How do I benchmark my intangible assets against industry competitors?

Full Explanation

Benchmarking process: 1) select your industry and asset type, 2) Opagio displays industry benchmarks (median values, ranges), 3) compare your company's metrics against benchmarks. Examples: if your SaaS company has £3 LTV:CAC ratio and the median is 2:1, you're above average (competitive advantage). If your customer relationship useful life is 10 years and competitors average 7, your assumption may be optimistic. Benchmarks cover: customer lifetime value, churn rates, viral coefficients, technology obsolescence rates, brand royalty rates, useful lives by asset category. Data comes from: published industry reports, Opagio's proprietary transaction database, academic research, and regulatory filings. Limitations: benchmarks are historical (reflect past, not future), and may not match your specific business (a niche vertical may differ from broad-market benchmarks). Use benchmarks as sanity checks: if your assumed royalty rate is 10% and comparables are 2-3%, investigate why yours is higher (premium brand? unique IP?). Don't blindly use benchmarks: adjust for your specific competitive position, customer quality, and market dynamics. For fundraising, benchmarking helps you justify assumptions to investors: "Our LTV:CAC is 3:1, above the industry average of 2:1, because we have strong retention (95% annual retention vs. industry 85%)."

Related Glossary Terms

Related Questions