How To Calculate GMAU in SAP BusinessByDesign | Arithmix

Calculating GMAU in SAP BusinessByDesign is a straightforward process that can provide valuable insights into your business operations. Before we dive into the steps to calculate GMAU, let's first understand what GMAU is and when it is valuable to calculate it.

What Is GMAU?

GMAU stands for Gross Margin per Active User. It is a metric that measures the profitability of each active user in your business. In other words, it tells you how much profit you are making per user. This metric is particularly useful for businesses that operate on a subscription or membership model, where the number of active users is a critical factor in determining profitability.

To calculate GMAU, you need to divide your gross margin by the number of active users. Gross margin is the difference between your revenue and the cost of goods sold. Active users are those who have used your product or service within a specific period, such as a month or a year.

When Is It Valuable To Calculate GMAU?

Calculating GMAU can be valuable in several scenarios. For example, if you are a software-as-a-service (SaaS) company, GMAU can help you understand the profitability of each customer. This information can be used to optimize your pricing strategy, identify high-value customers, and improve customer retention.

If you are a membership-based business, such as a gym or a subscription box service, GMAU can help you understand the profitability of each member. This information can be used to optimize your membership plans, identify high-value members, and improve member retention.

Overall, calculating GMAU can provide valuable insights into your business operations and help you make data-driven decisions to improve profitability. So, if you haven't already, consider calculating GMAU for your business today!

How Do You Calculate GMAU in SAP BusinessByDesign

SAP BusinessByDesign itself isn’t naturally geared towards letting you calculate complex metrics like GMAU. As an alternative, teams typically use products like Arithmix to import data from SAP BusinessByDesign and build out dashboards.

What is Arithmix?

Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like SAP BusinessByDesign, combine it with data from other systems, and create calculations like GMAU.

In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.

Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.

Calculating GMAU in Arithmix

Calculating metrics like GMAU is simple in Arithmix. Once you've created your free account, you’ll be able to import your SAP BusinessByDesign data, and use it to create natural language formulas for metrics like GMAU.

Arithmix is designed to give you the power to build any calculations you want on top of your SAP BusinessByDesign data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.