Words / M / Business

magic number

noun/ˈmædʒɪk ˈnʌmbə/

B2CEFR level
40/100Rarity: uncommon
TechnicalRegister

A SaaS efficiency metric dividing new recurring revenue by the prior period's sales-and-marketing spend.

A magic number below 0.75 says we're burning too much to buy each dollar of growth.

Similar: sales efficiency ratio

Topic: Sales in Business English

Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.

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More business words: Sales