The CEO Challenge

Helping you apply the science of Revenue Generation to drive predictable, profitable growth

CEO Challenge

Is Marketing an Art?- VIDEO

what-is-revenue-science

Revenue Science Questions - asked and answered in 60 seconds.

We'll be posting these quite regularly on the blog, so please let us know if you have any questions you'd like Rick to answer in 60 seconds or less!

 

If you would like to know more about Revenue Science Certification,

Click Here to schedule a call with Rick

“Revenue Science” creates the greatest growth from your
Marketing, Selling, and Delivery resources deployed.

Contact Us to learn about “Revenue Science”
deployment and certification.

Article written by Rick McPartlin

Rick McPartlin

As the co-founder and president of The Revenue Game, my mission is to help companies focus their organizations around the critical function of "revenue generation."


CEO Challenge

If Timing is everything – Do you control it or HOPE for it?

The real question for a business is does great timing result from intentionally applying “Revenue Science” or is hopeit just “the right place, at the right time, with the right stuff” – in other words LUCK?

We have all seen situations that work out well like Fred Smith (FedEx).  Fred had to do a paper for an Econ class and outlined the FedEx business model that he later successfully launched.

We have all seen situations like the Dymaxion Car designed and build by Buckminster Fuller one of the great thinkers of the last 100 years but because of an accident, fear and the self-interest of a powerful politician plus a big dose of bad luck the Dymaxion Car raced into utter failure from sure victory.

Is Netflix just in the right place at the right time to pick up the pieces from Blockbuster or is it “Revenue Science” at its best?

Rarely is any person or team so wise that they can perfectly see from today to the future so they arrive at the right place at the right time with the right stuff based on their original strategy.  That is why so many great successes are built on top of failures large and small.

Seldom is the original strategy the winning strategy, which is why the military says “No Battle Plan Survives Contact With the Enemy.”  That is why the Marines who do great strategy and planning live by “Improvise, Adapt and Overcome”.

Business in not different from the military and all great strategies get great surprises when they go to the market.  Often the first product fails but uncovers an offshoot the compels the market.  Often things designed for the military or corporate environments become toys or games.

“Revenue Science” is the foundation that makes Improvise, Adapt and Overcome real and easier for those in business than any other options available.  This results in ongoing continuous improvement no matter the original strategy or what happens in the market.

There is no question every CEO takes advantage of LUCK and fortuitous market bubbles as much as they are challenged by bad luck and unexpected market chaos.  The difference is how well they Improvise, Adapt and Overcome.

Organizations with a “Revenue Science” culture take advantage of both market good luck and market bad luck.  Most organizations faced with bad market conditions or luck withdraw, scale back or give up as opposed to those science based cultures who Improvise, Adapt and Overcome in the difficult times to dominate as things improve.

Don’t hope the timing is right!  Use “Revenue Science” to make the timing right no matter what.

 

“Revenue Science” creates the greatest growth from your
Marketing, Selling, and Delivery resources deployed.

Contact Us to learn about “Revenue Science”
deployment and certification.

Article written by Rick McPartlin

Rick McPartlin

As the co-founder and president of The Revenue Game, my mission is to help companies focus their organizations around the critical function of "revenue generation."


CEO Challenge

3 Reasons NOT to just fix Lead-Gen

Myths say "Revenue Generation" success is a result of filling the top of the funnel, which is pictured 5 to 10 times wider than the exit and shows Qualified Leads written on notebook with charts.4 to 10 levels of activities in the funnel.

The myths infer if we do something that fills the top of the funnel (the funnel is not filling itself or we would not be having this conversation) then the 4 to 10 activities will flush deals out the small bottom of the funnel.

Gravity has taught us that the right things put in the top of the funnel just run down and out – right?

For Gravity, just like the business world, that picture of things flowing from the top and running out is not always true:

  • The exit always is a critical factor in what can or cannot flow out.
  • What is put in the funnel may not flow out at all, the size of the exit will always determine what CAN flow out, and the exit speed (pour in large stones and they don’t come out – pour in sand it comes out – pour in wet sand it may or may not come out depending the size of the exit).
  • In the case of wet sand if someone has a tool (the 4 to 10 activities working in an aligned way) they can push more wet sand through the exit than just waiting for the sand to be ready to exit.

There are many reasons the funnel pushes business leaders into decisions that may work in a buyer frenzy bubble (feeding the myth) while spiking both the short-term and the long-term “Cost of Chaos” that gets recognized and becomes problematic when the bubble bursts.

Here are three important reasons why just fixing the Lead-Gen activity of filling the top of the funnel may not only not improve sales but may damage the business.

1. Filling the top of the funnel alone does not help manage or improve the flow out of the funnel?

  • The goal is not a lot of leads at the top (that eat resources and get qualified out), but the right number of the right type at the right time to get as close to 100% qualified and closed by available selling resources as possible.
  • Often the top of the funnel is only a list of targets which requires an investment in sorting out those worth processing. The top of the funnel must be more than the yellow pages.

2. The reason the top of the funnel must be the right amount of the right type of suspects at the right time is to move through the funnel at the maximum speed. This requires the qualifying and selling resources to be able to handle each lead as developed to the best possible outcome at the highest speed.

  • When the top of the funnel is large do you want to invest money to do a great job processing bad leads to find the good leads and then invest more money to fill the top of the funnel with more leads to process hoping to find good leads?
  • Building a big top to the funnel process to find the right number of the right leads is the most expensive investment you can make before there is offsetting revenue to support it. Every investment needs a justifying return, so how does a full top of the funnel assure that return when the funnel exit is so small?
  • What if the top of the funnel has more volume than the selling investment can effectively process? What are the impacts beyond backing up the funnel and wasting the lead-gen dollars (quality, brand, order takers, etc.)?

3. The goal is the ability to control the right stuff, exiting the funnel at the right velocity, for the right investment.

  • From an investment standpoint, do you want a funnel with massive investments in programs and people at the top or do you want a pipe (not a funnel) that can expand and contract with changes in the market requiring the right investment for the right flow no matter what happens in the real world?
  • Do you want the right amount of the right stuff coming out (the funnel or the pipe) or do you just want enough to keep the doors open?
  • What are the differences between the right amount of the right stuff coming out (the funnel or the pipe) or just wanting enough to keep the doors open as applied to:
    • The ability to hire the right people
    • Margin
    • Brand

Today the image of the funnel creates more problems than it solves.  Buyers don’t get poured into a funnel.  Today buyer’s opt-in for their reasons and the business is responsible to help the right buyers to opt-in at the right volume to fill a “pipe-line” (not a funnel) that can expand and contract with changes in the market.

The “pipe-line” investment is focused on how to make it easy for the buyer to select the seller based on the value for the buyer.  Those 4 to 10 funnel layers may represent functions that help the buyer select the greatest value possible in solving their problem or they may notAnything in the pipe that restricts the buyer making a decision needs to be removed or replaced.

You can’t just fix the funnel’s Lead-Gen – you need to replace it with opt-in to the open end of the pipeline and help the buyer move to a value based buying decision or get out ASAP so both of you make the most money possible in the shortest possible time.

 

 

“Revenue Science” creates the greatest growth from your
Marketing, Selling, and Delivery resources deployed.

Contact Us to learn about “Revenue Science”
deployment and certification.

Article written by Rick McPartlin

Rick McPartlin

As the co-founder and president of The Revenue Game, my mission is to help companies focus their organizations around the critical function of "revenue generation."


CEO Challenge

CLASSIC – Dream A Little Dream

Every now and then we look back at our articles and see some that we consider CLASSICS. They were relevant then and are relevant now.  This is one of them.

Almost everyone’s long-term dream is different from today.
 So how do you stabilize today and move to tomorrow’s dream?

 

As the song says, “Dream a Little Dream of Me.”  We all have dreams for ourselves and our business that we hope become real, but too often life gets in the way businessman who dreamsand the future looks a lot like today or worse.

What if you could use that dream to get you on the path so that it actually gets closer and closer?

First, as the wise man says, you “Must Have a Dream to Have a Dream Come True” — and you and your business need to be stable enough to focus on that dream.  So get clear about your dream so that everyone on your team can share it with others and live that dream every minute of every day.

Think of your dream as your “true north” and make sure that the dream is measureable and deployable so that your team, your customers, and your partners know when they are on the path.

An example of being “on the path” is when your revenue strategy declares the niches you will dominate (i.e., those niches above the horizon line — see illustration).  Then when the sales team brings you a deal from a completely unrelated niche (i.e., below the horizon line) you will know exactly what to do.  Even if the deal is a large one that will make the sales person’s year and boost your revenue numbers above plan.Step1

That deal that is definitely below the “horizon line” must be passed on — you say no.  Use this example as proof of your focus, your commitment to dominating strategic niches, your need to remove the chaos by not being everything to everyone, and your integrity to your “true north” for all parties internal and external to learn by your action.

An example of an above-the-horizon-line-deal you can say yes to is when you realize the niche you have committed to dominating is larger than you had first thought:  not just online retail but it also should include bricks and mortar retail with an online presence.

When you commit to continually getting nearer and nearer to the “dream,” you are constantly creating a better and better definition of what the dream is both today and into the future. By making intentional decisions about your degree of alignment the real world opportunities draw you to your dream.

Year one is mostly about saying no to things that are below the horizon line that would actually move you away from your dream. Not just deals, but marketing programs, trade shows, product development, members of your team, partners, channels, and investments of all types that pull you away from the dream. Everything you invest time, money, or people in needs to be above-the-line and drawing you towards the dream.

Year two is your transition year from becoming stable to living your dream. It starts with further refinement of what you say no to: you move from saying no to anything below the horizon line to anything below 45 degrees.

When you started down this path, not only was the dream not clear, but your whole revenue strategy was clouded by individual interpretation and vague language. As your whole revenue organization reviews investments and market opportunities, your culture develops a better and better definition of great business that is aligned to the dream, and your team has stories with real-world examples to share internally and externally. Step2

They will share those stories and examples with each other, partners, and customers. This sharing creates greater clarity, more referrals, higher quality referrals, shorter sales cycles, and higher win rates. Your team will see the marked difference between the horizon line and the 45-degree stage almost overnight.

Along with the clarity of the problems you solve in the market, you become the “go-to” thought leader not only for the problems you solve through your product or service for those you say yes to, but also because those you said no to realize specifically what you do and know that you have integrity because you stuck to your dream. For example: you don’t just take a contract for the money — you only take contracts where you know you can solve the problem and make a positive difference.  You are in transition to living the dream.

By year three you seldom have to say no — all of your resources are focused on where you want to say yes. This is when you are living the dream, and most everyone in the market knows when to call you because they know what you do, that you do it very well, and you are a company with great resolve .

In year three, since your culture already knows the dream, you can focus on how to enhance the dream based on your new collaborative culture, changes in the market, and everything you have learned from such a clear focus. You will see things and know how to deliver things you didn’t even know existed three years earlier.

 

“Revenue Science” creates the greatest growth from your
Marketing, Selling, and Delivery resources deployed.

Contact Us to learn about “Revenue Science”
deployment and certification.

Article written by Rick McPartlin

Rick McPartlin

As the co-founder and president of The Revenue Game, my mission is to help companies focus their organizations around the critical function of "revenue generation."

+ more articles about , ,

'

Contact Us | Our Services | Clients | Testimonials | FAQs | Downloads | About Us | Speaking | CEO Challenge Blog | Home

Download one of our free e-books that helps businesses
eliminate strategies that impede revenue growth.

Learn about our Strategic Planning Services!

Copyright © 2007-11 The Revenue Game. "The Revenue Game" is a registered trademark of The Revenue Game, LLC, Scottsdale AZ. All rights reserved. |  Site map