Set Strategic Revenue Objectives to Drive Predictable Growth
All companies set revenue goals. The game-changer? A clear strategy to achieve them.
According to Clari Labs research, Revenue Leak costs companies 26% of their revenue. And a staggering 61% of companies missed their 2023 revenue target.
After thousands of conversations with top revenue leaders, we’ve distilled what sets the winners apart. One key? A laser focus on precise and strategic Revenue Objectives.
What Are Revenue Objectives?
Revenue Objectives are specific, measurable targets for growth, underpinned by a cohesive strategy to execute against. For global enterprises, these objectives must account for innovation cycles, new market entries, and customer experience excellence.
CONSIDER THIS
Rather than simply aiming to "increase revenue," a strong Revenue Objective would look like, "grow ARR to $145M by expanding in EMEA and improving ACV by 25% in our enterprise segment." This is concrete, measurable, and aligned with a broader strategic initiative, setting the stage for focused, disciplined execution.
3 Examples of Enterprise Revenue Objectives
- Udacity focused their Revenue Objectives on Quarterly Business Reviews (QBRs) and upsell opportunities, reducing churn by 10%.
- Carbon Black’s Revenue Objectives focused on increasing forecasting accuracy – eventually achieving 95% accuracy.
- 6Sense treated retention and expansion with the same focus as new business, driving 100% year-over-year revenue growth.
Building Revenue Objectives that Scale
To achieve long-term success, CROs must align their Revenue Objectives with broader business initiatives. Whether you're pursuing a new product launch, expanding into emerging markets, or driving M&A, your Revenue Objectives must be bold, measurable, and linked to your company’s strategic vision.
For example, when entering a new market, set a clear objective like "Increase ARR in APAC by 25% through targeted campaigns and partnerships." This clarity ensures every department knows their role in reaching that goal.
The Future of Selling: Run Revenue with Precision
At Clari, we've analyzed over $4 trillion in new and recurring business to uncover the blueprint for setting effective Revenue Objectives. Our new Revenue Objectives Checklist distills these insights into actionable steps designed for leaders like you. We explore how to:
- Diagnose your specific revenue challenges and engage leadership to align around solutions.
- Design clear, measurable Revenue Objectives that drive focus across your teams.
- Align objectives with your organization’s long-term business vision for growth and innovation.
- Track and report on progress quarterly to ensure ongoing precision and execution.
Are you ready to lead your team to predictable, scalable revenue growth? Get your copy of the Revenue Objectives Checklist and start linking your growth strategy with actions.