economic Thresholds
Standard CAC
—
TCWS — full cost to win & serve
—
ACV Minimum
—
TCWS = CAC + Custom build cost per deal + Onboarding cost. Maintenance tail not included — add 15–20% of custom build cost annually. ACV Minimum = Custom build cost ÷ (Gross Margin × Contract length).
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