Marketing carrying a quota? This is one question that has been tossed around for years. In today’s corporate culture it is essential that sales and marketing teams are inter-dependent. That is, they must collaborate on the demand generation funnel such that there is one view of the truth. If this is so, then why wouldn’t marketing carry a quota…it’s called Marketing Contribution to Revenue.
Today, achieving this number and growing it should be the goal of marketing departments worldwide. As illustrated in the book, The Goal by Eliyahu M. Goldratt, if companies don’t make a profit they aren’t in business anymore. This philosophy goes along way to supporting the premise that marketing should carry a quota. More and more, clients we work with are adopting this strategy with great success. Why?
Simply because it increases effectiveness in marketing campaigns and spending and ultimately creates affinity with sales team members. Remember, with your sales team, modern marketers are sunk. Without total allegiance from your sales team members, leads will not be followed up with, and thus, marketing contribution to revenue is unattainable.
So what should the number be? In some organizations it is as much as 40% of the total revenues. This needs to be developed internally, but the number should be something that gets the attention of sales team members. Then, that number should be checked quarterly against results and reported with trending and such just like pipeline and forecasting. This gives you a clear indication of how demand generation professionals on your team are doing.
After all, the era of batch and blast and see what sticks is coming to a close. Measure Marketing Contribution to Pipeline and see what happens to revenues. It is really something.