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Inconsistent Service Revenue? Here Are The Top Reasons

In this 3-minute video, we share some of the top reasons why your service business may be experiencing inconsistent service revenue. Watch or read below.


Is revenue difficult to predict in your business? Well, here are the top reasons behind inconsistent revenue growth and how you can spot it in your business.

Too Many Go-to-Markets

When we say go-to-market, we mean the way you can engage with customers to convince them to buy your product or service and gain a competitive advantage. For example, if you sell into healthcare and public sector, those are typically considered two different go-to-markets because they are two different selling motions. The customers are different. The buying journey is different. The pain points are different. How do you know if this may be a problem at your organization? Consider the following.

  • How many industry verticals are you going after?
  • Do you serve SMB solutions as well as enterprise solutions?
  • How many regions are you targeting?
  • And most importantly, what resources and budget are dedicated to each go-to-market?
Based on our experience, many firms focus on too many go-to-markets, with inadequate resourcing and budgeting.

This can cause strain on existing employees, create internal misalignment, and impact sales and marketing effectiveness.

A Stale Services Portfolio

Are you assessing your services portfolio on a regular basis? Are you monitoring competitors, market drivers, and changes in your customers' needs? Do you have a services portfolio roadmap? If not, you may be putting your business at risk. Not managing your portfolio of services with intention can cost you significantly in the future.

For example, if one or two customers are driving what your services or solutions are, you may end up with a disjointed portfolio or with a solution that no one else wants to buy. Furthermore, if you aren't adjusting to market needs or expectations, your business could end up becoming outdated, making it easier for new competitors to take away market share. Making a course correction later will require significant investment.

Ineffective Enablement

Proper sales and marketing enablement is becoming increasingly more important in business because the way people are buying is changing. Focus has shifted to value, impact, and business outcomes versus a services catalog. So ask yourself, if you hire a salesperson, are they able to ramp up in the 1st 60 to 90 days? Can your sales and marketing teams clearly articulate the value you provide to your ideal customer? If not, this may be an opportunity for improvement. Investing here can help increase conversions, shorten sales cycles, and improve your employee onboarding.

Internal Misalignment

If you ask your entire company, "what are our business goals and how are we going to achieve them? " do you think they'd echo the same response? Could they explain how their role supports that mission? If not, there may be misalignment impacting your strategy execution. We found that even the smallest teams can become misaligned and focused on the wrong things due to corporate politics, different goals and motivations, and lack of communication. Internal misalignment is one of the most common reasons why strategies fall apart because you can't steer a ship if no one knows where you're going.

Do any of these seem familiar in your organization? If so, Alveo can help. Contact us to learn how.