Knowing the sources of revenue streams for your department is one thing. But to understand how your team contributes to the overall revenue flow of the organization, there should be a holistic picture of the organization-wide revenue engine. And it must be accessible to the marketing, sales, and customer success teams as they are directly and passively responsible for generating new revenue opportunities.
The idea of consolidating revenue sources originated from the concept of establishing revenue operations (RevOps).
RevOps encourages building a transparent dashboard to track each revenue source and its contribution to an organization’s overall revenue. For example, if your business is standing at $50K MRR, RevOps will help you break down how different initiatives like paid ads, organic channels, sales outreach, and others contribute to generating this revenue.
The concept of revenue operations is tempting. However, setting up revenue operations from scratch is not for the faint-hearted. From integrating multiple revenue sources to building a dedicated RevOps team, the process can be exhaustive.
This blog post will list the basics of setting up your RevOps strategy to get you started.
5 Basic Factors to Set up B2B RevOps Strategy
Here are the five essential aspects of setting up your revenue operations strategy from scratch:
Invest in data integrations and automation
You must integrate the right sources to see how revenue data flows from one source to another. Integrate your customer relationship management (CRM) tool with data sources like sales and prospecting, marketing analytics, social media, etc., to monitor department-specific revenue metrics.
Invest in automation tools that simplify revenue workflows, automate repetitive RevOps activities, and streamline data sharing across channels.
Setting realistic goals for your RevOps initiative
In the initial stages of your RevOps strategy execution, setting practical goals is very important. Instead of setting complex, organization-wide goals, set department-specific revenue goals. For example, if your goal is to generate $30K MRR, break that down to the marketing, sales, and customer success teams’ involvement. Now, set specific goals for each of these teams that contribute to the overall revenue goal. This way, all teams will have visibility over their end goals while they focus on fulfilling their individual targets.
Provide RevOps training to all three teams
If you are building revenue operations from scratch in your organization, you must arrange training for each team. For example, sales teams should be trained in new sales techniques and product knowledge so they can close more deals.
Marketing and demand generation teams should be trained in lead nurturing and scoring processes. This will help them add more high-intent leads to the revenue pipeline.
Customer success teams should be trained to seamlessly onboard new users and provide them with dedicated support. This will help them retain new users and develop a loyal customer base that contributes to the overall pipeline.
Hire a dedicated revenue operations leader
A dedicated leader with prior experience in setting up revenue operation functions should be responsible for managing your RevOps team better. If the person is a marketing generalist with strong control over marketing, sales, and customer success operations, a RevOps leader should not only streamline collaboration between different teams but also identify critical gaps in the current revenue pipeline that require attention.
Review and re-iterate your RevOps strategy
Finally, know that there’s no one-size-fits-all model in RevOps. You must test different strategies, analyze their impacts on your revenue goals, and iterate based on acquired insights. Make data the foundation of your revenue operations strategy.
Setting up your RevOps
NorthMetric is your growth partner, helping B2B companies from strategizing to operationalizing to scaling their RevOps tech stacks.
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