This is an excerpt from our Annual Revenue Operations Report 2022-2023. To download your free copy of our whitepaper, visit our resources page.
Revenue Operations (RevOps) is a business methodology focused on scaling revenue through the alignment of people data and processes across all departments which impact the customer's experience.
According to Lowe (2021), the role of revenue operations is to deliver visibility across the entire revenue team, improve efficiency across the revenue process, drive revenue predictability, and achieve revenue growth.
People
Revenue Operations connects traditionally siloed teams (like Sales, Marketing, Support, CX) to create a harmonious union that optimises every prospect and customer interaction.
Data
Revenue Operations focused on reducing data silos, so that every team has the data insights that they need to make better business decisions.
Processes
Revenue Operations aligns processes throughout the customer lifecycle, reducing waste while optimising the customer experience.
“At HubSpot, our mantra is ‘Alignment eats Strategy for breakfast’.” Erik Swenson, Snr Director of Sales Ops & RevOps - HubSpot
Goals of Revenue Operations
Revenue Operations works to align people, processes, and data across the entire customer lifecycle. Instead of siloed teams working towards departmental goals, Revenue operations seeks to:
- Align teams under a single set of revenue metrics
- Streamline technology and tools to unlock insightful data
- Leverage data insights to improve processes across all departments (Processes)
While the goals and tactics of a revenue operations vary depending on each company’s objectives, here are some of the key metrics that measure revenue operations' success:
Annual Recurring Revenue Customer Lifetime Value Customer Turnover Rate Sales Cycle Time Win Rate
Revenue Operations should support the centralisation of data for all teams, processes, and people in a way which supports revenue growth.
Who does Revenue Operations benefit?
Revenue Operations benefits everyone in the organisation, from department heads to entry-level new hires. RevOps Automated interviewed leaders in different areas to understand the key benefits that they have experienced.
Directors
Benefit from the transparency and accuracy of Revenue performance data across marketing, sales, and customer success. With better data insights, directors are able to predict future revenue performance.
Accurate revenue attribution reporting also allows for directors to gain insights into where the organisation is performing well, as well as areas for improvement.
Marketing
Benefit from accurate attribution of revenue to their efforts. With a centralised system, tracking the customer journey across all touchpoints allows marketing - who traditionally did not receive credit for sales - to get a percentage of the deal.
With improved transparency of customer data, marketing can gain more insights into the customers interactions with sales and customer success, so that they are able to design and deliver contextually relevant marketing campaigns.
Sales
Benefit from Revenue Operations when aligned successfully with marketing and customer success. With marketing focusing on serving leads who are more likely to close, sales teams can save time focusing on qualified leads.
Revenue Operations technology focuses on streamlining the quote to cash processes. CRM automation systems ensure that sales teams are spending less time on administrative tasks - giving them more time to sell.
Customer Success
Benefit from centrally held information about the customer. The customer success team is able to better understand the customer needs for better onboarding, which gets the customer off on the right foot.
With effective tracking of upsells and cross-sell revenue, customer success teams are able to evidence the impact that they have on the overall revenue growth.
Finance
Benefit from revenue operations through online payment systems that are integrated with accounting software used on Revenue Operations can streamline the reconciliation process.
By integrating accounting system events into the centralised customer relationship management system, accounts teams are able to automate invoices to the sales teams.
Product
Benefit from Revenue Operations through SaaS and app integration with a centralized CRM like HubSpot. Product owners can communicate the progress of individual users automatically to marketing and sales. Such alignment of data is impactful in the B2B space.
Visit our resources page to download the full whitepaper, or get in touch for one-to-one advice from one of our revenue operations specialists.