Marketing, sales, and customer success form the foundation of business growth. When these functions operate in silos, the result is a measurable decline in key performance indicators (KPIs) that affect the bottom line. Aligning these teams and focusing on the right metrics is essential for optimizing growth.
3 Pitfalls of Misalignment
1. Mismatched Goals and Metrics
Misaligned teams often focus on different metrics. Marketing measures demand creation with metrics like reach, market presence, web traffic, lead-to-opportunity conversion rate, and cost per lead. Sales looks at pipeline generation, pipeline aging, conversion rates, average contract value, and the duration of the sales cycle. Customer success tracks churn rate, net revenue retention, net promoter score (NPS), and expansion revenue.
When these goals and metrics don’t align, resources are wasted, conversion rates drop, and customer satisfaction decreases. Marketing may generate a high volume of leads, but if they aren’t converting into quality sales meetings, the pipeline suffers. If customer success isn’t aligned with sales on client types, churn rates may rise, decreasing net revenue retention.
2. Inefficient Lead Handoffs and Pipeline Management
Misalignment also affects lead handoffs and pipeline management. Marketing’s role in demand generation includes metrics such as inbound lead generation, qualified leads, and cost per acquisition. However, if these leads don’t translate into quality meetings or a healthy sales pipeline, sales efficiency suffers.
Pipeline aging becomes a problem when there’s a disconnect between the quality of leads generated by marketing and those needed by sales to meet conversion targets. This misalignment lengthens the sales cycle, increases the cost per acquisition, and reduces overall return on investment (ROI).
3. Lack of Feedback Loops and Iterative Improvement
“Feedback loops between marketing, sales, and customer success are vital for continuous improvement. Without these loops, data and insights don’t inform future strategies. Sales teams often provide feedback on lead quality, which helps marketing refine lead generation. Customer success insights on client satisfaction and expansion potential inform sales and marketing efforts. For more on this, check out Mailchimp’s article: ‘Why Feedback Loops Are Essential for Business Growth’.
Without continuous information exchange, metrics like churn rate, customer lifetime value (CLV), and NPS decline. This breakdown impacts short-term revenue and long-term profitability, as dissatisfied customers are less likely to contribute to expansion revenue or provide referrals.
The Science of Alignment: Metrics that Matter
When marketing, sales, and customer success align, the benefits are clear:
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Improved Lead Quality and Pipeline Health: Aligned teams define and track shared metrics, such as lead-to-opportunity conversion rates and quality sales meetings. This leads to a healthier pipeline, reduced pipeline aging, and shorter sales cycles.
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Higher Customer Lifetime Value and Net Revenue Retention: When customer success aligns with marketing and sales, they reduce churn, increase expansion revenue, and boost customer lifetime value. Metrics like NPS show how well these teams deliver on the brand promise.
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Optimized Cost per Acquisition and ROI: Refining demand generation strategies through feedback and collaboration lowers the cost per acquisition and improves ROI. This happens when marketing investments translate into high-quality leads that sales converts efficiently.
The disconnect between marketing, sales, and customer success isn’t just a logistical issue—it’s a strategic vulnerability measured in hard metrics. Aligning these functions improves efficiency and drives key metrics like CLV, ROI, and net revenue retention. The result is a growth engine that delivers consistent, sustainable results.
Bensman Co. can help moving beyond silos and leverage the full potential of your teams is essential for a unified, data-driven approach to business growth. See how our marketing consultancy services can help you today.