First of all, what is predictable revenue? Predictable Revenue is a structure to create steadiness in an annual basis and deliver business increase and growth based on a systematic process which prevents rush motives and predicting. Predictable Revenue goal is to achieve effective lead
Generation that opposes out-of-date selling techniques. In such manner, you can be able to predict how much “revenue” your business is regularly producing. Predictable revenue stands out to help out companies generate opportunities and maximize growth.
Predictable Revenue Growth provides the difference between unjustified survival and a sustained leadership situation in the company’s preferred market program. One very important of predictable revenue to companies or business building, is described in how Companies that do not strive to achieve a predictable revenue growth (and do not know what levels of revenue they achieve by year end) are leaving their destiny in the hands of outside powers. A setback in the economy, a new monitoring requirement, a new competitor, ormaybe loss of a proficient customer. When any of these happens, they can have a demoralizing impact on company revenues.When companies commit to achieving Predictable Revenue Growth, they are forced to ask and answer some very fundamental questions that will enable them to improve their competitive advantage and market standing, which will, in turn, provide powerful protection from the adverse effects of outside threats.Subsequently setting Predictable Revenue Growth requires thorough planning at attainment of a satisfactory growth rate.The company is always set and prepared for future occurrences. Thereby avoiding being a prey to the fancies of unpredictable future, it creates its own identifiable future which is very predictable.
Therefore to have a predictable scheme, can Lead Generation, the most important item for creating predictable revenue. To company, business or an organization that generates predictable revenue, there are normally three aspects to look into, which are: a repeatable lead generation programs, consistent sales processes and customer success with your product.
In The repeatable lead program,the end product of this process is to achieve the 3rd aspect, which is the customer success. Bear in mind that in achieving customer success, it is not only about satisfying the satisfaction of their need but by creating revenue growth. First one needs to practice the habit of planting seeds or sowing. A good communication link with your customers creates an atmosphere in understanding your customer needs. Whether they’re your employees, partners, investors or customers. It’s getting what you want by helping get what they want. So you can achieve the lead program in your domain through this. In building a lead program,most managers or team members, assume to adding the sales people grows income , here is dozens of passive income ideas. Nevertheless, the source of the problem is not on growing the team but lead generation itself. Sales people do not cause customer achievement growth, they achieve it. This is one of the misconceptions seen.
In building a lead program based on predictable revenue should you quickly start growing your sales team?
Board members and managers make regrettable and mistakes in planning each year. They think that adding sales people and working them harder will grow revenue. They think that to double revenue, they need to double the sales force to drive it and work the current team harder, like making more dials per day. Working harder and calling the various prospects does not measure. If something is not working, then working harder just means that what the sales team was already doing isn’t working, yet they go ahead and do more of it. I see a future in which sales is more and more like account management, and customer acquisition is squarely in the hands of marketing.They tend to rush to set 100%+ growth targets and arbitrarily pick these goals since there is no data to base these predictions on, and then they turn the screws on the VP of sales who ultimately misses the plan, the company misses the target and the executive team is fired or changed. The new team tries to hire more people to hit the targets and this doesn’t work either. The Board and managers keep making the same ignorant mistakes because people under compression tend to hideaway to what they know rather than taking the risk of trying new things.They end up doing more of what is not working than taking a step back and figuring out a new approach.
In order to achieve predictable revenue the goals for Predictable Revenue Growth is the first important step, we have to reach a goal rate to devise practical process of transformation. Also in moving from non-predictable to Predictable Revenue Growth, a company basicallyundergoes t four stages of performance changes where are the Internal Assessments, Optimization, Strategic Refocus, and Strategic Expansion.
Stage 1: The Internal Assessment
This is normally first step towards achieving Predictable Revenue and it requires one to understand why we are not presently achieving that.
Stage 2: TheOptimization stage
This is the next stage in achieving predictable revenue. There are available resources and capabilities available at hand, as very few companies systematically work to efficiently use their full potential.Once it is understood that the difficulties stopping us from achieving Predictable Revenue Growth, the next step is to look at the strategic aspect in which we can make instantaneousexpansions, this usually has a time frame. Once we have taken account of what is needed to be presented, the Optimizationstage lingers to clean out what is no longer relevant, focus on what we can actually accomplish, and free up time and resource enabling us to move to
Stage 3: Strategizing and focusing
In this stage, we check the numerous market sections our company currently is pursuing and decide on which can be dominated in a time frame. Frequently, we see on company websites or email communications different inscriptions.What we are advocating for is true leadership as evidenced by: near-total name recognition and market share, acquisition of key accounts for which all competitors vie, and clear leadership in revenues and profitability.
The gains that come from concentrating on a specific position are well standard yet, for various reasons, this is the hardest thing to do for most companies. Choosing to focus on a single market niche can be scary, to say the least.
However, while we fail to pick one position to settle on our competitors that do just that will outperform us in sales, profitability, and overall market leadership. Not only do these competitors have more focused messaging that is clearer and more compelling to customers, but they also have more targeted products and services that truly address their client’s needs. This focus turns each client into a great testimonial,which is far more effective at winning new customers that self-proclaimed statements of leadership.
As customers, we get this. It makes sense to us when a vendor is focused and specializes in a narrow area, and has exactly what we need. For example, when we are a healthcare company looking for an accounting system, we want a vendor that has strong leadership providing accounting systems to the healthcare industry.And yet, when we are the vendors, we forget that customers want a specialist, not a generalist. If we sell accounting system, we minimize the difference between a healthcare and a mining company, and try to tell each we have exactly what they need.We would be more successful if we start with one, win a strong leadership position, and then leverage that to enter the next market segment. If we were to do that, our sales, marketing, product and support organizations all would be more differentiated and more effective. This then results in better closing ratios and shorter sales cycles, which result in both high revenue and profit growth rates.As terrifying as it seems to focus on only one niche, it is the strategy that works. Preparation is the key to addressing that fear of focusing on a single niche, and the company assessment we conducted in Stage 1 becomes the basic raw material for studying the best niche market for us to serve at this time. The commitment is to win a dominant position within this niche, at least a certain percentage scale market share within a\some stipulated months.As counter-intuitive as it means, the danger typically is choosing too big a segment, not one of choosing a small one. We should take care to choose a niche where we can be the biggest fish in that pond–we don’t want to be asprat with no power.Once you pick our niche, we can now apply discipline to align marketing and sales and run our operations by the numbers.Position marketing is very a useful and important condition that mustbe satisfied to in order to attain Predictable Revenue Growth
Stage 4: Final Strategic Expansion
in this final stage, the company is more focused, we should now be acquiring new customers at a higher speed than ever before. Sooner or later, we will reach a permeation point, as we have picked all of the suitable aspects. Whatever remains is not an option.
So, how can we continue to grow, much less at a higher rate than before, when we have no more fruit left to pick?
To continue with that metaphor–by planting more trees, of the right kind, and by allowing sufficient time for these to mature and bear plenty of fruit. In other words, we must allow some years of strong investment in any given niche to realize strong harvest at the end. The work in the second year of Predictable Revenue Growth is to systematically analyze potential new market segments and ask some important questions: such as where challenges are faced, which part has investment capability, the partners or investors needed. Therefore in achieving the above stages, one can operate a firm and become a passive income earner
