In talking with people, it has come up that there is not a major understanding of what revenue operations is or what it entails. This week’s blog will focus on those exact items. The aspects of revenue operations, and the departments within a company that impact revenue operations. Firstly, every company that is presently operating, especially with a major sales and product focus should be in the know when it comes to revenue operations. Being that it is a new shift in focus for companies, it makes sense that there is still some ambiguity when it comes to revenue operations.
Revenue generation has always been at the forefront of companies. Primarily companies tend to rely solely on their sales and marketing teams to generate revenue. Other departments have played a small role in the revenue generation process in the past. What if all your company’s departments put that thought at the front of their minds? What if the customer journey was the focus? It would feel a lot different than it currently does. Not just for your company, but for the people that your company interacts with. This is where the transformation in the software sales industry is happening specifically. The departments involved in revenue operations are marketing, sales, customer success, and renewals. These revenue operations efforts and departments are typically headed up by a Chief Revenue Officer or Director of Revenue operations. Together these departments are working to streamline not just company mindset, but customer experience, and all of the process involved with onboarding and retaining customers.
The shift to revenue operations is due in most part to the way customers purchase products. Customers are doing research well before purchasing a product well before a salesperson reaches out. With customers being more attentive to the buying process businesses are now in need of doing the same. That is not to say that companies were not paying attention to this in the past. It is just that for the most there were not any proactive efforts to cultivate these processes. With a more unified and laser focused approach customers are seeing much more success than ever before. A major reason for this success is streamlined team functions. Meaning that teams are no longer using siloed and separate practices and systems. In the past departments had little insight to tools used by other teams within the same company. This led to wasted time, finger pointing, and an overall lack of customer focus.
The biggest benefits of revenue operations are increased marketing return on investment, increases in lead acceptance, increased customer satisfaction ratings, and reductions in expenses involved with sales and onboarding processes. More companies are going to transition to revenue operations for these reasons. If you or your company are not aware of the practices of revenue operations, stay tuned for next weeks “best practices” blog. Where we will highlight how to best implement and strategize your revenue operations process.