Time is money, and when it comes to time to revenue, many B2B sales teams underestimate the negative impact of slow lead-response times on their likelihood of closing deals. So, how fast do we really need to be?
According to these statistics about lead-response time, every minute counts:
- 50% of buyers close with the vendor who responds first
- Lead-response times under 5 minutes have a 21x progression rate
- Yet the average industry response time is 61 hours!
Considering how much effort companies put into generating these leads, it’s clear that the old way of selling is broken. Most Sales and Revenue Operations teams should make it a top priority to identify the preventable points of friction slowing down their sales process.
In 2021’s uncertain global economy, many teams did just that as they sought more efficient ways to accelerate revenue and close deals. Our 2021 Benchmark Report demonstrates how revenue leaders are realizing that implementation of best-in-class solutions and automated processes can reduce revenue leakage and manual overhead, while improving pricing management and speeding up revenue expansion. Conversely, companies that fail to adopt these solutions are faced with declining relative sales velocity.
Finding hidden points of friction in your sales process
When it comes to sales friction, the usual suspects include outdated and ineffective sales administration. This includes things like searching for files within long email threads, faulty sharing permissions and version management, and having sales reps manually produce quotesy.
With a globally dispersed sales team or an extremely large product catalog, such friction points can critically slow down time to revenue.
Our 2021 Benchmark Report for Revenue Leaders focused on B2B pricing challenges and the sales tech stack. In the data compiled from this study, we found that:
- 84% of SMBs using CPQ software can send quotes within 30 minutes, compared to 57% of SMBs without a CPQ.
- 43% of enterprises (300+ employees) using CPQ software can send quotes in less than 30 minutes, compared to 35% of enterprises without a CPQ.
Source: DealHub’s 2021 Benchmark Report for Revenue Leaders (Figure 12)
Other sources of sales friction stem from the challenges inherent in remote collaboration, such as waiting on approvals and signatures, and negotiating and redlining contracts .
Nevertheless, 86% of companies surveyed in our report treat contract management as only an afterthought – and have yet to integrate a CLM solution.
Source: DealHub’s 2021 Benchmark Report for Revenue Leaders (Figure 3)
A lack of CLM software forces sales reps to keep track of multiple contract versions with internal and external stakeholders, and to update the CRM after every change made in the contract. This not only increases chances of making mistakes, but also delays the buying cycle.
Our benchmark report also reveals that hiccups holding back revenue execution can be resolved through technical efficiency. By using centrally managed sales tools to support Sales and Revenue Operations teams, you can streamline your sales process to dramatically shorten the path from opportunity to customer.
- 52% of SMBs using CPQ software can send sales proposals in less than 30 minutes, compared to 45% of SMBs without a CPQ
- 32% of enterprise companies using CPQ software can send sales proposals in less than 30 minutes, compared to 7% of those without a CPQ
Source: DealHub’s 2021 Benchmark Report for Revenue Leaders (Figure 15)
Notably, SMB and enterprise sales reps using DealHub are able to create accurate price quotes in eight minutes, on average.
And the effect reverberates – turning opportunities into customers more quickly frees up your salespeople to focus on selling instead of administrative work.
How DealHub supports frictionless sales
DealHub’s revenue amplification platform lets you integrate and manage the entire sales process within your CRM. This includes automated price quote configuration (CPQ) and contract management (CLM), subscription management to scale your renewals, eSignatures, and document generation – all brought together in an interactive DealRoom.
Sales teams can reliably configure products and pricing to produce quotes in as little as eight minutes. Then, using a guided sales playbook and our DealRoom sales proposal software, they can create standout branded proposals to impress prospects.
Our DealRoom is a living, breathing document that pulls accurate data from your CRM into one place, including all relevant details, processes and updates. It walks customers through every step of the buying journey, delivering an intuitive and transparent selling experience which they can easily share with other decision-makers.
Final thoughts on growing revenue faster, even in 2021
Today’s B2B selling environment requires software that can support a frictionless sales process. DealHub’s end-to-end revenue amplification software with native CRM integration lets sales teams quickly and reliably flow through every sales touchpoint to speed up time-to-revenue.
We’ve seen some of the most exciting technology companies in the world use the global economic challenges of 2021 as a catalyst to drive faster innovation in nearly every industry – and revenue execution is no exception.