Mary Kate Eddy
Last year, LinkedIn did a study that found job titles with ‘revenue’ in them spiked up to 87 percent last year. Over the last four decades, marketing has evolved faster than any other industry and now, marketing is experiencing a shift again. Marketing has evolved from creators of brand and art to working deeper into the operations side of businesses.
For many years, there was no communication between sales and operations. With technology, marketing was able to realign and find a new connection. Revenue operations seeks to connect all the dots among technology. It’s important to understand how technology will produce more leads, generate a higher close rate, and continue with upsell and cross-sell opportunities. Multiple departments may have multiple goals with different objectives, and revenue operations will apply a new operational framework to outline how they should be performing. Without this alignment, marketing teams end up having to work harder than they need to.
One cost we see is that 50 percent of sales time is wasted on poor prospects and bad leads, and 65 percent of CMOs can’t measure ROI of marketing activities across multiple channels. Many times, customers mask their value and hide from salespeople because they aren’t ready to talk to them yet. The result of this is poor lead quality. Revenue operations solves this problem by aligning marketing and sales. A lot of times it’s easier to hire a third-party firm to focus on the areas of current operations, enablement opportunities, future toolsets, and areas where you can make more and spend less. Revenue operations only work if there is an internal team left behind after that third-party revenue operations team departs.
With Revenue operations, small-to-middle sized businesses can also elevate their revenues. Data shows that large companies get a 10 percent lift, and small companies can get about a 20 percent lift in annual growth rate by implementing all the pieces. .
To learn more about Revenue Operations, check out the podcast series here.