I’m thinking of a new metric that is specific for MENA companies.
Home vs Away Revenue, or HAR for short.
This metric would show how much revenue is from your home country vs other countries.
In the US which is a large enough market this is not important. But in our fragmented market of MENA it tells us about how scalable your business is and the ability of your product to penetrate other markets.
Usually we start with a low number and as a startups gets better this number should increase.
And thus increase the GDP of country of origin.
For example if a SaaS startup is based in Oman
And they have $1m of revenue from the local market and $500k from neighboring countries the number would be
500,000/1,000,000 = 0.5
And an adequate number is over 1.0
That means more people adopt your product without the influence of affiliation and familiarity.
I would love some examples of figures from startups in the region. If you don’t feel comfortable to share here send me a DM.
This will help once more startups start listing on public markets. And I would be willing to buy that stock as it’s more stable and intrinsically scalable.