One of the key things that organisations have learned during the current pandemic is the need for a reliable and scalable revenue forecasting system, a flexible business model and uniformity across all sales channels. There are companies that have struggled to meet their revenue targets owing to the unprecedented business scenarios that have been thrown up by the advent of Covid-19, while other companies have struggled to meet the sudden spike in the demand for their products and services because they have siloed sales channels.
Revenue and sales leaders across organisations are now recognising the need to reduce uncertainty around revenues, margins and prices, whilst at the same time being able to provide products to their customers in the most flexible way. In order to drive continuous organisational growth, it is now imperative that Sales and Revenue teams spend more time on focused customer interactions and delivering an enhanced buying experience across all channels rather than worrying about incorrect revenues and fixed business models.
Salesforce has now taken another leap towards providing a total Customer 360 platform by launching Salesforce Revenue Cloud. The aim is to consolidate CPQ, Billing, Approvals, Order Management and Revenue collection as a single pillar which can easily integrate with B2B Commerce and Partner Relationship Management applications to provide a unified platform for managing true-revenue, target margins and real-time pricing through omni-channel sales capabilities.
While Salesforce Revenue Cloud brings numerous advantages for organisations, in this article we have focused on the top 5 business benefits that underscore the importance of having a scalable and well implemented Revenue Cloud solution:
New Revenue Streams & Sales Channels
In situations where the direct sale channel has been adversely impacted, companies are looking to create additional revenue streams from new sales channels to increase income. For example, EHS – a corporate sanitisation products and services company – recently launched a B2B commerce platform to offer a Digital self-service buying experience for corporates, offices and shops. Results from the most recent quarter indicate that 70% of revenue was driven through this newly launched commerce channel.
New (consumption based) Business Model
Organisations are now looking for more flexibility to adopt different business models and promote new offerings to customers. For example, a Software firm wants to offer not just yearly subscription but also a usage-based model for a recently launched Video Conferencing Software. This type of flexibility is easily achieved by adding a new pricing model (that leverages existing product usage telemetry) through the advanced CPQ + Billing package.
New Product Launches
Gone are the days when companies had the luxury of having drawn out processes in order to launch new products or services. “Time to market” is of the essence in a highly competitive landscape. Advanced CPQ functionality, a part of Salesforce Revenue Cloud, accelerates the launch of new product offerings to simultaneously across multiple sales channels.
In an increasingly competitive virtual business environment created as result of the current pandemic, companies are looking for ways to avoid pricing errors and to protect margins; Pricing Managers and revenue leaders are demanding deeper visibility into pricing and margins across all deals. As an example, a pharmaceutical company, owing to an increase in demand, recently launched partner and distributor channels using Experience Cloud (formally known as Community Cloud), which internally uses the same pricing model that was designed for the direct sales channel. This enables both CFOs and CROs to enforce a consistent pricing approach while gaining full visibility across all customer transactions.
A key requirement for businesses around the world is to have comprehensive revenue visibility and forecasting across all sales channels. Revenue Cloud, in conjunction with Tableau, can help organisations generate revenue reports which are accurate, widespread and detailed enough to inform vital decision making.
Organisations across the globe now recognise the value in having greater visibility of their true-revenue position and the importance of improving the buying experience for their customers by delivering new, more flexible business models. Salesforce Revenue Cloud brings together CPQ and Billing, Partner Relationship Management and B2B Commerce capabilities to help businesses drive more revenue across multi sales channels, acting as a single source of truth for all revenue transactions.
Author : Ashish Arya
Ashish Arya helps Hansen’s customers to define their Quote-to-Cash business process transformation strategy on the Salesforce platform. With many years’ experience implementing Lead to Cash products (Salesforce CPQ & Billing and Apttus) for large enterprises, Ashish works closely with customers to re-define their B2B sales processes, identify industry QTC best practices and execute successful CPQ implementations to exponentially improve margins and revenue.
Hansen is a specialist consultancy helping you maximise Lead-to-Cash ROI. Our expertise is focused on unlocking value from your investments in CPQ, Billing and Unified Commerce on the Salesforce platform. We are actively engaged with organisations like the World Economic Forum, Jacobs Douwe Egberts, Deutsche Bank and Sandoz (Novartis) to transform their businesses at pace.
The “Hansen Difference” can be attributed to our CPQ and Billing heritage which is layered with process acumen established across many successful projects and industries. With Hansen, you can expect a trusted advisor invested in the success of our customers.