When Drew recently asked a crowd of CMOs how much revenue marketing should directly generate, most said 5-15%. However, Eric Eden, expert CMO of Receipt Bank, claimed that marketing should be a company’s main revenue generator, bringing in 80% of all sales.
This uncommon point of view is explained and detailed on this episode of Renegade Thinkers Unite. Eric and Drew talk through the first two main steps of how to turn your marketing efforts into a revenue machine.
They discuss the importance of having a solid foundation marketing technology stack, all of the details behind why evidence-based marketing is the norm, and how to secure a substantial marketing budget for your team. You can listen to part 2 of this interview here.
You’ll learn a lot from part one of this conversation, so give it your full attention. Click here to listen.
Why a CRM is a foundational basis needed for any successful marketing or revenue-generating campaign
Eric explains on this episode of Renegade Thinkers Unite that without a functional and clean customer relationship management technology piece, your marketing will never turn into a revenue generator. He continues by saying that, “If you don’t have a good marketing technology stack that enables your demand generation engine, everything falls apart.” A solid CRM piece allows you to track leads, understand what is encouraging or hindering contract success, improves integration between marketing and sales teams, and is necessary when putting together a budget proposal. If a CMO is looking at upgrading a single piece of their marketing strategy, having a bombproof CRM platform needs to be at the top of the list. To hear why CRM technology is so critical, and to understand why Eric is so adamant about this piece of technology, be sure to give this episode a listen.
The importance of understanding evidence-based marketing to secure a substantial budget
Gone are the days where the phrase, “it’s complicated, just trust me!” can be successful in budget meetings with company executives. In order to secure the funds marketing teams need, CMOs need to understand how to articulate their marketing in in terms of data and evidence of success. The burden of proof lies with the CMO to persuade others why marketing as a revenue generator can work for the company. You have to determine how to frame things in such a way that makes people comfortable with spending dollars on marketing, build a common language that all teams and levels of employees understand, and prevent any misconceptions. Once you have set the stage and brought people over to your side of the budget debate, you can then begin to determine what percentage of the budget should be spent on each potential customer, and the ROI that would come from each prospective contract. This framing turns marketing into an investment, not a cost, and is the key to massive success. To hear Drew and Eric’s conversation surrounding evidence-based marketing and how it can ultimately be used to generate revenue, don’t miss this episode.
Transform your ordinary marketing campaigns into a massive revenue generator through automation
After a functional CRM piece, the next step to generate revenue is marketing automation – the second most popular piece of a technology stack. Eric urges listeners of this episode of Renegade Thinkers Unite to understand that automation cannot and does not happen overnight, or even within 90 days. A truly successful marketing automation plan can take upwards of 6 months to design and implement. But the time investment is 100% worth it. By hiring talented sales people and allowing them to actually sell your company, without getting bogged down by monotonous tasks, you are ultimately generating more revenue for the company. Automation allows more integration between the marketing and sales teams and setting the correct timeline expectations upfront will prevent mishaps later on down the line. Drew and Eric have a great conversation about marketing automation and the connections it has to revenue generation on this episode, CMOs in every industry need to hear it.
What You’ll Learn
- [0:29] Drew introduces his guest for this episode, Eric Eden
- [3:05] How to lay the foundation for marketing to become a revenue generator
- [6:00] Why the burden of proof for success lies with the marketer
- [8:27] What exactly is evidence-based marketing, and how do you define your strategy?
- [13:57] Eric walks through his process for securing a substantial marketing budget
- [22:02] The essentials for your company’s tech stack and additional layers to consider
- [28:22] What’s the next step after creating a solid CRM piece?
- [33:39] Why isn’t it more common to combine the first two layers of your marketing stack?
Connect With Eric:
- Receipt Bank’s blog – when Eric joined the team as CMO
- Connect with Eric on LinkedIn
- Follow Eric on Twitter
- Follow Eric on Facebook
Resources & People Mentioned
Connect with Drew
Meet the Guest
Eric Eden has over 20 years of experience in technology marketing for Internet services and SaaS solutions. Eric has extensive experience in building great marketing teams, implementing marketing technology solutions effectively, driving demand in B2B marketing, and increasing shareholder value with best-in-class marketing initiatives.
Eric has been a marketing leader in three companies that have gone public – Network Solutions, Verio and Cvent. Eric has also worked for a number of growth companies backed by private equity. Currently, Eric is the Chief Marketing Officer for Receipt Bank – a global provider of business finance apps used by over 100,000 small businesses.
Quotes from Eric Eden
- Understanding the right formula of getting agreement between sales, marketing, finance, and the CEO, and then testing it is really how you unlock the budget.
- You can't just start launching great campaigns without a tech stack. You can run the best campaign in the world, but it's like running a marathon and tripping right before the finish line because you don't have the right way to get the leads to the sales team. Or it's delayed getting to the sales team, or the data is wrong.
- You have to have a system of record that is one view of the truth. And that's usually the CRM system, and all the other marketing systems that you launch orbit around that CRM system.