DealHub’s study of over 100 companies takes a closer look at sales teams’ pricing challenges, and how ineffective sales processes can lead to revenue loss
DealHub.io, the only complete Revenue Amplification (RevAmp) Platform, today announced the results of its “2021 Benchmark Report for Revenue Leaders.”
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The survey found that 80% of sales reps don’t know or properly understand sales margins, leading to significant revenue loss. Although C-suite executives are the most knowledgeable when it comes to margins, the report found that only 11% of companies involve them in the approval process for customer discounts. This often causes sales reps to provide inaccurate quotes or less-than-optimal discounts in order to secure deals and meet their targets.
The report’s findings point to a much-needed upgrade to the sales tech stack. Currently, many processes in the sales cycle are still done manually or by utilizing a number of siloed tools that can’t communicate with one another. But by adopting unified sales tools that streamline processes, sales teams will be able to work more efficiently, communicate more effectively with customers, and close deals faster.
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“Sales teams are due for a major upgrade as the industry continues to evolve,” said Eyal Elbahary, CEO of DealHub. “As companies grow, automated processes are no longer a nice-to-have but rather a need-to-have to ensure continued success throughout every stage of the sales lifecycle. Sales teams and the C-suite need a quick, transparent way to get a general understanding of their company’s cash flows so they can effectively adjust their margins and remain profitable.”
Additional findings from the report include:
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75% of companies get most of their revenue from subscription services, yet only 18% use subscription management software to streamline the renewal and upgrade process.
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41% reported that plan changes are their main challenge in subscription management; companies change pricing and packages frequently, but sales reps are not always updated.
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86% of companies don’t use contract management software, meaning that contracts are created, edited and finalized manually, thereby delaying time to revenue.
The survey was conducted in collaboration with Pavilion, with the participation of 105 B2B companies.
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