FAQ: SmartModel

Browse through some of the most popular questions that Drivepoint users have. Maybe we can answer some of yours🙏

Export Options

Is there a simple way to pull an excel doc showing the full budget, with balance sheet, to show bankers and investors?

I would recommend sending just an export of the Monthly Summary tab (if you need it monthly) or the 3Y Plan Tab if Annual Summary works. I

f on Web version of excel (vs. Desktop App) File -> Create a Copy -> Download a Copy and then just Copy those tabs into a new Separate Workbook. (If in Desktop you can just copy the tabs right away).

Once in that new workbook with just copy of the tabs, you can break the links to the main model so that if an investor opens it it won't try to refresh etc.

Modeling

How do I forecast DTC Net Revenue?

To forecast net revenue navigate to the the DTC - Acquisition and DTC OTP tab.

-> DTC - OTP schedule is where first time & returning orders and first time & returning gross AOV assumptions can be toggled

For the Ad spend forecast, navigate to the Acquisition tab.

-> This is where direct ad spend is divided by first time orders to calculate Blended CaC for historical periods, which you can then update in forecast.

How do I add a new product in the model?

Step 1: Start on the Product tab in the SmartModel™️

New Products are entered into the Average Unit Cost - Material and Direct Labor section -> this will populate product lists throughout the model (DTC, Amazon, Wholesale and Retail Tabs).

Step 2: Enter assumptions for average cost by month in this section

Assumption percentages for freight, import tax, and shipping costs can be entered in sections below

Step 3: However if your inputs from above include those amounts you can disregard these.

This will all flow into a summary of landed costs by product by month at the top of the schedule

How do I calculate and update AOV?

We have updated our AOV calculation so you can now incorporate the sale of new products more explicitly in the DTC - OTP tab. Previously we just used Shopify AOV data to predict future AOVs in rows 42 and 87.

Step 1: Navigate to the yellow DTC - OTP tab in the SmartModel™️

The new method is to adjust “Attach %” which simply describes the number of each product (in units) in proportion to overall orders.

Step 2: Attach % = 100% would suggest 1 unit per Order, while 200% would suggest 2 units per order.

These rates for historical (legacy) products are calculated based on Shopify data for your reference while forecasts require your input based on expectations of take rates on those new products.

Additionally, overall attach rates for legacy products will likely decrease after launch of new products given the size of those AOVs so it may be prudent to trend down those legacy rates relative to historical trends.

Step 3: Repeat these attach % inputs for First-Time and Returning Customers.

These rates will then be used in combination with GMV or prices per unit by product to estimate overall AOVs for First-Time and Returning customers.

Where do I input my Sales Mix?

Given the AOV updates using attach %, the Sales Mix on the DTC tab will now be an Output vs. Input.

Step 1: Navigate to the DTC tab

Step 2: Scroll to the "Costs of Goods Sold - Units Sold" section

Step 3: View list of products which mirrors the input on the yellow Product tab schedule.

Orders vs. Order Items vs. Units Ordererd (with image)

Order: A customer's completed request to purchase one or more products from the store.
Line Items (on Amazon as Order Items): Distinct product variants that were added to the order. A line item will have an associated quantity that represents the number of units purchased for that distinct product variant.
Units Sold (on Amazon as Units Ordered): The total number of products that were purchased on the order. This is calculated by summing up the quantities per line item.

PreviousDebt

Last updated 29 days ago

Export Options

Is there a simple way to pull an excel doc showing the full budget, with balance sheet, to show bankers and investors?

I would recommend sending just an export of the Monthly Summary tab (if you need it monthly) or the 3Y Plan Tab if Annual Summary works. I

f on Web version of excel (vs. Desktop App) File -> Create a Copy -> Download a Copy and then just Copy those tabs into a new Separate Workbook. (If in Desktop you can just copy the tabs right away).

Once in that new workbook with just copy of the tabs, you can break the links to the main model so that if an investor opens it it won't try to refresh etc.

Modeling

How do I forecast DTC Net Revenue?

To forecast net revenue navigate to the the DTC - Acquisition and DTC OTP tab.

-> DTC - OTP schedule is where first time & returning orders and first time & returning gross AOV assumptions can be toggled

For the Ad spend forecast, navigate to the Acquisition tab.

-> This is where direct ad spend is divided by first time orders to calculate Blended CaC for historical periods, which you can then update in forecast.

How do I add a new product in the model?

Step 1: Start on the Product tab in the SmartModel™️

New Products are entered into the Average Unit Cost - Material and Direct Labor section -> this will populate product lists throughout the model (DTC, Amazon, Wholesale and Retail Tabs).

Step 2: Enter assumptions for average cost by month in this section

Assumption percentages for freight, import tax, and shipping costs can be entered in sections below

Step 3: However if your inputs from above include those amounts you can disregard these.

This will all flow into a summary of landed costs by product by month at the top of the schedule

How do I calculate and update AOV?

Step 1: Navigate to the yellow DTC - OTP tab in the SmartModel™️

The new method is to adjust “Attach %” which simply describes the number of each product (in units) in proportion to overall orders.

Step 2: Attach % = 100% would suggest 1 unit per Order, while 200% would suggest 2 units per order.

These rates for historical (legacy) products are calculated based on Shopify data for your reference while forecasts require your input based on expectations of take rates on those new products.

Step 3: Repeat these attach % inputs for First-Time and Returning Customers.

These rates will then be used in combination with GMV or prices per unit by product to estimate overall AOVs for First-Time and Returning customers.

Where do I input my Sales Mix?

Given the AOV updates using attach %, the Sales Mix on the DTC tab will now be an Output vs. Input.

Step 1: Navigate to the DTC tab

Step 2: Scroll to the "Costs of Goods Sold - Units Sold" section

Step 3: View list of products which mirrors the input on the yellow Product tab schedule.

Orders vs. Order Items vs. Units Ordererd (with image)

Order: A customer's completed request to purchase one or more products from the store.
Line Items (on Amazon as Order Items): Distinct product variants that were added to the order. A line item will have an associated quantity that represents the number of units purchased for that distinct product variant.
Units Sold (on Amazon as Units Ordered): The total number of products that were purchased on the order. This is calculated by summing up the quantities per line item.