The Top Growing Title in Sales- Revenue Operations
The new buzz word in the sales and tech world- Revenue Operations (RevOps). RevOps is the solution to the problem-silos in operation departments. With RevOps, a team is created to serve revenue generating departments within the company.
Revenue Operations can be thought of as an operating model for achieving:
- Visibility and alignment within the company
- Efficient and predictable revenue sources
- Revenue Growth and Go-to-Market
The use of RevOps teams and functions creates a mindset shift. Revenue is now a result of sales, marketing and service departments all working together as one team- focused on growth. Before RevOps, revenue was thought to be a direct result of a service or product being offered.
The Rise of RevOps
RevenueOperations is a fast growing job title across the sales and marketing world. If you search revenue operation jobs on LinkedIn, you will find over 27,000 postings.
What is causing the rise of RevOps? For starters, customers have changed the way that they purchase products. This changes the way that sales and marketing teams must approach prospects. Customers expect to experience a seamless journey when they are buying a product or service. Customers want their data, needs, conversation and engagement history with a company easily accessible for the sales or customer success team.
Companies are starting to think about revenue processes differently. There is a desire for transparency, accountability, and predictability in all aspects of a company.
Data reported by LeanData found that at least 57% of companies plan to implement revenue operation strategies in the future.
Why is RevOps Important?
Findings show that consistent revenue growth is a challenge for a majority of companies. Revenue Operations was created to follow a prospect along the full sales cycle- from marketing (engaging the prospect) to sales (closing deals), and then customer satisfaction (renewal and upsell). The traditional sales and marketing funnel is changing. With RevOps, teams now share tools and data sources to promote growth. Data and insights from a customer’s purchasing journey is key to revenue growth.
In today’s buying world, companies need to make informed decisions. Using a RevOps framework can help do just that. Companies who are adopting revenue operations are seeing growth across the board.
What Are The Benefits of RevOps?
Revenue Operations has numerous benefits for companies who implement all or some aspects of the framework.
- A company will have shared operational objectives and priorities
- A company will be aligned on measurements to track growth
- A company will invest in technology that works and enables growth
- A company will improve their operational and administrative process
Again, RevOps helps to eliminate silos within a company. Operation teams should have shared goals, objectives, and priorities to operate in the best interest of the company- promoting revenue growth. Research completed at Forrester has found that more alignment leads to greater success within companies. Revenue operations enables this kind of alignment to be possible.
Revenue Operations is all about numbers. Below are a few key metrics that are central to RevOps:
- The time it takes from beginning to closing a deal
- The percentage of opportunities that are converted into deals
- The total cost of gaining a new customer
- The amount of revenue that comes from upsells and renewals
- How fast leads move along each stage of your pipeline
- Forecast accuracy
Key Signs a Company Needs RevOps
- The company is not transparent - silos exist
- The targets across teams are not aligned - different growth goals and paths to get there
- Key business metrics do not add up - data is inaccurate
- Data and priorities are not aligned- causing mistrust and fingers being pointed within the company
- Manual tasks are not being automated where they could be
The signs that a company could benefit from revenue operations might be there- but there are still challenges to making this framework shift. The biggest challenges that companies face include; resources, data that is inconsistent, and internal systems that are disconnected.
Assess, Align, Assign- Getting Started with RevOps
Are you ready to produce the best customer journey, lower the cost to acquire customers, and create predictable revenue and growth? Follow these five steps below:
1. You need to gather all and any data related to revenue, put this in one place. Complete an audit of your company- review your customer journey and find gaps.
2. You need to bring every system used into one platform like a CRM - Salesforce is great for this. Define the goals of your company and align departments on these.
3. You need to start automating tasks that CAN be automated. Spend less time on manual tasks and focus on tasks thats will contribute to overall company growth.
4. You need to start building new systems and processes to move forward ,towards growth. Create inbound and outbound email campaigns, create a RevOps dashboard to show benchmarks and goals, refresh your GTM plan and strategy, build workflows to report accurate data.
5. You need to further understand customer behaviors , studying data to grow revenue. You can use data to find leads, foster opportunities, and plan for the best next step.