Revenue operations, or RevOps, is transforming the way businesses look at their revenue generation. We walk you through what revenue operations is and how to know if it’s right for your company.
Just take a look at LinkedIn. It’s clear to see how revenue operations has grown. There’s been a huge surge in job titles related to RevOps and it’s showing no sign of slowing down.
Revenue operations, or RevOps, is a strategy used to get your sales, marketing and customer success teams working in tandem. RevOps creates streamlined processes, identifies common metrics and allows teams to use the same tools to allow focus on revenue generation.
There are three key areas to focus on aligning; people, data and processes:
Let’s use a fictitious company as an example. Company A has a marketing team, a sales team and a customer success team.
The marketing team works to drive leads for the sales team. The sales team tries to convert those leads into sales. Once converted, they’re passed to the customer success team.
As such, each team has different metrics and targets to work towards.
For marketing, it’s leads. Driving a large volume of leads might be a tick for marketing, but what does it mean for sales?
What if the leads being produced are low quality? That means the sales team are wasting precious time on leads that won’t ever convert.
Meanwhile, when a sales team converts a lead, it’s passed to customer success. But how do those teams work together to drive more revenue from that customer? In reality, they don’t work together at all.
Sales could end up closing poor fit clients who end up churning quickly. So, ensuring the right fit of lead at every stage is vital.
Revenue operations allows you to align your team around a single view and give them one key target to achieve together.
Data is an important commodity for any business. But for Company A’s marketing, sales and success team, they all look at different data and see a huge data disconnect across the customer journey.
Let’s break it down.
Marketing drive leads. We know this. But how can they know what they’re doing is driving leads?
They might be able to track conversions, like form fills, phone calls etc. But, while you see one new conversion, you don’t know what lead that relates to. And, you don’t know where they came from. Was it from a PPC campaign? From an email marketing send? Maybe from social media?
Leads are thrown over the wall to sales. And they get little data too. Without a lead source, they can’t tailor their sales messaging. But the problems don’t end there.
When a lead converts into revenue, marketing gets no oversight of what their efforts have achieved. And without attribution, they couldn’t see revenue placed against individual leads anyway.
With all of these individual metrics and teams, it’s no surprise that processes are an issue too.
How do marketing pass leads to sales? And how do sales pass new customers to customer success? Communication is key. But when you have large teams, and large volumes of leads and customers, it can be tricky to keep track.
Revenue operations allows you to streamline your processes and ensure your teams are working as one.
This can be done as simply as having combined meetings, using shared tools to manage workloads or by integrating cadences across teams.
Without a RevOps team and system in place, common pain points tend to crop up. If any of the following issues sound familiar, then you probably need revenue operations:
This is a typical problem for teams working without RevOps. This strategy allows you to consolidate your tools under one team. It means less wasted budget on tools for different teams that are essentially doing the same job and means better, shared data.
Do you hear complaints from sales that they aren’t getting enough leads? Or complaints from marketing that leads aren’t being picked up? Pushing leads through the pipeline shouldn’t be this difficult. Revenue operations ensures everyone knows who’s working on what, and that data is given to the right people, at the right time.
This is a common issue for teams who don’t need revenue operations too. Do you struggle to understand what’s driving leads, or even more crucially, what’s driving revenue?
Revenue operations, combined with marketing attribution, allows your teams to unlock the data they need and fire it to where they need it most.
Now we’ve gone through all the issues and pain points of revenue operations, the benefits should be pretty clear. For one, it’s one less headache for those trying to align marketing, sales and success teams. Here are few other benefits you can get from RevOps:
Is this not what your marketing, sales and success teams should all be striving for? Without revenue operations, it’s hard to optimise for revenue.
The data disconnect, missed metrics and siloed teams makes it hard to understand where your customers are coming from.
Marketing attribution tools allow you to break this disconnect. Then, your teams will be able to optimise their processes and outputs to drive more revenue.
It’s critical to be able to predict your business growth and revenue income. It allows you to confidently invest your budget as you can understand what’s working and what isn’t. RevOps brings this predictability to your growth through accurate and consistent measurements.
When your teams are working harmoniously to the same goals, the impact on your customers is going to be great. Strong teamwork means your teams will be more attuned to their customers’ needs.
And happy customers are a great indicator of strong customer outcomes. Customer outcomes are the successes your customers see by using your product or service. Impact that and you can be sure to increase business.
Ok, so now you know you need revenue operations. But how do you go about getting started with RevOps?
It can be quite a big transition for teams. But done right, it can make a huge difference to your business outcomes.
Here are a few ways to get started:
Close the data disconnect with marketing attribution. Ruler Analytics helps marketers, sales teams and customer success get oversight of their leads and their customers.
By viewing your full customer journeys, their touchpoints and their conversions, you’ll be able to work off the same hymn sheet.
More often than not, sales and marketing teams are pitted against one another. By aligning your goals and incentives, teams are much more likely to work together.
Combine your meetings so that all teams get visibility of work across each stage of the customer lifecycle.
Traditionally, there can be animosity between teams as they strive to achieve their own goals. Aligning goals will allow for a reduction in this. But, it can be diminished even further by promoting credibility within teams.
Remember, you’ve hired your marketing, sales, or success colleagues for a reason. Allow them to manage their campaigns and outputs. With better data, you can better understand what’s working and make changes to drive growth.
Once the results come in, share them among the team. And credit teams when they deserve it! It’ll show the rest of your team you’re working together.
Revenue operations have been growing in popularity but it’s not easy to get right. Hopefully this guide goes some way to help you understand if your business needs RevOps and how to implement it.
Stay ahead of the curve and optimise your processes using real data. By working together, who knows what your business is capable of achieving.
Don’t forget to check out some of our related blogs. We write about a whole wealth of topics from attribution and reporting, to PPC, social and marketing trends.