🇦🇺Australia

Lost Renewal Revenue

3 verified sources

Definition

Providers fail to remind clients or propose upsells, leading to contract expirations without replacement revenue.

Key Findings

  • Financial Impact: 20-40% loss of annual contract value per missed renewal (e.g., AUD 10,000-50,000 per mid-sized support contract)
  • Frequency: Per expiring contract annually
  • Root Cause: Lack of automated expiry tracking and renewal workflows

Why This Matters

The Pitch: IT providers in Australia 🇦🇺 lose 20-40% of recurring revenue due to poor renewal management. Automation of workflows captures this leakage.

Affected Stakeholders

Sales Managers, Account Managers, Renewals Teams

Deep Analysis (Premium)

Financial Impact

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Current Workarounds

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Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

Missed Contract Renewals

AUD 5,000-20,000 per lapsed contract in emergency support costs; up to 40% overpayment on renewals

Manual Renewal Effort

10-20 hours per renewal at AUD 100/hour = AUD 1,000-2,000 labour cost per contract

Cost of Poor Quality from Low CSAT

AUD 10,000-50,000 per year in rework/refunds for SME (2-5% of service revenue based on industry benchmarks)

Customer Friction Churn from Survey Delays

AUD 20,000-100,000 annual revenue churn (5-10% client loss for AUD 500k revenue SME)

Capacity Loss from Manual Survey Effort

20-40 hours/month at AUD 100/hour (AUD 2,000-4,000 wasted labour)

E-Learning Content Development Cost Escalation

AUD 15,000-40,000 per course (development waste); 20-30% of annual training budget consumed by manual content management; estimated AUD 120-180 million annual waste across Australian training sector (based on USD 1.5Bn market in 2025)

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