ELG Insider Daily #666: How much power do numbers really have?
Numerical data is known simultaneously to be 1) hard proof, 2) easily manipulated. How can you use them to prove the power of your partner ecosystem to drive revenue?
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PRINCIPLES
Make your numbers count
We couldn’t really get around the number of this newsletter, so let’s talk about the power of numbers in evaluating impact.
Success in business is ultimately measured in revenue and currency, concrete numbers. Sales performance is also often measured in numbers like deal size, win rate, time to close. Those are the results of numbers of qualified leads and open opportunities. At the end of the day, these numbers tell you if your strategy is working — as long as they’re measured accurately, which takes careful work.
What about sentiment? The value of relationships? The perfectly timed warm intro email? The content and tone of the conversation that pushed a deal from a maybe to a yes?
If you’re a go-to-market leader, this tension probably keeps you up at night. Not only are some things impossible to measure, but numerical data can be manipulated, intentionally or unintentionally, depending on what and whom you include in your measurement.
This is where trends and corroboration can help. Are you at least measuring consistently, and are the numbers going up? Is there external evidence that what you’re doing works in similar contexts? If you’re making a case for continued or new investment in a strategy, get your own numbers right, but expect skepticism or requests for even more numbers. Gather numbers from other trusted sources.
TL;DR: Don’t give any single number too much power, but understand the power of numbers that tell an irrefutable story.
TACTICS
20 stats you should know about the power of your partner ecosystem
Antonio Caridad is Head of Global Partner Operations at Tricentis, a champion of Ecosystem-Led Growth, and a discerning consumer of data to help guide decisions.
He recently shared an invaluable resource on LinkedIn for GTM leaders and practitioners who want to make the most of their ecosystem: an attributed list of 20 compelling stats from trusted, diligent sources about the impact and potential of partnerships.
Taken individually, these numbers can only say so much. Together, they tell quite a story about ELG.
We’re sharing his list here, but you can also visit the post to add your own.
Market Trends:
🌎 75% of world trade flows through indirect channels. - Forrester
🌎 84% of companies state that partner ecosystems are critical to their strategy, and 76% believe that they will significantly impact their businesses within the next five years. – Accenture
🌎 83% of digital ecosystems involve partners from four or more industries, and 53% involve partners from six or more. – Boston Consulting Group (BCG)
🌎 94% of tech executives view innovation partnerships as necessary to their strategy. - Forbes
🌎 Companies that became ecosystem-first have experienced a 47% accelerated product-to-market. - EY
Customer Attraction:
👋 84% of B2B buyers start with a referral. - Harvard Business Review
👋 75%+ of B2B buyers consult three or more sources before making a purchase decision. - Extole
👋 87% of ELG leads are of higher quality than other lead sources. - Pavilion + Crossbeam
👋 Cold calling in B2B sales only has a 2% success rate. - Extole
👋 74.2% of buyers report that a system’s ability to integrate is very or extremely important. - HubSpot
Sales Growth:
💰 89% of salespeople actively use partners to close sales, and 84% improved their sales results from last year using partners. - Salesforce
💰 ELG deals are 49% likelier to close when a partner is involved, and close 31% faster. - Pavilion + Crossbeam
💰 Organizations with strong partner programs experience a 20% increase in upsell revenue, and 15% higher renewal rates. - Canalys
💰 ELG deals have a 48% higher ACV. - Pavilion + Crossbeam
💰 49% of organizations attribute 26% or more of their revenue to partners. - HubSpot
Retention:
😎 Acquiring a new customer can cost 5x-25x more than retaining an existing one. - Harvard Business Review
😎 Partnered vendors have 10% higher CLTV and nearly 14% lower churn. - Forrester
😎 Increasing customer retention by 5% can increase profits by 25%-95%. - Harvard Business Review
😎 Integration users are 58% less likely to churn. – Crossbeam
😎 Customers who work with partners are 57% more likely to renew. - Forrester
FROM THE ECOSYSTEM
Future of Revenue survey
As a GTM leader, your experience and insights are crucial to understanding the direction of revenue strategies in our industry.
We’ve partnered with Pavilion to survey GTM leaders, and we’d love it if you could take 7 minutes to share your thoughts.
It’s completely anonymous, and you’ll get early access to the report before its official release this fall.
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Share your experience here.
STUFF YOU CAN’T MISS
- TOMORROW September 26th — Dueling Perspectives: The Great AI SDR Debate — Join Sangram Vajre, Co-Founder and CEO of GTM Partners, and Matt Milen, Co-Founder and President of Regie.AI, as they share the real potential of AI in sales development (and its implications for your GTM strategy). Register now.
- October 1st — SalesIntel Annual Summit — SalesIntel is organizing a 100% free and virtual summit where you will find specific tracks curated for sales, marketing, and RevOps and roundtable working sessions focused on sharing actionable ways to build pipelines and achieve growth goals. Save your seat here.
- October 1st - 3rd — RevCon — RevGenius partnered with Common Room, Sigma, Avoma, The Juice, and many more to bring you a 3-day virtual conference to reunite your sales, marketing, RevOps, and CS leaders behind to learn and discuss about the future of SaaS. Save your spot here.
- October 14th - 16th — GTM2024 — Join Pavilion at The Fairmont in Austin, TX to get ahead on your 2025 GTM strategy, learn about market trends, and boost your GTM strategy. Get your ticket here.
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