On 23 de November de 2018
Do you know the term predictable revenue? It has gained space and attention of the market and it has become the dream of many B2B companies’ commercial sectors.
So, what is predictable revenue?
“Revenue” is all the income that a company receives during a determined period, and “predicable” means foreseeing something and not getting caught by surprise.
That said, predictable revenue means knowing how much a company will obtain during a determined period. Much more than just giving the capacity of predicting revenues, the concept of predictable revenue covers a range of practices that promise to make the company revenue grow sustainably.
The foundation of predictable revenue is to have potential customers mapped and guarantee a predictable lead generation for the sales team. The goal is to perform an education or nurturing of these leads and make them become qualified leads and customers.
How was the concept of predictable revenue born?
The concept of predictable revenue was born when Aaron Ross shared his experience of success in the company SalesForce in the book “Predictable Revenue”
The book talks about how Aaron Ross was able to create a sales machine which provided that SalesForce invoiced more than 100 million dollars in sales during the time that he managed the
O livro quebra alguns conceitos e metodologias utilizadas por diversas equipes de vendas de todo o mundo e mostra como e onde as empresas estão errado e como elas podem e devem fazer para acertar.
When talking about increasing the sales, many people think about expanding the commercial team, after all, if one salesman closes 2 deals a day, 2 salesmen will manage to close 4 new deals, isn’t that right?
Wrong. The number of new closed deals isn’t proportional to the number of salesmen. To increase the companies’ number of sales, it is necessary that the number of leads are higher (sales opportunity).
The author of “Predictable Revenue” lists the “leads number” metric as the second most important of all the sales area, coming only after of “closed sales”.
Another thing approached by the author is the productivity measuring of each salesman regarding the number of his activities. To Aaron, this is a mistake. The productivity of the salesmen should be measured in accordance to the conversion rate, this is what represents the sales.
Now that you know more about the potential that the predictable revenue can bring to companies, how about implementing a lead generation routine for your commercial team? Talk to our specialists so that we can create your sales machine.