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Predictable Revenue: the keys to Aaron Ross

If you want to build a “sales machine”, you must make your business generate constant and predictable income. There can be no guesswork or last minute actions. The key is to design and implement a framework that generates consistency year after year, in a formulated, repeatable and scalable process. A predictable and scalable revenue system is the perfect tool to take the growth of a B2B business to the next level.

This is how we could summarize the concept of Predictable Revenue, the axis of Aaron Ross’s proposal, the title of his book, considered the bible of sales in Silicon Valley. There he describes in detail the good practices that allowed Salesforce.com to reach $100 million, before founding the company of which he is CEO and founder.

Currently, Ross is one of the world’s leading B2B sales experts and his outbound sales model has been replicated in countless organizations of various sizes.

Predictable Revenue: process, no magic

“Predictable Revenue” is a term that refers to a sales and marketing strategy that focuses on generating revenue in a consistent and predictable manner. Aaron popularized the term by compiling his methods and approaches to creating a predictable revenue stream in B2B sales into a book.

Basically, it is a system that allows you to establish solid processes to generate leads, nurture them and close effective deals.

The key concept behind Predictable Revenue is to divide the sales process into specific, highly specialized stages, with teams dedicated to each stage. In fact, according to Aaron Ross, a significant reorganization of sales teams and a disciplined approach to lead generation and prospect management are essential for it to be successfully implemented in B2B companies.

In addition, Ross maintains, it is important to adapt the strategy to the specific needs and circumstances of each company. But, in all cases, it is key to have a business development team that bridges the gap between marketing and sales to drive a consistent sales system that generates predictability.

A three-stage strategy

What Aaron Ross proposes is a three-stage sales structure: prospecting, qualification and closing. Each stage has a specialized team with clear roles and responsibilities.

Some of the key elements of this strategy include:

  • Specialized prospecting: A prospecting team is exclusively in charge of generating leads and prospecting for potential clients. They focus on contacting quality customers (those most likely to convert) and including them in the sales funnel. This allows sales reps to focus on closing deals instead of actively seeking out clients.
  • Focus on lead quality: Instead of looking for a large number of leads, the focus is on the quality of the leads. This means identifying ideal prospects and directing sales efforts toward them.
  • Automation and systems: Process automation and the use of customer relationship management (CRM) systems are key components to making the process efficient and measurable.
  • Measurement and data analysis: se places a strong emphasis on measuring performance at each stage of the sales process and adjusting strategy based on the data collected.

According to Ross, an unpredictable good quarter is not good enough: a successful sales strategy requires “predictable revenue,” consistent year after year. It drives a type of business growth that isn’t based on guesswork and last-minute reactive hustling at the end of each period or month.

More quality than quantity

Another focus of Ross’ strategy is to focus on the quality of resources. To build a “sales machine” and predictable revenue, you don’t need to rapidly grow your sales team or double your work hours. It is something that cannot be sustained in the long term and is not scalable, he says.

In the most effective sales organizations, salespeople don’t increase customer acquisition: it’s about being more effective in their targeting. That’s why it’s an important change from traditional sales. If something isn’t working, putting more pressure or working harder won’t make things better. We have to change what we were doing and it doesn’t work.

For Ross, sales of the future must increasingly look like account management, as customer acquisition must be placed squarely in the hands of marketing.

Specialize: everyone pays attention to their game

In his books and lectures, Aaron emphasizes the need to specialize, specialize, and… specialize! It is a fundamental pillar of a strategy focused on predictable revenue. Sales people should not be prospecting. It is a big mistake to not have a specialized approach.

Key performance indicators and metrics

Aaron is one who likes to set a success bar for some basic metrics that are achievable to make people feel successful. Give people a path to success.

You can’t have predictable income if you’re not tracking and measuring metrics correctly and regularly. If you can’t understand what works and what doesn’t, then you can’t manage it and grow it.

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