According to the research agency Aberdeen, approximately 40% of the companies making use of Revenue Performance Management processes are very satisfied with their marketing campaign forecasts, compared to only 19% of all other companies.
Revenue Performance Management (RPM) remains unknown territory for too many marketing departments. Even those who know what it is, mistakenly assume that RPM is only destined for multinationals with enormous budgets. I would like to encourage all market communication managers to :
- increase the efficiency of marketing communication
- better quantify the results of marketing campaigns
Today, many marketeers do not have the means to prove the potential value of their marketing funnel and to quantify their contribution to revenue. That’s a pity, for a lack of insight can be frustrating for various reasons:
- a source of dissension between the marketing and sales departments (who was responsible for what)
- hard to determine which campaigns generate the greatest impact for each euro invested
- lack of clout to negotiate correct marketing budgets with management
Lead management and marketing automation
RPM is based on two pillars: a standardised lead management process and the consistent use of measuring instruments. Marketing automation is the technology required to realise this. There is no need to implement every feature immediately in order to achieve success. With which elements can you start?
- If the sales and marketing departments in your company are at odds (as is often the case), you are losing potential. There are ways to set the same goals and speak the same language, for instance by focussing on the customer and by giving everyone a clear insight into the buyer journey. Our buying clock is a practical tool that may help you with this implementation.
- In order to obtain better control of your results, it’s in your interest to have a full-proof system to qualify leads. Ideally, this system is based on the extent to which prospects are prepared to buy and enables you to determine the moment on which the marketing team must forward its leads to the sales team in a qualified manner; this will put an end to the tension between the marketing team (who claim that the sales team does not adequately follow up on their leads) and the sales team (who doubt the quality of the leads supplied).
- As soon as your team is able to qualify leads in a standardised manner, it will be relatively simple for you to measure the results of their implementation. By monitoring the buyer journey of the leads, you will know exactly which sales have been initiated by your marketing team and for which sales value, and the time needed for leads before they sign. In the end you will know to what extent your campaign and other marketing actions contribute to your revenue.
The integration of marketing automation and CRM is a key element of the solution. It allows you to centralise all marketing actions and ensures that you receive reports taking into account the entire buyer journey. With renowned suppliers like Eloqua, Hubspot or Mareketo, there can be no doubt as to the maturity of marketing automation. People who are working with Microsoft CRM can compare Dynamics Marketing with ClickDimensions, for instance. In addition, there are companies like LeadFabric who can provide support for the selection of the appropriate software.
Obviously, the entire process involves more than software alone. The segmentation of your target market and an integrated promotion process are the basis. If these elements are not implemented adequately and are not used by everyone, software alone will only provide a partial solution.