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Revenue Intelligence + Advanced Sales Math

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Todd Abbott

Revenue Performance Measurement

In this episode, we discuss the revolutionary concepts of Revenue Intelligence and Advanced Sales Math with Todd Abbott, CEO at InsightSquared. Revenue Intelligence and Advanced Sales Math are critical competencies to successfully maneuver in todays B2B SaaS reality of compressed sales cycle and the changing customer buying journey.

The good news - traditional metrics including lead conversion rates, close rates, pipeline coverage ratio, and sales rep productivity still are helpful to calculate basic sales math. Basic sales math is essentially what level of “X” inputs are required to achieve “Y” outcomes.  X being primarily marketing + sales investments and Y being new revenue. Advanced Sales Math takes this concept to another level, and will dramatically increase the performance of the #1 reason why B2B SaaS CRO’s and VP Sales lifespan is less than 18 months. The #1 reason the average CRO / VP Sales tenure is so short - the inherent challenges and low performance of FORECASTING!

Research highlights that only 54% of opportunities forecasted to close actually close in the original “closing” accounting period. The average number of times an opportunity “pushes” or changes forecasted close data is 3+ time.

A key, new variable in advanced sales math is the ability to factor in buyer engagement metrics, across each step of the buying process across every resource at both the buyer and the seller.  The challenge of traditional “event” based sales processes and forecasting were dependent upon the accuracy and timeliness of data  in CRM systems

The proliferation of point solution in martech and salestech has led to even more complexity of filtering through the noise to find the right signals to increase forecast accuracy.  Having  integrated Go-To-Market teams coupled with an integrated and unified GTM data source is mandatory to enhance revenue intelligence leading to improved forecast performance

The concepts covered in this episode of Metrics that Measure Up are thought provoking, and even possibly career preserving for any CEO, CFO and CRO in todays B2B SaaS ecosystem.

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