It’s no secret that revenue growth and protection is not only the biggest priority, but also the greatest challenge for many tech businesses today. As economic uncertainty looms in the background, organizations are seeking ways to drive revenue growth in the most efficient, cost-effective way. Which is why adoption of the RevOps model is now more important than ever.
First off, what exactly is RevOps? According to Gartner, Revenue Operations (RevOps) is the operating model for driving efficient, predictable revenue. It helps break down organizational silos and offers greater cross-functional alignment amongst sales, marketing, finance, customer success, and service/support teams. If done right, the RevOps model can help boost operational productivity and influence the profitability of the business.
Why RevOps...now?
If we take a look at the tech industry over the last decade, not only have we seen an evolution in the products/services sold, but also how customers want to consume that technology. Yet alarmingly, far too many technology businesses (vendors, distributors, resellers, MSPs) are still relying on legacy systems and processes developed in the 20th century to help manage today’s market. Each department/function might be doing its best to try to adapt and modernize – but all too often it is done in isolation.
RevOps offers the potential to align data, processes and systems, and by doing so, offer strategic and operational benefits.
The shift has already started to occur. By 2025, 75%1 of high growth tech companies in the world are expected to deploy the revenue operations (RevOps) model. In addition, the CRO (Chief Revenue Officer) position is expected to become commonplace within technology companies, according to TSIA2.
Essentials for RevOps success
So what are some of the key ingredients for RevOps success? Here are the top two.
1- Ability to integrate systems and share data.
By consolidating data silos amongst different departments and creating a single source of truth, your team will be empowered with greater insights and intelligence about your customers and your business. This can be achieved by reducing the number of disparate systems used, integrating as much as possible and leveraging an all-encompassing platform that can help bring everything together – that’s all of your customer, product, partner, sales and billing data.
Notice I added partner data? This is a critical piece of the puzzle that can be a major headache for tech vendors with an indirect channel. What’s the best way to fold in the data coming in from your partners? How can this be achieved in an automated, streamlined fashion? Your standard CRM or ERP isn’t going to be able to do this for you without requiring hours of manual data entry and manipulation.
2- Commitment to the customer lifecycle.
The customer must sit at the core of your framework. The goal is to support and improve the entire customer lifecycle journey, from the initial enquiry and net-new sale, right through to expansion, renewal and end of life or service (EOS/EOL). Taking this approach will help kerb churn and make it much easier to find opportunities to grow customer lifetime value (CLV). But, simply keeping the customer as your number one priority isn’t enough. You need automation and seamless workflows built throughout to truly make a difference.
In addition to the revenue benefits, enabling smoother workflows and exchanging of data between different departments will help you deliver a superior customer experience and boost staff productivity at the same time. Having marketing, sales, customer success, support, finance and even your partners all understand where the customer is at, what they need and anticipate what must be done next is priceless.
Final words
It’s clear that the RevOps model has immense potential to reduce organizational complexities and impact revenue performance. For those of you still at the start of this journey, it may seem overwhelming to embark on a complete overhaul of your systems, data and processes. So, I recommend starting with smaller changes and wins first, and then gradually expanding. And of course, once you deploy iasset, you will be well on your way to achieving revenue growth, lower churn and significant cost savings!
1 Gartner research
2 TSIA report – State of the CRO 2023.
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