SAN FRANCISCO--(BUSINESS WIRE)--ServiceSource® (NASDAQ:SREV), the global leader in recurring revenue and customer success management, today announced findings of a recent benchmarking study of 25 leading business-to-business (B2B) companies. The study, which covered 10 of the top 15 global software companies, represented more than $140 billion in revenue across the software, SaaS, technology and life sciences industries.
The research examined the maturity levels for these companies in the area of revenue lifecycle management, an emerging segment within the customer lifecycle management (CLM) category. Participating companies were measured on key criteria for each maturity level, and categorized based upon where they currently stand on the maturity scale. Key findings include:
- For the 25 companies surveyed (each generating an average of over $482 million in recurring revenue), each additional level of maturity gained represented an average increase in recurring revenues of $7.72 million.
- Companies able to elevate themselves by one full maturity level for all five lenses, including opportunistic, emerging, disciplined, optimized and strategic could increase their revenues by $38.6 million.
The research also identified three key strategies B2B companies are using to drive greater revenue growth from existing customers. These include:
Support Full Revenue Lifecycle Management. Businesses must implement strategies across the full revenue lifecycle, including initial sale, onboarding and adoption, retention and renewal as well as upsell or cross-sell. Companies with lower levels of maturity focused primarily on selling activities like renewals and upsell. Leading companies, however, have optimized their people, processes and technologies to address all aspects of the revenue lifecycle.
|2.||Data and technology are the strongest drivers for achieving higher levels of maturity, and greater revenue growth. People, processes and Key Performance Indicators (KPIs), while still critically important, had traditionally been viewed as the main drivers of RLM, but were shown to have less impact than technology and data.|
|3.||The leading companies in the survey inject a culture of innovation into their approach, allowing for rapid, iterative evolution. These companies were also found to leverage the world’s leading edge data and analytics technologies to enable their people and process investments, and drive business improvements and decisions in real-time.|
According to Kate Leggett, vice president and principal analyst at Forrester Research, Inc., in the February 2015 blog post, Forrester’s Top CRM Trends For 2015, “We predict that companies will use insights from CRM data to acquire more profitable customers through better targeting, to reduce the cost of acquisition in the early stages of the relationship, to cross- and upsell to the right customers, and to increase wallet share through loyalty, retention, and recovery programs. They will support these activities through various analytical solutions deployed across the customer lifecycle.”
“This study reinforces what we’ve learned at ServiceSource: that if B2B companies want to increase renewal revenue, they must invest first in front-end revenue lifecycle activities like onboarding and adoption,” said Christopher Carrington, CEO of ServiceSource. “ServiceSource provides a way for companies to measure their level of revenue lifecycle maturity, determine a best-practice plan, and then leverage our expert managed services and powerful cloud applications to drive improved customer success and greater recurring revenue growth.”
To assist enterprises in strengthening their own CLM strategies, ServiceSource also unveiled their newest Revenue Lifecycle Maturity Model today, details of which can be found here: http://bit.ly/prrlmm15.
For more information on the survey results, as well as the Revenue Lifecycle’s impact on CLM, download the whitepaper here: http://bit.ly/rlmstudywp15. You can also register for the live webinar here: http://bit.ly/rlmmwbnr.
ServiceSource (NASDAQ:SREV) provides the world’s leading B2B companies with expert managed services, cloud software and best-practice processes proven to increase customer success, drive revenue growth and decrease churn from existing customers. ServiceSource’s solutions help companies with onboarding and adoption, upsell and cross-sell, retention and renewals—the entire revenue lifecycle. Only ServiceSource brings to market more than 15 years of exclusive focus on customer success and revenue growth, global deployments across 40 languages and 150 countries, and a powerful, purpose-built recurring revenue technology platform. Thanks to ServiceSource, another customer is renewed every 47 seconds. For more information, go to www.servicesource.com.
This press release contains forward-looking statements, including statements regarding the benefits of ServiceSource offerings, our managed services and/or our cloud platform and application. These forward-looking statements are based on our current assumptions and beliefs, and involve risks and uncertainties that could cause our results to differ materially from those expressed or implied in our forward-looking statements. Those risks and uncertainties include, without limitation, fluctuations in our quarterly results of operations; the risk of material defects or errors in our software offerings or their failure to meet customer expectations; migrating customers to our SaaS offerings and the ability to integrate such offerings with other third-party applications used by our customers; errors in estimates as to the renewal rate improvements and/or service revenue we can generate for our customers; our ability to grow the market for service revenue management; our ability to protect our intellectual property rights; the risk of claims that our offerings infringe the intellectual property rights of others; changes in market conditions that impact our ability to sell our SaaS solutions and/or generate service revenue on our customers' behalf; the possibility that our estimates of service revenue opportunity under management and other metrics may prove inaccurate; demand for our offering that falls short of expectations; our ability to keep customer data and other confidential information secure; our ability to adapt our solution to changes in the market or new competition; general political, economic and market conditions and events; and other risks and uncertainties described more fully in our periodic reports and registration statements filed with the Securities and Exchange Commission, which can be obtained online at the Commission's website at http://www.sec.gov. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements.
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