3 | ENABLING REVENUE OPERATIONS IN A 21 ST CENTURY COMMERCIAL MODEL COPYRIGHT © REVENUE ENABLEMENT INSTITUT E revenue teams and the executives that direct them need real time. Visibility into customer engagement, seller effectiveness, account and pipeline health are the four top drivers of the performance of distributed, diverse, digital, and dynamic revenue teams. • Teamwork across functions has become funda mental to growth . There are 18 strategic levers that grow revenues, profits, and firm value ranging from information agility to customer equity, digital channel experience, to sales and marketing effectiveness according to an analysis by the Marketing Acco untability Standards Board. 7 But no single organization or leader controls all 18 growth levers. Developing operating models, incentives, and platforms that help get marketing, sales, and service silos working as one revenue team with a single common purp ose has become a primary growth imperative. SIX MEGA TRENDS DRIVING THE EMERGENCE OF REVENUE OPERATIONS THE EMERGENCE OF ECOSYSTEMS THAT CONNECT TECHNOLOGY ASSETS TO VALUE A new generation of leaders - CXOs - will accelerate growth and create financial value by knitting together functional and technology ecosystems to unify sales, marketing and service and reimagine the technology stack to enable high - performing revenue teams . THE PIVOT TO VIRTUAL SELLING CHANNELS ACCELERATES CHANGE A massive shift to remote work, hybrid work, and work from anywhere will act as a tipping point for sales transformation and transform the sales and marketing mix – shifting budgets to digital, data - driven, and measurable channels and accelerate digital tran sformation of sales . BUSINESS MODEL TRANSFORMATION DRIVES GREATER FOCUS ON THE CUSTOMER As businesses transform some or all of their sales to a subscription, SaaS and cloud based business model it dramatically increases the importance of recurring revenues, the customer experience and customer lifetime value as a focus of the revenue team. BUYING BEHAVIOR PUTS PRESSURE ON SELLERS TO DELIVER IN THE MOMENTS THAT MATTER Changing customer behavior will reach a tipping point as “new school” buying behavior forces organizations to transform “old school” selling models to meet higher customer expe ctations for faster cadence, complete answers, digital channel engagement, and relevant content . GREATER ACCOUNTABILITY FOR FINANCIAL RETURNS ON COMMERCIAL ASSETS Increased pressure to prove the contribution of growth assets to firm financial performance will fundamentally change how growth resources/assets are allocated, organized, funded, and measured and focus technology strategies on improving returns on the growth technology stack . A REVOLUTION IN ADVANCED SALES ANALYTICS A revolution in analytics and AI - led innovation - fueled by rich new sales engagement data sources, increased investment, leadership focus, and the broader adoption of data - driven selling approaches will become the primary driver of value creation in sales a nd the key to increasing the return on selling assets in the next decade. Collectively, these forces have made the functional management of marketing, sales, support and fulfilment resources and the notion of a linear customer journey partitioned by function obsolete. Businesses that use functionally based organizational systems developed in the 20 th century to manage a far more advanced and digital commercial model in the 21 st Century will get sub optimal growth from their growth investments and commercial infrastructure. The financial consequences of this lack of alignment are significant and growing:

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