Revenue Marketing: Elements, Importance and Strategies

Revenue marketing has been one of the most trending topics in the marketing world in recent years. But what is it? Revenue marketing is a holistic goal oriented approach in order to understand market and sales, by using the companies to drive revenue growth predictability. 

 

What is Revenue Marketing?

 

Revenue marketing basically refers to a strategy where marketing and sales work hand in hand to attribute their campaigns directly to attaining organizational revenue goals and engaging leads even after sales reps take them over.  

 

In this type of marketing a more comprehensive approach is taken under consideration wherein both sales and marketing teams, join efforts to maximise investments. They do such by developing a loop which involves constant feedback 

 

Some of the main aim of revenue marketing are:

 

• Enabling marketing and sales to co-work towards achieving mutual goals, i.e - revenue generation.

 

• Sales qualified leads are being generated and directed towards the sales funnel. 

 

• Attributing sales to repeatable campaign specifics.

 

• Enabling the market even after  leads gets passed on the sales. 

 

It begins by identifying opportunities and barriers to make sales. Through constant evaluation the marketers can identify what is working and what is not in order to maximise return on investments. It uses a strategic approach with the blend of marketing automation technology to create predictable and scalable qualified leads for sales. 

 

(Recommended blog- AI in Marketing Automation)

 

 

5 Elements of Revenue Marketing

 

There are basically 5 main elements  of the revenue marketing journey:-

 

1. Investment optimization

 

It involves allocation of funds or budgets to potential accounts in order to increase marketing contribution. It sounds easy but it’s not that simple in reality. If marketing is unfunded, then the revenue growth becomes constant. 

 

Revenue growth is maximised with a predefined budget and allocation of all market dollars thoughtfully. This enables the company to focus on key areas like returns on investment. A data driven approach should be followed to allocate the budgets in high- value programs. 

 

2. Demand generation

 

Effective demand generation helps in creating the right volume of qualified leads, which eventually leads to higher sales and revenue growth. 

 

Highly targeted content delivered through the right medium of channel will provide insight that compels target prospects to consider your solution, resulting in easy to attain growth. It involves a lot of research, planning, and focus. Such companies require large and steady volumes to maintain growth 

 

3. Digital Marketing

 

With the recent technological developments and advancements digital marketing is the newest upgrade in every company's marketing mix and integrated programs. 

 

Digital media serves as a platform in order to spread the message to the right set of audience. It helps in increasing brand awareness, increase in lead generation , and increases reach to target customers. 

 

4. Customer Marketing

 

The customer cycle does not stop once a prospect becomes a customer. Effective customer marketing and relations further leads to customer retention and increased customer lifetime value through meaningful cross-sell and upsell motion. Customer retention is also a key factor for the business to increase their ROI. As current customers can educate other prospective customers. 

 

5. Product Marketing

 

Prospective buyers wish to know the unique value of the products and what ROI they can expect. Translating product features into valuable messages that buyers can connect with and resonate with their business needs. Proper explanation of the features is what creates effective marketing campaigns. 

 

(Check out - Omnichannel Marketing)

 

 

Importance of Revenue Marketing

 

Every business aims at a few goals like:- Generating new customers, maximising average sales value, building lifetime customer value. These goals are the main foundation of every business organization. In recent years, ways of achieving these goals have evolved. Now standing at the age of ‘Revenue Marketing’ focusing on marketing activity and investment on growth revenue and increasing customer value. 

 

Revenue marketing has proved to be invaluable to all the involved parties in the process. The customer involved feels valued in the process and it enables customer satisfaction and retention. The marketing strategies being used are critically and better analysed and improved accordingly. 

 

LegalTach worked with Virtual CMO in order to develop a Revenue Marketing Game Plan for driving sustainable growth using proven digital marketing methods. The main objective of all business organisations is strategic pathways to increase sales. Some of the other objectives could be: 

 

• Build market share: The market for a company’s services and products is almost a pie. With the growth in the market the overall size of the pie increases. Building a market share implies an increase in the size of this pie every year. 

 

• Enter new markets: Growth of the company is another essential crucial objective of the company. Entering new markets can further lead to increase in the number of sales and revenue. 

 

• Increase sales from existing customers: Existing customers are no less than an asset for the company, satisfied customers are willing to purchase new products and services and also help in building a positive image of the business enterprises. 

 

(Recommended blog - Digital Marketing Process)

 

 

Strategies for Revenue Marketing

 

Some of the strategies for effectively implementing revenue marketing are:

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Revenue marketing strategies

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• Understand the buyer- The first part involves developing a deep understanding of the customers and their needs and mapping out their buying cycle. In order to have a better understanding of customers needs marketing research forms can be created in order to map the needs of the prospective customers. One recently developed framework that can be referred to is Jobs to be done (JTBD) framework.

 

• Align market and sales-  It refers to a marketing alignment that includes communication, strategy and goals that enable marketing and sales to operate as a unified organization. Aligned markets are able to deliver high impact marketing activities, boost sales effectiveness and ultimately grow revenue on investments. 

 

• Execute collateral and campaigns - Create and distribute your collateral and campaigns using information from sales and consumers. That is, build content and SEO for each stage of the buyer journey, as well as automate email marketing, pay-per-click advertising, and any other B2B marketing strategy that works for you.

 

• Analyze and improve -  Analysis is the most important aspect of every business. Analysis of results helps the organization to understand and measure the efforts put in vs the outcome received.

 

An overview of the impact of your campaigns and sales marketing alignment helps you in understanding the pros and cons and making necessary changes accordingly. 

 

Upcoming B2B companies are racing the needs to address the modern buyers by providing personalised experience throughout the customer journey. So are the approaches of the companies evolving. 

 

Revenue Marketing is one such systemized approach to the sales process. A revenue marketing strategy can help the business to effectively reach its organizational objectives and helps the business in growth and expansion.