RevOps Co-op Weekly #1 - Getting quotas right for your SaaS sales team
How to set them, measure effectiveness and avoid complaints from your sales team (maybe?)
RevOps Co-op provides resources, content and community for those who ❤️ revenue operations. This weekly newsletter features collected tweets, posts and thoughts on a variety of RevOps topics.
Quota setting - everyones favorite thing to do, right? 🤷🏻♂️
This may sound familiar.
Your board meeting is complete and you're ready to chase an ambitious ARR goal for the new year.
You plan growth targets for your GTM teams top-down, which get translated into quotas for sales reps.
You hire the planned number of reps and are off to the races.
The year starts. Halfway in, things don’t look good.
You're way off track vs. your ARR goal.
The sales teams are demotivated and have no desire to push further because they're way off their quotas.
Ring a bell?
Almost all founders and GTM leaders of fast-growing startups undergo this situation.
Revenue growth goals are always on shaky ground, there's constant doubt on the quotas - are they a stretch goal, ambitious yet attainable? Or impossible to reach?
Here are some learnings from Siva Rajamani, CEO and Founder of Everstage, on the sales quota setting process from his days in revenue operations at Freshworks.
1️⃣ Know your key metrics - MQLs, SQLs, conversion rates, etc.
2️⃣ DO NOT underestimate sales ramp time
3️⃣ Split territories according to quota distribution
4️⃣ Ensure your quota period is > sales cycle
5️⃣ Don't forget seasonality
Siva wrote about this in more detail for SaaSBOOMi - click here for the full article.
🐦 This week in #RevOps Twitter
Big shocker, revenue operations is on the rise, at least according to the most recent State of Sales report by Salesforce
If you’ve ever been the first employee on a RevOps team, this should resonate
The crew over at Chargebee raised a big round of funding
📚 Your curated #RevOps reading list
A handful of recommended readings from this past week
How to structure GTM performance reporting for your board - from Jeff Ignacio, Head of RevOps at UpKeep
If you're a startup founder or go-to-market leader in SaaS, chances are you're knee deep in board prep right now. Likely taking that same slide deck from last quarter and rolling things forward. But have you ever stopped and asked whether or not you're presenting the most relevant information? Or whether there's a better way to provide a lens into GTM for your board?
How to apply design thinking to a RevOps world - from Lorena Morales, VP Marketing at Go Nimbly
Design thinking, at its core, is the ability to ask the right questions at the right time, always with the user in mind and without any excuse. The days of product-focused companies are gone, and for a good reason. This is exactly where the merge with revenue operations happens. The main belief of revenue operations is that your entire operations team should be looking at the same North Star. Yes, revenue. And again, with the only purpose of providing a gapless experience in the customer journey.
RevOps might be the revenue hero you didn’t know you needed - from the Salesforce blog
If you’re running a successful B2B company in 2020, your RevOps crew is likely the unsung heroes of your GTM process. And yet, so many business leaders make the mistake of seeing revenue operations as a cost, instead of a potential revenue driver. But companies that range from Snowflake to McAfee know RevOps is the secret sauce to maximize efficiency. According to this year’s State of Sales report, 89% of sales professionals say RevOps play an indispensable role in growing the business. When it is done right, RevOps helps everyone do their job better.
Funl is a GTM data platform that provides end-to-end, full funnel analytics and insights that keeps marketing, sales and customer success aligned and working seamlessly together. In short, Funl is an operating system for your GTM team.