Three Strategies Rev Ops Can Use To Grow Key Accounts
The Role of Revenue Operations in Growing The Business
Revenue operations professionals play a pivotal role in connecting the dots in an organization, between people, processes, strategy, reporting, and more. They analyze critical data and metrics to identify areas for improvement and implement strategies that drive revenue growth from pre-purchase through the expansion of customer accounts. Rev Ops professionals collaborate with cross-functional teams to ensure effective implementation and alignment.
Jeff Ignacio, the leader of go-to-market operations enablement and growth at Regrow AG, highlighted the broad scope of Rev Ops. He emphasized that revenue operations is not just about maximizing revenue; it also considers factors such as customer acquisition cost (CAC) and overall customer experience. It could be in the deal room and working on pricing, bringing in the product team to help address shortfalls, and talk through the roadmap in order to enter a new segment (upmarket).
Rev Ops teams facilitate successful outcomes across various business functions by focusing on these numbers and driving strategic direction in order to keep all of the teams on track. In 2023, winning new business has become more expensive, is taking longer, and has been less lucrative (smaller deal sizes) than in previous years. If sales teams are going to hit numbers, Revenue & Sales Operations teams will have to play a bigger role in guiding reps to the right accounts and the right people in order to drive revenue efficiently and consistently.
Building the Foundation for Successful Go-To-Market Programs
To establish a successful go-to-market program, organizations must first lay a strong foundation. This involves having a clear understanding of the Ideal Customer Profile (ICP), personas, Total Addressable Market (TAM), Serviceable Addressable Market (SAM), and Serviceable Obtainable Market (SOM). You can argue it also requires clean data, historical metrics and reporting to compare against, along with an understanding of where you win and why you win.
Right-sizing the organization by aligning marketing and sales roles and responsibilities is crucial. Jeff and the team talked through ways they help sales managers and leaders understand where they’re most likely to win. Whether it’s win reports and breaking that down by title, seniority, or function; Or looking at the firmographic details to help guide targeting & segmentation, (Ops) should be involved! Are certain industries taking longer to close? Does the team see specific stakeholders involved in deals they’re winning more? Equally as important, are the same types of people leading the charge when deals are lost? If so, what sort of messaging is being used during sales calls? What types of collateral are they engaging with? Building a more effective GTM motion is reliant on having a firm understanding of these details.
Additionally, organizations need to establish marketing budgets and determine the expected return on investment. Aligning sales capacity with revenue goals and considering ratios, such as the number of Sales Development Representatives (SDRs) per Account Executive (AE), ensures efficient resource allocation. Overlaying plans with the revenue operating model helps benchmark and track conversion rates effectively. Stephen and Jeff broke down how organizations may use a top-down or bottom-up approach to forecasting the expected results and the resources needed to achieve them.
The Importance of Rev Ops in A Sales-Led Strategy
Segmentation plays a vital role in optimizing sales and marketing efforts. Jeff Ignacio and Jack Gallo highlighted the significance of targeting top-level executives and mid-level managers as potential champions for a product or service. They stressed the importance of combining cold outreach and inbound marketing strategies for successful lead generation.
Determining a tolerable customer acquisition cost (CAC) and segmenting the target market accordingly is essential. Organizations should allocate resources strategically, considering the potential upside and value delivered to each account. Rather than solely focusing on employee size or revenue, the focus should be on potential value and broader account potential.
Leveraging Technology in Revenue Operations
Technology is a key component of revenue operations and plays a crucial role in optimizing processes, automating tasks, and making data accessible. The panelists emphasized the importance of carefully selecting technology that aligns with budget and administrative capabilities. Integrating systems such as accounting and project management provides valuable insights and streamlines operations.
Automation, integration, and validation were highlighted as important factors when choosing technologies. Automating processes saves time and improves efficiency, while integration with other systems ensures consistency. Providing a simplified user experience, minimizing data entry for sales representatives, and considering end-user experience are key factors when selecting technologies.
Embracing Adaptability and Continuous Improvement
The conversation touched on the importance of being nimble and adaptive in the go-to-market strategy. Stephen Lowisz shared his experience of starting Selling Revolution from scratch and highlighted the role of revenue optimization (Rev Ops) in driving growth. Jeff Ignacio emphasized the need to regularly review and adjust sales and marketing strategies based on data and insights.
Jack Gallo reiterated the importance of continuously analyzing and optimizing revenue operations processes and strategies to stay ahead in a rapidly evolving business environment. The panelists collectively emphasized the need for collaboration, continuous improvement, and customer-centricity as fundamental principles in revenue operations.
Conclusion
In today’s dynamic business landscape, revenue operations (Rev Ops) is a critical function that drives business growth. By optimizing operations, aligning departments, and implementing scalable strategies, revenue operations professionals play a key role in maximizing revenue and ensuring overall organizational success. As organizations continue to evolve and adapt, implementing effective revenue operations strategies will be vital for sustainable growth in the long term.