The Next Big Thing: Revenue Enablement
Sales Enablement was designed to align the marketing and sales team, improve sales productivity, and increase revenue for the business. It never delivered. Sales Enablement is missing many critical pieces and never fully aligned Sales and Marketing to focus on the same outcomes.
The idea was to align content along the customer journey, making content essential for sales and marketing. The perfect content and delivered at the right time is important--but there's a lot more to the sales success formula. But let's not dwell on the past--since the future is very bright.
We're watching the growth of the Chief Revenue Officer [CRO] right before our eyes. An increasing number of companies realize that you would like teams to work together in the event, place them under one executive. It makes excellent sense. However, for years [decades ], advertising and sales teams have worked in silos misaligned on tactical and strategic goals and objectives. Things are changing rapidly. New CRO functions have increased by 73% since 2017 based on LinkedIn.
Let us discuss a few of the change drivers and what it requires to allow this group of teams to succeed
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The Shift to Revenue Teams--a Business Necessity
Growing International Competition
The international community, by definition, means more competition. There are only more intelligent people out there producing solutions and products that compete with existing alternatives. This is a fact. And we see it daily. Whether you're large, medium size, or little, you're facing this competition. And they can advertise their solutions efficiently, much as you can.
Technology and a Data-Driven World
Terrific technology is available to almost everyone attempting to advertise and sell something--and lots of it is free--or very reasonably priced. Some big companies are beginning to think and operate like smaller, more agile, more hungry businesses. Growth hacking, guerilla tactics, outreach, sway, and a focus on getting the following customer would be the mantras of those agile teams--large and small. And it is the technology that is enabled the change. Long gone are the times that only large companies with huge advertising budgets can reach buyers through mass-market tactics and reel in prospects and leads.
The AI Explosion
If you have not noticed, Artificial Intelligence is exploding around us. To many, it is a Captain Obvious statement. To others, it is still news. But, yes, it is happening when you Speak to Siri or Alexa. When you shop on Amazon--"People who purchased this also purchased...." When you get tune suggestions on Spotify. Even online dating--all driven by AI.
So what is the big deal? Why does it matter to me? AI harnesses the unbelievable power of machines, providing incredible speed, efficiency, and scale. And companies that use this power will outperform companies that don't--particularly in marketing and sales. It's that easy.
Revenue Enablement
Now, let us talk about earnings teams and earnings enablement. The revenue team is usually a combined group of marketing, sales, and client management. Any operational team that manages creating demand and generating profits ought to be part of their revenue team.
What's revenue enablement? Definition: It is an investment that enables the sales and marketing teams to work together to make more revenue.
Does that sound easy? Good. It should sound easy --as it is. Ever hear the complicated versus complicated argument? Complex means the number of elements in a system or obstacle. Revenue enablement is not complicated. Let's break Revenue Enablement into its essential parts; I think you'll agree it is not complicated.
Revenue Enablement Key Components
I like to think about earnings enablement in terms of three significant buckets. These are the elements that take us well beyond sales enablement and elevate us to new levels--exponentially beyond the past. It expands beyond content and compels us to generate revenue from a new and pragmatic perspective --between all groups that result in revenue generation.
Direction: aligning teams and bringing attention to the overall team assignment
Tech: empowering the staff with the right tools, information, and insights to accomplish the assignment
Measurement: placing the Perfect KPIs in place to measure performance and course-correct towards the achievement
The Big Goal--Growing Revenue
The ultimate goal of revenue teams is to raise revenue and reach revenue targets. And to do that, teams will need to work together in concert--squeezing everything they can out of their resources and investments. Competition is fierce--and getting more aggressive.
Let's focus on execution:
The first thing to do is establish the general mission--the Big Picture aims for the sales team. Typically, this is to raise revenue. But perhaps different for some groups [e.g., increase market share, increase wallet share, etc.]. It is dependent upon your situation.
The next thing to do is set clear goals and objectives for each operational team, including marketing, sales, and client management teams. These are significant objectives, do not enter the weeds.
The next thing to do is set the secondary goals for every team, including Sales Ops, Marketing Ops, and Sales Enablement. Now that is critically important. These secondary aims are where things begin to hit the street.
All these main goals and secondary goals will need to encourage the over Revenue Enablement Mission. When they don't, you should rethink these primary and secondary targets. If any staff is working on something which doesn't support the general mission--think again.
Practical methods for breaking down silos
Breaking down traditional silos requires a change in the way we communicate and work. A terrific technique is creating forums for cross-communication and collaboration. Weekly VTCs between team leaders are an excellent start. Team leaders can share thoughts on what they're doing to support the total team mission. It is surprising how many operational leaders do not speak to one another--a least regularly.
A much better best practice would be to get cross-functional web conferences among weak leaders—each talking about what they're doing, sharing ideas and experiences across all of the groups. Unique thoughts and collaboration come from these sessions.
Technology--Know Your Buyer with Data
Just the facts, please. Teams will need to base conclusions on fact-based data instead of opinion. Human opinion issues but takes a back seat to the truth. It is merely more precise and reliable. Allow me to explain.
Sales engagements were a"black box" to sales managers, sales leaders, and advertising --and everybody else on the sales team. It was like, "Whoa, whatever, sales are just doing their thing." However, what is their thing? What are they doing?
Not optimal!
Now, however, Sales AI technology gives us the facts about what is happening in each opportunity. Seller-buyer engagement data can be obtained. It is here and now. And here is what it can tell you.
See which prospects are performing and which aren't
See how vendors are engaging buyers and how frequently.
The surface that buyer personas are reacting and engaging
Understand chance health and prioritization with clear visualizations
Know what next-step activities to take with each character
Know which balances are healthy and those at risk
The purpose is to allow all teams with customer engagement information and insight to make better choices and improve the buyer expertise from finishing, providing sales teams with the knowledge and understanding they need to enhance the best buying experience possible.
Measurement - Path to success
Without clear goals and objectives, no team will be a success. Surprisingly, few teams have clear targets and KPIs to fulfill that align with the general revenue team mission. They frequently have goals derived from their functional group but do not align with the team assignment.
It is critically important to meet together with the sales team to set up the KPIs. Each leader within the organization must agree and then communicate all KPIs goals that align across the organization. Having cross-functional visibility improves the chances of success.
The Revenue Team Picture Perfect
Now let us take a look at the picture-perfect sales team. It isn't easy to get there, but this is precisely what it looks like. Not many firms have attained Nirvana in Revenue Enablement. But this will change quickly.
It is completely aligned with the general assignment and has a shared sense of purpose.
There are definite communications across groups at top levels and under
All teams are sharing the same customer data and insights.
Teams are creating significant joint decisions to boost revenue generation without direction driven conclusions.
Summary
Revenue Enablement is currently a popular trend. Revenue Enablement provides an accurate set of customer engagement information, using technology and AI to gain insight, make better choices, and maintain accountability with KPIs that push overall mission success.