Every year, Model N commissions a research study to better understand how life sciences and high-tech executives are embracing opportunities and overcoming challenges in modern revenue optimization and compliance. Now in its sixth year, the State of Revenue Report reveals that executives believe revenue management to be business critical, and they’re using data to drive the transition from managing revenue to truly optimizing it.
Advanced analytics embraced by two-thirds of executives
C-suite executives in both industries are investing in advanced analytics capabilities as a means of identifying trends, so their teams can focus on areas that will deliver the greatest return. External data sources feed decision-making for 96% of these companies, and virtually all executives agree that benchmarking data is a critical source of revenue management insights. These responses indicate that companies know that a well-rounded data strategy can give them an edge at identifying possible competitive advantages and opportunities for improvement within their revenue management programs.
Life sciences and high-tech executives realize there is room for improvement when it comes to leveraging data in their revenue management programs:
- Nearly half (48%) of pharma executives believe limited access to formulary data impacts their ability to ensure formulary compliance.
- 92% of medtech organizations face challenges with managing customer and membership data.
- Only 27% of high-tech organizations consistently use channel sales data to inform price management and optimization.
In the wake of market uncertainty, executives look inward
For the second year in a row, supply chain issues continue to hamper companies’ innovation plans. This, coupled with changing customer demand and constraints with materials availability, have caused a shift in strategy. Instead of emphasizing product development and innovation as they did last year, C-suite executives indicate that they plan to focus their 2024 innovation plans on internal efforts, such as process efficiency (24%), technology and digital transformation (22%), and cost reduction (20%).
Get the complete story
Understanding how existing business practices are evolving – and what’s driving these changes – can help you find new ways to optimize revenue, grow market share, and reduce risk. The 2024 State of Revenue Report delivers the valuable insight that will empower you to shape strategic plans that can position your organization for short- and long-term success.
Read the 2024 State of Revenue Report for in-depth findings on the state of data and analytics within revenue management, ways modern technology is supporting revenue processes, and the challenges and opportunities facing revenue teams. Then attend the State of Revenue webinars to learn about the global and market trends that are having the greatest impact on how life sciences and high-tech companies are optimizing revenue and ensuring compliance.
