Live ranking assesses tech industry’s revenue-generating marketing efforts.
Growth consultancy Revenue Practice launches the Revenue Marketing Index (RMI) – a live ranking for companies in the technology industry. The RMI is an evaluation tool that measures the potential profitability and effectiveness of sales and marketing campaigns, particularly for technology organisations. Unlike traditional marketing metrics, which focus on engagement and lead volume, the RMI evaluates activity based on how well they could contribute to revenue and profit.
Samson Husbands, Managing Partner of Revenue Practice comments:
“Paid marketing performance is only a minute contributor to the sales and marketing puzzle, but nearly all CMOs or VPs of Demand are ploughing resources and budgets into increasing ‘lead generation’ performance to ‘help’ the CRO. The industry is losing sight of what’s important. Creative quality, brand strength, sales expertise, and sales profile reach are the most impactful aspects of revenue and profit. If companies have a paid performance or pipeline conversion issue – it is not about their ads, it’s because the first four factors in the RMI criteria are failing.”
“The RMI evaluates marketing impact based on potential contributions to revenue growth. It assesses the key marketing criteria, from creative quality through to leadership ratings. This provides a surface-level picture of how the outside world views a company’s storytelling, highlighting growth and profit potential at the risk of annoying most marketers.”
The RMI assesses companies using 16 criteria that reflect the core drivers of revenue and profitability in sales and marketing campaigns. Each criterion is weighted based on its contribution to overall success, and the scores are calculated using a combination of qualitative analysis and quantitative data.
The RMI’s key criteria and their weightings of profitability impact are broken down as follows:
- Quality of Creative (14%)
- Brand Strength (14%)
- Sales Expertise (11%)
- Sales Profile Reach (11%)
- Messaging Clarity and Consistency (7%)
- Public Relations and Media Coverage (7%)
- Market Segmentation (5%)
- Channel Placement (5%)
- Integrated Comms (5%)
- Share of Voice (4%)
- Website Performance (4%)
- Social Media Engagement (4%)
- Customer Sentiment (4%)
- Competitive Positioning (3%)
- Paid Ad Performance (2%)
- Leadership Ratings (2%)
These percentages represent the potential impact each criterion can have on the profitability of a sales and marketing campaign, not how to reach a fictitious 100% profit ceiling. There is no limit to how great or effective a campaign can be, they simply highlight what is important when building activity. These criteria form the basis of the RMI score, providing a view of how well a company’s marketing and sales efforts are aligned to generate revenue.
The live index can be viewed at rmi.revenuepractice.com.
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2024-12-15 10:00:45