Accelerating revenue growth is a crucial objective to a business’s success. However, with the explosion of technology, more tools, teams, and touchpoints are involved in the process than ever before. While these components assist businesses in critical activities such as monitoring and forecasting, they have also led to an increase in siloed functions, creating obstacles to reaching revenue goals.
The pandemic certainly didn’t help the situation. Team members had reduced communications with their respective work groups, further encouraging siloed functions. Researchers confirm that digital communications cannot replace in-person interactions. Gone were the water cooler conversations that may have led to brainstorming ideas for process improvements and revenue growth.
RevOps, or Revenue Operations, eliminates many issues by breaking down silos responsible for communication and collaboration failures, financial and operational redundancies, and other inefficiencies. The siloed approach is also responsible for low morale, negatively impacting workflows, and adversely affecting customer service. RevOps brings data and teams together to work towards the goal of increasing revenue efficiently.
Related: What is Revenue Operations?
The Rise of RevOps
The continuous deployment of marketing applications drives the need to measure success with large amounts of data. This need for data encourages marketing personnel to use even more apps for processes such as campaign and event management, analytics, and lead management. However, this only perpetuates the problem by causing more disconnects between departments that must work collectively toward revenue growth.
By balancing sales, marketing, account management, and finance, teams can collaborate and communicate more effectively. RevOps makes it easier for businesses to collect and analyze data from multiple sources to gain insights into their operations and improve performance. Many industries are adopting RevOps strategies to interconnect sales, marketing, operations, and customer success, a crucial approach in today’s economy.
Tell-Tale Signs That Companies Need RevOps
Businesses experiencing growth stagnation are turning to RevOps to increase revenue and operational efficiency. Consider your organization and whether you’re experiencing any of these signs it may be time to transition to RevOps.
- Sales and marketing departments need help communicating efficiently and cannot mutually agree on solutions. Collaboration between these functions is crucial to business growth.
- The need to adapt to market changes from new products or services and need increased team support.
- A desire for greater collaboration between departments to facilitate business growth.
- Lack of an established sales process.
- A need to improve the customer experience.
Benefits of a RevOps Approach
Many industries are adopting the RevOps approach due to its many benefits:
- Improved collaboration and alignment between departments, with sales, marketing, and customer success teams working together to deploy the right resources to meet goals. This action can drive up to 36% of the company’s growth.
- Increased predictability in business performance
- Greater focus on the customer and KPIs, alleviating operational and technical responsibilities from other departments
- Marketing, sales, and customer success operations tasks are simplified, enabling the departments to work more efficiently.
Recent studies have shown that 21% of companies that establish a RevOps approach see increased productivity, with an additional 13% experiencing increased revenue growth.
Industries Realizing the Greatest Impacts Of RevOps
From Software as a Service (SaaS) to eCommerce and brick-and-mortar retail, the RevOps movement is driven by the goal of meeting customers’ needs and expectations more efficiently. The impact of RevOps is most visible in manufacturing, financial services, and software, where businesses are shifting their resources to drive more sales and realize higher profits.
By integrating revenue operations with traditional operational approaches, manufacturers create a seamless customer experience that simplifies the ordering process, increases automation, and reduces costs. By leveraging data to optimize every step in the production process, from design to delivery, manufacturing companies are boosting their bottom line while providing better service.
Manufacturers leverage RevOps to enhance existing marketing strategies, build customer journeys and lifestyles, boost efficiency with automation tools and personnel, improve collaboration with customer service departments, and use data analytics for better insights. Bringing sales, marketing, customer success, and finance departments together allows manufacturers to have a single data source.
With RevOps, modern manufacturers can build a better future by optimizing their processes and maximizing the profits of their products.
Companies in the financial sector are also adopting the RevOps model to drive results and achieve efficient workflows. The deployment of RevOps is advantageous to the financial services industry as they face fierce competition with emerging FinTech companies.
Real-time data collection and analysis is crucial to the financial services industry, and a RevOps approach makes it possible to evaluate and fine-tune these processes continuously. By integrating CRM tools, financial analysis, and forecasting into their operations, companies can tightly manage revenue streams and create more accurate projections for the future. With the powerful combination of CRM solutions, financial analysis capabilities, and forecasting software, RevOps is helping create a new generation of financial services that ensure sustainable growth and profitability.
Software companies also recognize the importance of RevOps to optimize their revenue and cost operations. While they historically relied on strong technical teams and product-focused functions, they increasingly see the need for collaboration amongst sales, marketing, customer success, analytics, and technology to maximize returns.
Software as a Service (SaaS) providers are benefiting substantially from RevOps. They report 100-200% increases in digital marketing ROI, 10-20% increases in sales productivity, 10% increases in lead acceptance, 15-20% increases in internal customer satisfaction, and a 30% decrease in Go to Market (GTM) expenses.
SaaS companies that provide cloud-based software for a subscription must stay on top of their revenues to enable growth, profitability, and scalability. They must also continue to provide exceptional service to current customers while attracting new business.
Why RevOps is Essential to Success
RevOps is essential for any organization that wants to manage global operations and scale revenue successfully. Businesses can gain greater insight into their customers and use data to measure and optimize their strategies, leading to more efficient operations and greater revenue. With RevOps, organizations can iterate quickly on their approach throughout the entire sales process, driving healthy profits and making them sustainable in uncertain markets.
At the heart of the RevOps strategy is the alignment of sales and marketing teams. By sharing their knowledge, expertise, and data, both teams working together can create effective strategies that will result in revenue growth.
The Future of RevOps
As it becomes increasingly evident that the siloed teams approach is inefficient, more companies are embracing new ways of working. The increased focus on meeting customer demand to help increase revenue will continue to fuel the RevOps movement across every industry. The rise of digital transformation is also driving this trend. By 2025, Gartner predicts that 75% of the highest-growth companies worldwide will deploy a RevOps model.
Some possible trends and developments in the coming years include the increasing adoption of RevOps tools and technologies, more sophisticated analytics capabilities for tracking performance and ROI, and a greater focus on collaboration between departments and teams. Ultimately, as businesses continue to move towards a more agile and data-driven approach to operations, it’s clear that RevOps will continue to grow in importance and impact.With an accurate understanding of your company’s revenue and growth trends, making informed decisions about where to allocate resources and how to grow the business can be more manageable. Vertify is the solution for automating your RevOps processes. We make it easy to consolidate your work, tools, and data in one place, so you can save time and improve your team’s performance. Contact us to request a demo today.