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Infographic: The Evolution of Revenue Management

Revenue management. It’s a term you might be familiar with – but not necessarily in the realm of SaaS.

Scott White

January 21, 2020

Revenue management. It’s a term you might be familiar with – but not necessarily in the realm of SaaS. 

If you do any research on the term, you’ll find that its roots lie in the airline and hospitality industries. Historically, revenue management has described the entire system of setting prices and adjusting them based on supply and demand. For example, adjusting prices to fill up inventory (i.e., seats and rooms) that would be wasted if they went unused.

But that was then. 

And now, thanks to the SaaS Revolution, the meaning of revenue management has transformed and taken on an expanded meaning in an economy driven by recurring subscription models. 

Subscription SaaS is synonymous with revenue complexities – in a world of metered and pay-as-you-go pricing, predictability is near impossible and revenue is difficult to track and report on

The SaaS companies that will win are the ones that effectively manage their revenue by prioritizing and investing in three key areas – billinginsights and revenue operations (RevOps). Together, these tenants of revenue management help SaaS companies drive product innovation, business growth and customer satisfaction, ultimately fueling rapid revenue growth. 

But how did we get here? When did revenue management make the jump into the SaaS world, and where will it go in the future? 

Check out our infographic below for a peek into the Evolution of Revenue Management. 

Want to enable your SaaS business to win with revenue management? Chat with one of our B2B SaaS experts today. 

Revised-Infographic-for-Chargify-1-1

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