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Revenue Operations (RevOps) is a B2B business function whose goal is to maximize the revenue potential of an organization by creating alignment between sales, marketing, and customer success across the full customer life cycle.
RevOps teams implement innovative strategies, technologies, workflows, and leverage marketing automation to help B2B SaaS organizations optimize pricing for conversions and better margins, reduce revenue leakage, and identify new revenue opportunities.
RevOps succeed by improving the customer experience across all touchpoints, resulting in an optimized customer journey, consistent customer acquisition and predictable revenue growth.
RevOps takes responsibility for the technology, workflows, and processes of all revenue-generating teams within a SaaS organization, including sales, marketing, and customer success teams.
In doing so, the RevOps business unit breaks down silos and fosters cooperation between departments, addressing technology-related challenges, integrating systems and databases into a single source of truth for managing revenue and customer success, and helping the business sustain its existing customers while acquiring new ones.
Research from Forrester shows that organizations who achieve alignment between sales, marketing, and product functions achieve 19% faster revenue growth and 15% higher profitability.
Early B2B SaaS businesses followed a traditional organizational structure where sales, marketing, and customer success functioned as three siloed departments.
In this traditional structure, each department would be supported by its own dedicated Ops/Enablement role, choose its own tools and technologies, and adjust or improve its processes based on feedback from its own data managers or analysts.
This system worked for optimizing productivity at the department level, but the lack of an integrated RevOps team prevented SaaS businesses from delivering a truly optimized and consistent experience as prospects moved through the customer journey.
In the RevOps organization, roles related to operations, tools, business analysis, and data management across revenue-generating departments are absorbed into the RevOps business unit.
RevOps roles may include:
RevOps professionals use data-driven techniques and methods to optimize business processes and accelerate revenue growth for B2B SaaS companies. The most important activities for RevOps business teams today include:
The most important metrics and KPIs for RevOps teams span across three revenue-generating departments: sales, marketing, and customer success. Aligning RevOps strategy with these KPIs ensures that teams are strategically focused on the things that matter: shortening and accelerating the B2B sales cycle, winning more customers at a lower cost, minimizing customer churn, and maximizing revenue.
Here’s a quick rundown of these KPIs, what they mean, and why they’re important:
Making the RevOps business unit responsible for KPIs across sales, marketing, and customer success creates the ideal structure and incentives for RevOps teams to effectively align and optimize revenue generation for the entire business.
Customer-led RevOps is Directive’s own approach to revenue operations that uses our Customer Generation framework to drive customer and revenue growth while improving ROI for our B2B SaaS clients.
How do we do it?
We audit the customer journey and use 1st-party data to identify the best prospects that match the ideal customer profile (ICP) of our clients.
We analyze every stage of the customer journey to identify drop-off points in the sales process that are impacting revenue.
We use financial modeling to discover the potential optimizations that will have the greatest impact on overall revenue generation.
We build – or rebuild – departmental tech stacks, leveraging the latest and greatest revenue intelligence tools and automation to optimize the revenue-generation process.
Check out our latest success stories to discover how Directive is implementing Customer-led RevOps to generate SQLs and drive revenue for our clients in the B2B SaaS marketplace.
Video is the ultimate tool for engaging and influencing buyers throughout their self-research journey. Read to uncover which ones are the most impactful at each stage.
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