Our Calculation Methodology

The Abstrabit ROI Vision calculator is designed to provide a high-level, strategic estimate of the potential return on investment from implementing AI solutions. Our methodology is built on a foundation of industry-standard financial models, benchmark data, and the specific inputs you provide. Here’s a breakdown of how we approach the calculations.

Core Calculation Principles

Our model evaluates ROI across several key dimensions of business value:

Cost Savings: Quantifying efficiencies gained by automating tasks, deflecting inquiries, and reducing operational overhead.
Revenue Uplift: Estimating new revenue generated through improved sales processes, lead conversion, and customer value.
Productivity Gains: Measuring the value of time saved by employees, allowing them to focus on higher-value activities.
Risk Avoidance: Ascribing value to the reduction of costly errors, compliance issues, or security breaches.

Key Formulas Explained

1. Time Savings & Productivity

We calculate the value of reclaimed hours by multiplying the number of hours saved by the fully-loaded hourly rate of the employees performing those tasks.

Value = (Hours Saved per Year) × (# Employees) × (Hourly Rate)

2. Customer Service Deflection

Savings from voice agents and chatbots are calculated by determining the number of interactions handled by AI and multiplying that by the average cost of a human-handled interaction.

Savings = (Monthly Interactions × Deflection %) × (Cost per Interaction) × 12

3. Sales & Revenue Uplift

This is calculated by estimating the increase in deal closures due to AI-driven efficiencies in the sales funnel.

Uplift = (Monthly Leads × Conversion Uplift %) × (Avg Deal Size) × 12

4. Payback Period

This metric determines how quickly you can expect to recover your initial investment. It’s calculated by dividing the upfront implementation costs by the net monthly benefit.

Payback (Months) = Total Investment / (Annual Benefits / 12)

5. Net ROI

Net Return on Investment is calculated over a three-year period to provide a comprehensive view of the long-term value, accounting for both benefits and costs.

Net ROI % = ((Total 3-Year Benefits - Total Investment) / Total Investment) × 100

Assumptions & Data Sources

Where specific data is not provided, the calculator uses conservative, industry-benchmarked data for metrics like average handle times, adoption rates, and efficiency gains. These are based on our experience and publicly available market research. The defaults are adjusted based on the company size and industry you select to provide a more relevant starting point.

For a more detailed, personalized breakdown of this methodology as it applies to your specific business case, we encourage you to speak with one of our AI strategy experts.