Refine Labs, a leading marketing firm, announces the release of its Split the Funnel Framework. Split the Funnel is highly effective in identifying wasted spend in a pure marketing qualified lead model, which most B2B SaaS companies still run due to outdated demand waterfall models and misguided requirements for digital touchpoint-based attribution.
Modern marketing teams should be accountable for revenue. But most companies don’t analyze their marketing performance with revenue in mind. In fact, many companies hold marketing accountable for leads or meetings, with no rigor around or regard for how many of those ultimately convert into revenue.
When pressure gets put on the marketing budget, it starts to become very clear what’s working and what’s not. Especially when you scrutinize each program against actual return on investment (revenue) instead of cost per Marketing Qualified Lead.
In this framework the Refine Labs team recommends the following steps:
1. Revenue leaders should measure the Opportunity Source in your CRM on the Opportunity record. This data shows the optimal paths for your brand to capture existing demand in the market and is easily measurable using software-based attribution.
- 2. Separate conversion sources between those that are ‘Declared Intent’ (e.g. Demo Request, Contact Sales) and ‘Low Intent’ (e.g. eBook download, webinar attendees, trade show badge scan, intent data). Then calculate the core sales analytics between the two sources.
- 3. Calculate the core sales analytics between the sources in the previous step (e.g. conversion rates, lead-to-win rate, net new ARR, sales velocity).
- 4. Visualize how much conversion intent matters to sales velocity and sales productivity. (Found in the image below.)
- 5. Recognize that not all MQLs are created equal. Measuring on MQLs incentivizes teams to get the most volume of MQLs for the lowest cost (low intent conversions), which creates a gap in alignment with sales productivity and sales goals.
6. Separate into two Pipeline Sources (Declared INtent, Low Intent). Plan and build your goals for these two sources separately.
Chris Walker, CEO of Refine Labs says, “This framework shows you exactly how you want buyers to enter the pipeline (when capturing demand) for maximum sales velocity and sales team efficiency. You’ll also know exactly why buyers choose to take those paths to enter pipeline and what triggers, channels, and tactics move them to conversion. With all of these insights, you can re-architect your strategy that optimizes for revenue.”
Refine Labs' Split the Funnel Framework shows you how to identify what is driving revenue for your business and what is not so that you can optimize your resourcing, staffing, and program spend accordingly.
The firm has also developed a comprehensive Split the Funnel Template to complement the framework. This resource empowers revenue leaders to quickly identify gaps in their strategy to stop ineffectively deploying marketing and get back to hitting revenue goals.
For marketing leaders seeking tactical ways to optimize their program efficiency, Refine Labs invites them to join The Vault, a knowledge hub filled with valuable resources, including the Inbound Buying Experience Framework. To access this exclusive content and take their revenue generation strategies to the next level, sign up at https://vault.refinelabs.com/sign-up.
About Refine Labs
Transform your marketing to create breakthroughs in growth with Refine Labs - the account-based marketing and demand generation firm for B2B companies using Salesforce or HubSpot. Trusted by more than 200+ high-growth companies, Refine Labs experts bring your company narrative to life and rapidly drive it into market with all your best-fit customers using industry-leading demand creation strategies.
Learn more about Refine Labs at www.refinelabs.com. Connect with us on LinkedIn, TikTok. Listen to our Podcasts - Revenue Vitals, Stacking Growth.