Years ago I was in charge of marketing and demand generation for an online media company. We were publishers whose main product was leads. We would generate leads on our clients’ behalf via content syndication, webinars, etc. We had one client that bought as many leads as they could from us. They had metrics and conversion rates that they would present to us each quarter, a team of marketers working on demand generation and an agency, and an inside sales team dedicating to qualifying leads for sales. Their game was tight. We revered them. [Read more…]
Before you read further or prepare to leave a comment below that I have missed the core elements of sales-marketing alignment, please read my previous work here:
- Best Practices for Building A Revenue Machine
- Sales and Marketing Alignment Reality Check for Marketers
I am a proponent, consultant, advocate for the core elements that have to be in place for sales and marketing alignment and those posts should help you see my point of view. In other words, yes I understand that things like shared expectations and responsibility are critical, but this post is focused on what I consider recent developments in the sales-marketing cold war.
First of all, let me say that a lot of companies are really trying. The relentless blogo-sphere rantings on aligning sales-and-marketing have brought more organizations to the table. Many companies have a qualified lead definition, have shifted real revenue-generation responsibility to marketing, track their efforts, and have generally attempted to become modern revenue machines. I love it. Marketing is at the big boy table. A giant first step has been taken.
Let’s explore some of the new issues hampering alignment but before we do — please take note: I will talk further about these issues with Jason Miller from Linkedin and Justin Gray from LeadMD on an amazing webinar on February 25th at 11am. This going to be a really cool format: We are hosting a debate. I will represent sales and Justin will represent marketing. Jason will attempt to moderate us. Both sides will be represented. Be there for the fight of the century.
Editor’s note: Today’s post is from Bonnie Crater, President and CEO of Full Circle CRM. As you might imagine, posts on funnels are a favorite of mine…Enjoy!
Funnels are great tools for understanding exactly how sales and marketing functions are working – both on their own and together. At Full Circle CRM we believe that leveraging CRM systems (like Salesforce) is the best way to get the most accurate and complete funnel metrics across your entire demand generation organization. Salesforce tracks a ton of response information from both your sales and marketing efforts and provides some great insight into your overall demand generation health. With Full Circle CRM’s native Salesforce Marketing Performance Management application added on top of your Salesforce instance you are able to get a more complete picture of the key metrics your funnels are tracking to truly understand how your overall demand generation efforts are performing.
Let’s take dive a little deeper into how to leverage Full Circle CRM to get the most out of your demand generation funnels in Salesforce.
Step 1: Define Your KPIs
The first step of building out any report is determining what exactly you are trying to measure. The same is true with your demand generation funnels. KPIs can be anything from generating a particular number of MQLs (Marketing Qualified Leads) to having a specific amount of days it takes responses to move all the way through funnel (aka velocity) to having sales accept 50% of the leads that marketing sends over (conversion rates). These are going to be different for each company but with Full Circle CRM enhancing Salesforce’s ability to track critical performance metrics at a granular level you can easily set up reports in the standard salesforce.com reporting UI to track these across any category that is relevant to your business.
Step 2: Assess Baseline Metrics
The key metrics that we find are the most helpful to track are the volume, conversion rates, and velocity of your funnels. Volume tracks the sheer amount of responses that are being generated and is a critical metric helping you determine if you are generating enough raw leads to hit your revenue goals. Conversion rates show the quality of the responses and how effective your organization is at transitioning responses between different funnel stages or departments. Velocity shows how quickly responses move through the funnel and is an important metrics for finding and eliminating bottlenecks in your processes.
Editor’s note: I get asked all the time to post infographics. As a general rule, I don’t like to post them. However, if I am a mentioned in the infographic and there is a cartoon image of me???? Don’t judge me, but I gotta do it. Please send any complaints to our complaints department (which we have still yet to hire). Net-net, this is a great infographic so enjoy:
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