Palo Alto, CALIFORNIA, June 7, 2021 – The Gong Revenue Intelligence Platform yields a three-year, 481 percent return on investment (ROI), according to a Forrester study released today. The commissioned study, “The Total Economic Impact™ Of Gong Revenue Intelligence Platform” conducted by Forrester Consulting, found that companies benefit from using Gong in four measurable ways, in addition to other qualitative benefits.
According to Forrester, selling has changed: “68% of buyers prefer to gather information on their own, and 60 percent prefer not to interact with a salesperson at all. Because buyers are further along in the buying journey, sales teams need to capitalize on every customer conversation and need to harness accurate, timely, and actionable customer insights to drive revenue.”
The challenge is that, until recently, sales tools haven’t been keeping up.
For this just-released study, Forrester interviewed executives at several companies – and conducted a financial analysis covering what happened before and after using Gong’s platform. Forrester then used the information to create a composite organization to quantify results. The composite organization, based on Forrester’s Total Economic Impact™ framework, is representative of the companies Forrester interviewed and modelled as a U.S.-headquartered B2B software-as-a-service company with annual revenues of $800M, an average deal size of $20,000, and 750 people in the sales organization.
Forrester found that before using Gong, sales representatives at the companies it surveyed, “relied on their email inbox and memory to discuss pipeline and deals with their managers, along with ad hoc stories developed to create supposed insights into buyers’ behaviors.”
After using Gong, Forrester found positive quantifiable differences: “The customer interviews and financial analysis found that a composite organization experiences benefits of $12.1M over three years versus costs of $2M, resulting in a net present value (NPV) of $10M and an ROI of 481%.”
The $12.1M in benefits derived from using the Gong platform were attributed to:
- Increase in incremental profit driven by Gong
- Reduced time sales representatives spent on administrative or low-value tasks
- Reduced time for onboarding and ramp-up of new sales representatives
- Increased sales manager productivity through Gong-enabled coaching improvements
Additional benefits of using Gong reported by companies in the study but not quantified, included: reduced talent attrition, improved alignment between sales and marketing teams, and increased transparency around performance goals.
“(Gong) brings precision, visibility, and actionable next steps into the deal process, enabling organizations to increase win rates and work more efficiently,” according to the study. Customers recognized “the anatomy of a good deal for their organization. Gong’s proprietary artificial intelligence (AI) warned when something unhealthy showed up so the customers’ sales representatives could intervene.”
This latest study builds on a 2020 Gong-commissioned Forrester Consulting study, “Navigate the Future of Selling with Revenue Intelligence,” that found companies using revenue intelligence tools to supplement traditional CRM software were more than twice as likely to significantly over-perform their sales goals compared to companies that didn’t.
“With this latest study, evidence of Gong’s ability to help improve win rates and increase deal sizes continues to build,” said Amit Bendov, CEO of Gong. “Third-party studies and personal experience worldwide demonstrate that Gong helps revenue teams make decisions with data instead of opinions. These data-driven decisions lead to powerful, demonstrable and positive results.”
Gong enables revenue teams to realize their fullest potential by unveiling their customer reality. The patented Gong Revenue Intelligence Platform™ captures and understands every customer interaction, then delivers insights at scale, empowering revenue teams to make decisions based on data instead of opinions. Over 2,000 innovative companies like LinkedIn, MuleSoft, Paychex, PayPal, Shopify, Slack, Sprout Social, Twilio, and Zillow trust Gong to power their customer reality. With Gong, customers experience improved win rates, increased deal sizes, and accelerated employee ramp-times. Gong is a private company headquartered in the San Francisco Bay Area. For more information, visit https://www.gong.io/ or follow us on LinkedIn.