Do you know your unit costs?
With cloud unit economics, FinOps teams can quantify the impact of cloud spend on business performance, help engineers explain their contribution to gross margins, improve profitability analysis and forecasting, support data-driven pricing decisions, and build highly effective cost optimization plans.
Yet cloud unit economics is elusive for many FinOps teams. According to our market research, 70% of companies said they wanted to measure unit economics metrics but were not there yet. Where does your organization stand?
Analyze the current state of your cloud unit economics
Consider the following questions as a starting point:
- Are you currently measuring cloud unit economics metrics?
- If so, how many metrics do you measure? A single top-line metric or multiple product-specific metrics?
- When calculating unit economic metrics, do you rely on automation or manual processes that use a combination of tools or spreadsheets?
- How comprehensive are your unit cost models? What financial inputs do you include in your calculation?
- Do you track your unit economics metrics over time? Have you been able to consistently improve them?
- How often do you share cloud unit economics reports with your internal stakeholders?
With the right FinOps tool, FinOps teams can simplify and automate their cloud unit economics measurement.