4 Challenges of Revenue Management

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4 Challenges of Revenue Management

By CFO Tech Outlook | Friday, September 25, 2020

Different revenue management software solutions can gather data from a company and the market to help them make informed decisions about how to run the business.

FREMONT, CA: Revenue management is a data-driven strategy that predicts and informs the right time and ways to optimize revenue generation based on customer behaviors. It is about selling the right product/service to the right customer at the right price to benefit the business.

Top 10 Revenue Management Consulting/Services Companies - 2019Like any business advancement, revenue management also faces some challenges during its execution. Here are four obstacles faced when implementing revenue management:

Channels and Outreach

It is essential to understand that each channel has its place in a coordinated marketing plan to create an outreach plan properly. Potential customers will mostly use email, text, phone, and social media regularly, therefore following leads on each of these channels will be advantageous.

Because following up through each channel can be time-consuming, some firms integrate artificial intelligence (AI) solutions to do the tasks.

Overcoming Data Issues

Businesses need to depend on improved data instead of more data to create a revenue management strategy. Teams should be encouraged for long-term planning while allowing for short-term agility to address the issues daily.

Different revenue management software solutions can gather data from a company and the market to help make informed decisions about how to run the business like competitor data, revenue estimations, rate suggestions, and more.

Communication Challenges

Communication problems between different teams is one of the obstacles in revenue management. In sales and marketing, salespeople and marketers might be engaged in a set of goals, while revenue managers are involved in another. Communication breakdown or no communication will result in a push and pull among teams leading the organization in various directions without moving forward.

Focusing on good communication and alignment will enable everyone to work towards maximizing revenue across teams.

Sales AI Assistants Assist in Revenue Management

Sales AI assistant autonomously reaches out leads through email or text and fuel them into opportunities. When the lead is sales-ready, it is transferred by the AI assistant to a salesperson to complete the deal.

AI assistants can focus on different groups of potential customers to increase sales-ready leads that don’t make sense to send to employees who following the leads. These assistants are different from usual email marketing outreach campaigns as it processes autonomously and create original, human-like interaction for every message.

See Also: Top Artificial Intelligence Solution Companies

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