rules for revenue mastery: what the ceo needs from marketing
DESCRIPTION
Revenue marketing emphasizes the importance of sales and marketing alignment and profit creation in the early stages of the revenue cycle. Revenue marketers know that the success of the marketing department should be profitable and quantifiable. They can clearly communicate their impact on revenue performance to the CEO in order to demonstrate how they are improving the marketing ROI. Revenue marketers also communicate directly with the sales team and share marketing automation software that streamlines the revenue performance management process.TRANSCRIPT
Rules for Revenue Mastery: What the CEO Needs from Marketing
© 2010 Marketo, Inc.
Phil FernandezCEO, Marketo
Umberto MillettiCEO, InsideView
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Powerful and easy marketing automation
Sales insights and sales effectiveness
Analytics to measure, optimize, and forecast the revenue cycle
Thought leadership, best practices, customer success
580 customers in 14 countries
Marketo transforms the way that Marketing and Sales teams work – and work together –to accelerate predictable revenue at every
stage of the Revenue Cycle
© 2010 Marketo, Inc.
InsideView – Sales Intelligence
600+ customers
35,000+ end users
“Slam Dunk!”ZDNet / Paul Greenberg
Top 100 Private Software CompanyJMP Securities
The Top Rated ApplicationForce.com AppExchange
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How CEOs Grade Marketing
Source: Visionedge Marketing & Marketo 2010 Marketing Performance
Measurement and Management Survey of 423 executives
67% of CEOs give their marketing departments a B or C
33%
47%
20%
-20% 0% 20% 40% 60%
A
B
CNot sure the marketing programs made a difference, but they probably had some impact even though contribution wasn’t measured
Marketing programs made a difference but contribution wasn’t measured
Marketing programs made an impact and marketing was able to document their contribution
CEOs Grade Marketing
© 2010 Marketo, Inc.
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Rules for Revenue Mastery
Focus on the entire revenue cycle to deliver qualified opportunities and revenue
Build alignment with sales
Measure and forecast metrics that matter to the CEO
Be a strategic advisor that drives plans for future revenue growth
© 2010 Marketo, Inc.
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Focus on the Entire Revenue Cycle
All
Nam
es
Pro
spe
ct &
R
ecy
cle
d
Lead
Aw
are
ne
ss
Enga
ged
Oppor-tunity
Cust-omerSa
les
Lead
MQLSQL
SAL
1. Lead Gen2. Nurture and Score
3. Sales Effectiveness
Most companies put 90% of time and money to Lead Gen. Revenue Marketers shift from 90/10 to 65/35.
© 2010 Marketo, Inc.
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Build Marketing and Sales Alignment
Foundation of respect and trust
Build personal relationships (get a beer)
Agree on definitions of revenue cycle stages
Establish Services Level Agreements (SLAs) for lead flow
Attend each other’s meetings
Establish quick wins and promote success
© 2010 Marketo, Inc.
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Focus On Making Sales More Effective
Quality opportunities
Customer intelligence
Social media insights
Insights to prioritize time and activity
Competitive tools
© 2010 Marketo, Inc.
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Use Metrics The CEO Cares About:
Revenue And ROI
The solution:
Speak the same financial language as the CEO/CFO
Use metrics that measure marketing impact against the goals of the corporation
Frame marketing investment and marketing results in terms of hard metrics like revenue and growth
The problem: Easy to see marketing spend, but hard to see marketing impact
© 2010 Marketo, Inc.
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Forecast Marketing’s Impact
On Future Revenue
The shorter the sales cycle the less visibility the CSO has into future performance
Where the CSO lacks “bottom-up” visibility, marketing forecasts can fill the void
Marketing has long-term view and visibility into the early stages of the revenue cycle
© 2010 Marketo, Inc.
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Strategic Advisor That Drives
Plans For Future Revenue Growth
CEOs need thinking partners engaging on strategy and how to execute it
Strategic information marketing can bring to the table: Knowledge and understanding of the external market
Rigorous analysis of company position and capabilities
Voice of the customer
I want a CMO who is in my face every day pushing my thinking and challenging me with new ideas. My rule of thumb is if I’m not saying “No” half the time, you’re not pushing enough or being creative enough.
— Fortune 1000 CEO
© 2010 Marketo, Inc.
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Getting Started
To win the CEO you need to win Sales Do a little forensics – identify marketing and online
interactions with closed business Assess the effectiveness of existing sales enablement (and
kill tools not being used) Request weekly “smarketing” working meetings
Mock up your CEO dashboard Focus on how marketing moves people through the cycle Enlist your CFO and operations teams Creates need for common vocabulary with Sales
Sometimes, propose ideas to reduce marketing spend
© 2010 Marketo, Inc.
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Summary: Rules for Revenue Mastery
© 2010 Marketo, Inc.
Focus on the entire revenue cycle to deliver qualified opportunities and revenue
Build alignment with sales
Measure and forecast metrics that matter to the CEO
Be a strategic advisor that drives plans for future revenue growth
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Question and Answer
Phil FernandezCEO, Marketo
Umberto MillettiCEO, InsideView
@umbertom
www.marketo.com [email protected]
@marketo
@insideview
© 2010 Marketo, Inc.
© 2010 Marketo, Inc.