An Introduction To RevOps
Posted by Lacey Wilcox | April 28, 2021
Any business with an intentional focus on revenue has given a lot of thought to how they structure their business. This is really smart, because the opportunities to increase income don’t just exist within your sales department. But is it possible to wring all the revenue you can with your current business structure?
We’ve talked about sales and marketing alignment before. It provides a framework for how you can unite your marketing and sales teams under a shared goal of revenue generation. But, could there be an even better way to increase the revenue your business generates? (Spoiler alert: yes.) Allow us to introduce you to RevOps.
What is RevOps?
RevOps stands for revenue operations. Essentially, it’s a way to structure your company’s teams so that every aspect of your business is focused on generating revenue. Traditionally, businesses have separated their departments into individual silos. They will have a silo for marketing, another for sales, and still another for customer service/account management. Each of these silos have their own leadership, tools, and goals. What they do not have, though, is a way to be sure that these departments are able to work together or in the same direction.
That’s where revenue operations come into play. The beauty of this methodology is that it creates a shift in the focus of your business and its individual departments: everyone realizes their role in building revenue. This shared goal can increase collaboration, streamline the use of your different tools and software, and help your teams work more closely together so that no potential revenue falls through the cracks.
How Does it Work?
As we mentioned in the paragraph above, you don’t need to completely restructure your entire company to initiate RevOps. While your individual teams for marketing, sales, and account management still have some autonomy, they are all united under a shared “umbrella” of revenue generation. Revenue becomes the product of a united effort between your marketing, sales, and customer service teams.
One of the greatest benefits from a RevsOps setup and mentality is the increased communication between your teams. Marketing works closely with sales and account reps to clearly identify the right kind of customer and generate highly qualified leads. Sales intentionally pursues these prospects, learning everything about them that is possible so that this information can be shared with account managers. Note that the goal isn’t just to close a deal, but to close a deal with the intent for future success for both parties. Account managers use the information provided by sales to serve customers with care and efficiency.
And if and when the time is right, account managers and sales reps can work together to build out a plan to increase both revenue and services for your customers.
Who Typically Does RevOps?
In one sense, this is a trick question. Because you could argue that everyone on your marketing, sales, and account management teams is part of RevOps. And that would be 100% accurate and you would have passed the test. (Bonus points if you guessed our favorite color is lavender and that someday we want to own our own line of hair care products.)
But, for those of us who love a good checklist, the best scenario is to have these teams united under a shared leader (one common title is Chief Revenue Officer, or CRO) who keeps the entire team focused upon revenue generation. This person is leading regular meetings and communication, helping to build out a strategy that involves each team working together, and ensures that all teams are sharing data, analytics, and insights to keep things working as smoothly as possible.
While there’s absolutely no doubt that RevOps has the potential to serve your company well and increase revenue in a healthy, sustainable way, it’s probably also clear that changing to this structure requires a really strong company culture. If you’re going to shake up the way things are structured and the goal every one is working toward, you’re going to experience some glitches or hiccups. If you’ve invested in your team and your culture, you’re going to get through these challenges more smoothly than if you’ve not given it any thought. Want to build a healthier company culture that cares for your team and your customers, and makes it easier to transition to different structures for your business?