Revenue Operations is a rapidly growing job in the US, but it is not well-defined. It is a conflation of various roles such as Sales Operations, Sales Enablement, Marketing Operations, Customer Analytics, and Training and Development.
At its core, Revenue Operations unifies operations, systems, and data to generate scalable growth in a digital, data-driven, and technology-enabled environment. This is crucial for businesses as customer data, digital selling infrastructure, and brands are their most valuable financial assets.
Why Organizations Have Changed Their Way of Aligning Revenue Teams and Operations?
In today’s business landscape, relying on traditional marketing, sales, and customer service functions is like driving an expensive racing car with only two cylinders firing. Customers don’t want to be passed around disconnected teams, while investors don’t want high selling costs and leaky revenue forecasts. That’s why most organizations are changing the way they align revenue teams and operations.
The lines between functional teams are blurring, and data systems are becoming increasingly connected. Moreover, sales transaction has also changed as businesses move towards selling consumable services and subscriptions.
5 Disciplines that Drive the Evolution of Revenue Operations
As companies strive to better manage the end-to-end revenue cycle, a new breed of operations leader has emerged–the Revenue Operations professional. These individuals are tasked with aligning sales, marketing, and service teams, while also managing the operations, systems, data, and processes that support revenue growth.
The role is constantly evolving, with organizations consolidating functions and expanding the scope of existing operations leaders. Despite the evolving job titles and specifics of the role, Revenue Operations draws from five core disciplines that can maximize return on growth assets and accelerate revenues.
1. Commercial Enablement
This involves developing and retaining front-line revenue teams to maximize their contribution to expanding customer lifetime value at every stage of the revenue cycle. The job also requires coordinating and aligning sales and marketing systems, including automation, CRM software, sales engagement, and customer success platforms.
Many organizations are simplifying seller workflows, improving engagement quality, and reducing administrative costs by reconfiguring their commercial enablement technology investments.
2. Commercial Operations
Commercial Operations align systems and processes to support revenue teams and enable growth programs. Marketing and sales operations will inevitably consolidate into RevOps functions to support overall revenue operations holistically, according to industry experts.
3. Commercial Insights
This involves using analytics to turn customer engagement data into insights that inform selling decisions and optimize the allocation of resources. To achieve this, organizations need to centralize data from multiple sources and work more cross-functionally across different operations that support the revenue cycle.
4. Commercial Asset Management
Commercial monetization involves managing commercial technology, data, and digital selling channel assets for maximum utilization and revenue impact. Organizations have over 25 tools and services spread over various departments, with an expected investment of over $10,000 per seller at high-growth organizations.
5. Commercial Architecture
This involves redesigning and optimizing the commercial architecture to improve the productivity, visibility, and engagement of front-line sellers while reducing costs. By using advanced analytics to challenge long-standing assumptions about sales force roles, workloads, and engagement, companies can potentially double the performance of their sales teams.
Revenue Operations is an evolving field that unifies operations, systems, and data to drive scalable growth in today’s digital business environment. By drawing on the 5 core disciplines, businesses can align revenue teams and operations to maximize their return on growth assets and accelerate revenues.