Go Beyond the Symptoms: How to Overcome Revenue Growth Challenges
Part 1 of 4: Grow Revenue from Your Existing Customers: How Big Data Analytics Can Help
This post is the first in a four-part series. Here, we discuss the key signs of slowing revenue growth and the first steps organizations can take to turn it around.
It isn't hard to Identify the symptoms of declining revenue growth. Often, more than one of the classic signs will be evident at any given time. A declining growth rate or a shortfall in revenue vs. the target level are perhaps the most obvious indicators. Operating expenses growing faster than revenue can be yet another strong harbinger of revenue growth challenges, as well as a potential indicator of a cost structure that is no longer aligned with the business’ sales capabilities. While they require more research and calculation to derive, declining market share or shrinking revenue growth rates vs. competitors are other telltale signs.
While the symptoms of revenue growth challenges are clear, the causal factors can be less obvious. Forensic analysis can generally identify the causal factors, but success depends on the skill of the analysts, and actionable analysis may require substantial time to complete. In many cases, Big Data analytics can play a role in accelerating the analysis, uncovering previously unsuspected causes and improving accuracy of the findings. Additionally, Big Data analytics can help identify and validate a course of action most likely to effectively address revenue growth challenges.
Ultimately, the answer to revenue growth challenges lies in identifying specific actions to take and then precisely executing these actions. Businesses that have already embraced Big Data analytics as a tool to support their overall corporate strategy can drive additional value by making Big Data analytics the cornerstone of their strategy for driving profitable growth.
John Mack is Executive Vice President of Marketing for Opera Solutions.
Part 1 of a 4-part series: “Grow Revenue from Your Existing Customers: How Big Data Analytics Can Help”
To learn more, view a recorded webinar that explores this topic in more detail, examines new ways to apply Big Data analytics to the challenge, and reviews case studies from industry-leading companies.