Revenue Operations: Now is the Time

Revenue Operations:
Now is the Time
June 26, 2019

2 Confidential to LeanData
500+ 140+ 6.5
The Leader in Revenue Ops
CUSTOME
RS
EMPLOYEE
S
YEARS IN
BUSINESS

CUSTOMER
SUCCESS
3
Fragmented Teams + Changing Strategies + Lack of Coordination = Bad Buying Experience
• 60–70% of B2B Buyers Journey is Digital
• 7–9 People Involved
DEMAND
UNIT
WATERFALL
MARKETING
PARTNERS
DIGITAL
CONTENT
ABM
INBOUND
SOCIAL
Digital Transformation is Redefining GTM Success
OUTBOUND
DIRECT
SDR
Confidential to LeanDataSource: Harvard Business Review

4
Challenges in the Revenue Chain
Confidential to LeanData
F R A G M E N T E D A P P R O A C H T O G O T O M A R K E T
DATA PEOPLE PROCESSES
• Disconnected, function-
specific systems
• Buying groups of 7-9 people
• Siloed teams do not communicate
• Teams focused on their own
OKRs
• Multiple GTM routes
• Broken customer experience

Managing Across Entire GTM is Creating a New Category
5
PARTNER
OPS
CUSTOMER
OPS
SALES
OPS
MARKETING
OPS
CUSTOM
ER
SUCCESS
SALES
MARKETI
NG
PARTNER
CHANNEL
Revenue
Ops
Confidential to LeanData

U N I F I E D A P P R O A C H T O G O - T O - M A R K E T
DATA PEOPLE PROCESSES
• Leads mapped to Accounts
• Objects flow seamlessly
• Accounts prioritized and routed
based on engagement levels
• Enables revenue teams to engage
multiple contacts in a coordinated
manner
• All teams align on target accounts and
revenue goals
• All GTM routes easily implemented
and optimized using visual flows
• Seamless customer handoffs and
buying experience
LeanData Threads the Entire Revenue Chain

The LeanData Revenue Ops Platform
EXECUTION ANALYTICS
PLANNING
PLATFORM

© 2019 SiriusDecisions. All Rights Reserved
Revenue Operations:
Now Is the TimeJune 26, 2019

@siriusdecisions 12 © 2019 SiriusDecisions. All Rights Reserved
Executive Summary
• Key issues
• What you will walk away with
• Aligned revenue engine b-to-b organizations grow 19 percent faster and are 15
percent more profitable, but most organizations are still not realizing these
benefits
• B-to-b revenue engine alignment requires cross-organizational collaboration
and more integrated approaches between groups
• Rapid technological advancements are outpacing organizations’ ability to
respond and are integrating once-siloed tech stacks
• An understanding of revenue operations trends and what’s driving them
• Insights into the business impact of aligned revenue operations
• A revenue operations charter to help your organization reach a more aligned
state

The Expanding Interest in Revenue Operations

SiriusPerspective:
The Economics of Alignment
B-to-b organizations that adopt processes and systems that drive and monitor
alignment across all functions in the revenue engine enjoy an uplift in business performance.
Moving Mountains
Shifting Boulders
Carrying Stones
Market Growth
48%–79%
Alignment
5%–36%
Competitiveness
+ Efficiency
12%–34%Why Do
Companies
Grow?

SiriusPerspective:
The Economics of Alignment
B-to-b organizations that adopt processes and systems that drive and monitor
alignment across all functions in the revenue engine enjoy an uplift in business performance.
When organizations are aligned across the
revenue engine, they achieve ...
19%
Faster
Revenue Growth
15%
Higher
Profitability

SiriusPerspective:
The Aligned Revenue Engine
The revenue engine is made up of product, sales, marketing and, increasingly, the
customer success and customer experience organizations.
Sales Marketing
Product
Customer

SiriusPerspective:
The Aligned Revenue Engine
The revenue engine is made up of product, sales, marketing and, increasingly, the
customer success and customer experience organizations.
Sales Marketing
Customer
Marketing Operations
Customer Success
Sales Operations
Sales Enablement

Polling Question
• On a scale of 1 to 5, how would you rate your organization’s
revenue engine alignment?
• 1 – Completely misaligned
• 2 – Somewhat misaligned
• 3 – Neither aligned nor misaligned
• 4 – Somewhat aligned
• 5 – Completely aligned

SiriusPerspective:
Responses From Our Survey
Our survey of b-to-b marketing, sales and customer success organizations reported
that they are far from achieving complete alignment across the broad organization.
Sales and Marketing
Question: On a scale of 1 to 5, how would you rate your organization’s revenue engine alignment?
1
Not Aligned
5
Completely Aligned
Sales and Customer
Success
1
Not Aligned
5
Completely Aligned
Marketing and Customer
Success
1
Not Aligned
5
Completely Aligned
3.6
3.6
3.2
Source: SiriusDecisions 2019 Revenue Operations Research Survey conducted with LeanData, InsightSquared, Outreach.io

SiriusPerspective:
Do People Believe Their Orgs Are Aligned?
Our survey of b-to-b marketing, sales and customer success organizations reveal
alignment perception in detail across the seven key alignment areas.
Areas of Alignment
Vision
Goals
Planning
Processes
Infrastructure
Data
Measurement

SiriusPerspective:
Areas of Alignment
Vision Are all parts of the revenue engine aligned on a shared vision of the

SiriusPerspective:
Areas of Alignment
Goals Are goals aligned across the revenue engine to be mutually supportive?

SiriusPerspective:
Areas of Alignment
Planning
Is the process for planning, budgeting, resourcing and revenue engine execution
supportive?

SiriusPerspective:
Areas of Alignment
Processes Are all processes within the revenue engine mutually supportive?

SiriusPerspective:
Areas of Alignment
Infrastructure Do technologies supporting the revenue engine share data and enable dependent

SiriusPerspective:
Areas of Alignment
Data
Does data across the revenue engine support consistent, interdependent planning,
measurement?

SiriusPerspective:
Areas of Alignment
Measurement Do performance metrics promote a consistent, aligned view of revenue engine

Areas of Alignment
Vision
Goals
Planning
Processes
Infrastructure
Data
Measurement
Overall
Sales and Marketing
3.8
3.8
3.5
3.5
3.7
3.5
3.5
3.6
Sales and
Customer Success
3.9
3.7
3.5
3.5
3.6
3.7
3.5
3.6
Marketing and
Customer Success
3.4
3.2
3.0
3.1
3.2
3.2
3.1
3.2
Alignment is consistent across areas, but none achieved a rating or 4 or more!

SiriusPerspective:
Forces for Change
As internal and external pressures place demands on the revenue engine to perform,
and developments in technology catalyze frequent market disruptions, lasting alignment has been elusive.
External
Internal
SellerBuyer
Artificial
Intelligence
Recurring Revenue
Models
Customer-
Centricity
Digitized Customer
Journey
Complex Buyer
Behavior
CEO/Board
Pressures
Siloed Tech
Stacks
Siloed
Processes

SiriusPerspective:
Forces for Change
As internal and external pressures place demands on the revenue engine to perform,
and developments in technology catalyze frequent market disruptions, lasting alignment has been elusive.
Increase in all customer
success titles on LinkedIn
+36%
October 2018 – April 2019

SiriusPerspective:
The Continual Pursuit of Alignment
Since SiriusDecisions was founded in 2001, it has developed the pathways toward b-
to-b revenue engine alignment and made tremendous progress – even in a very dynamic environment.

SiriusPerspective:

SiriusPerspective:
Demand Unit Waterfall™ – Revenue Engine Alignment Tool
Closed
Pipeline
Qualified Demand
Prioritized Demand
Engaged Demand
Active Demand
Target Demand
Marketing Tele Sales
SLA
SLASLA
SLA
SLA
Channel

SiriusPerspective:
Demand Unit Waterfall™ – Revenue Engine Alignment Tool
Closed
Pipeline
Qualified Demand
Prioritized Demand
Engaged Demand
Active Demand
Target Demand
Prior versions assigned stages
to specific functions.
The latest version
acknowledges participation of
all revenue engine functions
across the entire Demand
Waterfall.

SiriusPerspective:
End-to-End View of All Potential Opportunities
The b-to-b revenue engine consists of all parts of the organization that participate in
identifying, attracting, engaging, qualifying and closing prospects and customers.
Closed
Pipeline
QualifiedDemand
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand

SiriusPerspective:
Getting to End-to-End Revenue Engine Alignment
For organizations to align realize a single view of the truth it enables, they must
establish agreements between marketing operations, sales operations and customer success.
Pipeline
QualifiedDemand
Development Confirmation Development Finalization Finalization
Needs Solution Terms
Qualified demand and pipeline
each have their own set of
stages...

SiriusPerspective:
Pipeline
QualifiedDemand
The customer lifecycle has its
own stages, too.
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer

SiriusPerspective:
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand
Pipeline
QualifiedDemand
Full alignment enables an end-to-end view of potential
opportunities and customers across the revenue engine.
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer

SiriusPerspective:
For organizations to achieve end-to-end alignment of the revenue engine and the
single view of the truth it enables, they must establish additional agreements between marketing
operations, sales operations and customer success.
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand
Pipeline
QualifiedDemand
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer
Demand Waterfall Stage Report
Account ACME Co.
Demand Unit HR SoftWidgets
Opportunity Value $230K
Current Stage Engaged
Projected Close Date 07/2019
Buying Signals Summary Website engagement: B; Third-party score: A
Buying Triggers Summary CEO turnover < 3 months
Personas Engaged 4
Champion Engaged Yes
Buyer Personas Not Engaged CFO, CIO, PMO
Next-Action Owner Demand Marketing

SiriusPerspective:
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand
Pipeline
QualifiedDemand
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer
Account Beta Co.
Current Stage Pipeline: Needs Confirmation
Projected Close 05/2019
Buying Signals
Summary
Website engagement: A;
score: A
Buying Triggers
Summary
CEO turnover < 3 months
Personas Engaged 5
Buyer Personas Not
Engaged
None
Next-Action Owner Sales: Proposal

SiriusPerspective:
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand
Pipeline
QualifiedDemand
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer
Account Beta Co.
Current Stage Customer: Retain Actualize
Projected Close Date 09/2019
Buying Signals Summary Website engagement: B; Third-party score: N/A
Buying Triggers Summary Contract end
Personas Engaged 5
Buyer Personas Not
Engaged
CFO
Next-Action Owner Account Management: Proposal

SiriusPerspective:
PrioritizedDemand
EngagedDemand
ActiveDemand
TargetDemand
Pipeline
QualifiedDemand
Closed
Deliver/
Initiate
Develop/
Participate
Retain/
Actualize
Grow/
Advocate
Customer
To get here ...

SiriusPerspective:
Sales Marketing
Customer
Marketing
Operations
Customer
Success
Sales Operations
Sales Enablement
Areas of Alignment
Vision
Goals
Planning
Processes
Infrastructure
Data
Measurement
We need to align
these parts of the
revenue engine …

How to Align
The Revenue Operations Charter

SiriusPerspective:
What Is Alignment?
Alignment of these distinct functions must be achieved across three key dimensions:
the strategic, the operational and the organizational.
Strategic Organizational
Operational
Vision
Goals
Function
s
People
Strategy
Planning
Infrastructur
e
Personnel
Data
Measurement

SiriusPerspective:
What Is Alignment?
Alignment of these distinct functions must be achieved across three key dimensions:
the strategic, the operational and the organizational.
Strategic Organizational
Operational
Vision
Goals
Functions
People
Strategy
Planning
Infrastructur
e
Personnel
Data
Measurement

SiriusPerspective:
A revenue operations charter is a set of operating principles intended to ensure
planning, processes, systems, data and measurements align sales, marketing and customer organizations.
Strategy
Planning
Infrastructure
Data
Measurement
People
Vision
Goals
Priorities
Interlocks
Stakeholders

SiriusPerspective:
Vision Increases efficiency, effectiveness and business contribution by aligning all revenue-related activities, processes and resources.
Goals Align all operational priorities responsible for customer acquisition, growth and retention to achieve revenue engine goals.
Priorities
Functional Stakeholders
Process InterlocksCore Revenue
Operations
Aligned Revenue
Engine
• Revenue strategy and
• Revenue planning and
• Revenue engine
• Revenue engine data
• Revenue infrastructure
management
• Revenue personnel
management
• Sales enablement
• Customer success
• Marketing operations
• Sales operations
• Executives
• IT
• Finance
• Legal
• Channels
• Portfolio
marketing
• Product
manageme
• Demand
marketing
• Strategic budget
allocation
• Infrastructure alignment
• Aligned measurement
• Demand Waterfall
• Program implementation
for customer acquisition,
growth and retention
• Opportunity management
• Data strategy
Alignment Areas
Strategy Planning Infrastructure People Data Measurement
Aligns to:
• Portfolio development and
investment
• Go-to-market
• Aligned customer
• Cross-functional goal
resource alignment
• Campaign and program
• Budget alignment
• Change management
• Technology roadmap
• Process improvement
• Technology deployment
• Functional
strategy
• Organizati
design
• Incentives
• Competenc
• Recruitmen
planning
• Developme
• Enablemen
• Data strategy
• Data lifecycle
• Data stewardship
• Data infrastructure
• Data measurement
• Revenue engine
• Revenue intelligence
• Dashboard development
reporting cadence

Vision
Revenue Operations Vision
Increases efficiency, effectiveness and
business contribution by aligning all
revenue-related activities, processes and
resources.

Goals
Revenue Operations Goals
Align all operational priorities responsible
for customer acquisition, growth and
retention to achieve revenue engine goals.

Priorities
RevOps Charter Priorities
• Revenue strategy and modeling
• Revenue planning and budgeting
• Revenue engine measurement
• Revenue engine data management
• Revenue infrastructure management
• Revenue personnel management

Stakeholders
Core Revenue Operations
Aligned Revenue Engine
• Executives
• IT
• Finance
• Legal
• Channels
• Portfolio marketing
• Product management
• Demand marketing
RevOps Charter Stakeholders

Interlocks
RevOps Charter Process Interlocks
• Strategic budget allocation
• Technology alignment
• Program implementation for customer
acquisition, growth and retention
• Data strategy implementation

Strategy
RevOps Charter Strategy
Aligns to:
investment
• Go-to-market architecture
• Aligned customer experience

Planning
RevOps Charter Planning
• Cross-functional goal setting and
resource alignment
• Campaign and program planning

Infrastructure
RevOps Charter Infrastructure

People
RevOps Charter People
• Functional strategy
• Organizational design
• Incentives
• Competencies
• Recruitment planning
• Development
• Enablement

Data
RevOps Charter Data
• Data strategy
• Data lifecycle management

Measurement
RevOps Charter
Measurement
• Revenue engine performance
• Revenue intelligence strategy
• Dashboard development and
reporting cadence

Vision Increases efficiency, effectiveness and business contribution by aligning all revenue-related activities, processes and resources.
Goals Align all operational priorities responsible for customer acquisition, growth and retention to achieve revenue engine goals.
Priorities
Functional Stakeholders
Process InterlocksCore Revenue
Operations
Aligned Revenue
Engine
• Revenue strategy and
• Revenue planning and
• Revenue engine
• Revenue engine data
• Revenue infrastructure
management
• Revenue personnel
management
• Executives
• IT
• Finance
• Legal
• Channels
• Portfolio
marketing
• Product
manageme
• Demand
marketing
• Strategic budget
allocation
• Infrastructure alignment
• Program implementation
for customer acquisition,
growth and retention
• Data strategy
Alignment Areas
Strategy Planning Infrastructure People Data Measurement
Aligns to:
investment
• Go-to-market
• Aligned customer
• Cross-functional goal
resource alignment
• Campaign and program
• Functional
strategy
• Organizati
design
• Incentives
• Competenc
• Recruitmen
planning
• Developme
• Enablemen
• Data strategy
• Data lifecycle
• Revenue engine
• Revenue intelligence
• Dashboard development
reporting cadence

SiriusPerspective:
Implementation Options for the Revenue Operations Charter
Revenue operations begins with the revenue operations charter, but it’s supported by a
variety of implementation configurations – from a coalition of the willing to a revenue operations function.
Virtually Aligned
(Coalition of the
Willing)
No Revenue
Operations
Function
Centralized
Function
Somewhat
Centralized
Function

Polling Question
• Which option best describes your organization’s revenue
operations function?
• Virtually aligned – “coalition of the willing”
• Centralized function
• Somewhat centralized function
• No revenue operations function

SiriusPerspective:
Revenue Operations Functions Today
Only 18 percent of companies claim to have no revenue operations function at all.
9%
15%
18%
18%
40%
Somewhat centralized
function
Virtually aligned –
“coalition of the willing”
No revenue operations
function
Centralized functions
reporting to CRO or
senior leader

Comments from Survey Respondents and Roundtable Attendees
Significant bottom-up support – but execs are not leading.
I believe we will have Revenue Operations in the future
(not sure how soon), as there has been some discussion
around bringing on a CRO, which would most likely
facilitate a move in that direction.
We probably won’t have RevOps. There is too much invested in
operational teams in the various organizations. They would have
a hard time giving those resources to a central organization
outside of their control.

SiriusPerspective:
Where Does Revenue Operations Report?
When revenue operations is a centralized function, 46 percent of respondents
indicated that it reports to a CRO, and 24 percent indicated that it reports to a centralized leader.
CRO Operations Leader
(e.g. COO, VP
operations)
Sales (CSO) Marketing (CMO) Other,
Not Sure
Customer-Related
Functions (CCO)
46%
24%
13%
9% 9%
0%
What business challenges were you trying to solve
with a revenue operations function?

SiriusPerspective:
What Does a CRO Do?
Marketing is the least managed function by CROs. CROs are 2.9x more likely to
manage sales than marketing and 1.6x more likely to manage sales than customer success.
Customer
Success
Sales
Marketing
Other
93%
59%
32%
17%
1.6X
2.9X

SiriusPerspective:
What Does a CRO Do?
Marketing is the least managed function by CROs. CROs are 2.9x more likely to
manage sales than marketing and 1.6x more likely to manage sales than customer success.
Q: What business challenges were you trying to solve with a revenue
operations function?
“We are focused on building tighter alignment between marketing strategy and execution and that of
sales and customer growth. We are still in the process of building, learning and refining.”
“We are in our infancy and focusing on aligning sales and customer success. Marketing is still
somewhat isolated.”
“Increase coordination and alignment across operations functions. Faster deal process and close
time. Marketing and sales alignment and lead tracking from engagement to close.”
“We have just finished evaluation and are on the implementation of practices with the start of
measurement.”

SiriusPerspective:
Does your company
have a CRO?
37%
Yes
63%
No
Q: What business challenges were you trying to
solve with a revenue operations function?
“Solving for alignment of growth.”
“We have complete alignment within sales and marketing using shared
processes and data now.”
“Consistent data across various functional areas, all working off the
same information with clear reporting of metrics and KPIs.”
“We effectively removed the walls between each team and are now able
to look at cross-team data as we analyze revenue – we can see where
and how revenue was created, won and lost and where the influence
from each team played a role.”

SiriusPerspective:
82%
Software / IT /
Business Services
Software/IT/Business Services
Software and Services
Software – Application Software
IT – Software and Services
Business Services – Media
Business Services –
Professional Services
Business Services
38%
17%
17%
6%
3%
1%

SiriusPerspective:
Performance With and Without CRO and Revenue Operations
Publicly traded companies that have defined revenue leadership in their organizations
outperformed others; that performance advantage was not as clear-cut for smaller organizations.
Non-S&P 500 Companies
2017 and 2018 S&P 500 Avg. Revenue Growth
7.3%
19.5%
Without CRO and
RevOps
With CRO and
RevOps
+2.7x
2017 and 2018 S&P 500 Avg. Stock Performance
Without CRO and
RevOps
With CRO and
RevOps
17.7%
30.3%+1.7x

SiriusPerspective:
Performance With and Without CRO and Revenue Operations
Publicly traded companies that have defined revenue leadership in their organizations
outperformed others; that performance advantage was not as clear-cut for smaller organizations.
14%
6%
3%
26% 26% 26%
3% 3%
0%
24%
27%
44%
Don't Know Negative Growth No Change 1%–20% 21%–50% >51%
No CRO Has a CRO
Revenue Growth in Most Recent Fiscal Year
1.7x
Non-S&P 500 Companies

The Expanding Interest in Revenue Operations
Number of Directors of Revenue Operations
in LinkedIn
+90%
October 2018 – April 2019

Dare to disrupt yourself

Action Items • Marketing
• Don’t freak out!
• Marketing operations leaders should seek to lead revenue operations initiatives
and organizations
• Take advantage of the broader capacity of operational resources
• Don’t assume people with sales backgrounds will lead everything by default
• Customer
• Seize this opportunity to seek investments in your efforts
• Take advantage of access to newly available operational resources
• Capitalize on the enhanced insights that show true customer engagement across
the buyer’s journey and customer lifecycle
• Sales
• Don’t assume an organizational change fixes anything
• Don’t lose sight of what’s important to focus solely on what’s urgent
• Invest in people development and new skills that are necessary to manage more
complexity
• Separate analytics from sales operations into a separate function that serves the
entire revenue engine

SiriusDecisions
Resources
• Research
• Core Strategy Report: The Demand Unit Waterfall™
• The SiriusDecisions Buyer-Aligned Sales Process
• The SiriusDecisions Customer Lifecycle Framework
• The SiriusDecisions Revenue Operations Charter
• Artificial Intelligence, Baseball Umpires
and … Revenue Operations?
• Change Is Coming: The Revenue Operations Charter Is
Born

Revenue Operations: Now is the Time

Revenue Operations: Now is the Time

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