What is revenue attribution and why is it so important?
Once you’ve hit the $1M ARR mark and built out your go-to-market teams your organisation will most likely be deriving revenue from a mix of sources. These vary a lot, but might include a Sales Development Rep (SDR) team, salespeople sourcing deals themselves, partnerships, events, paid ads or content marketing. Being overly-focused on one source usually means that you're leaving opportunity on the table, and so it makes sense to see a bunch of sources at companies that have achieved some scale. Diversifying your demand generation is great for broadening the top of your funnel, but it does add additional complexity to your go-to-market engine and make things more difficult to manage. One of the tricky problems this introduces is revenue attribution. Once you have more than one source of revenue, you'll need to start deciding how to give sources "credit" for revenue. There are a few different methodologies you can use here, and each will have a different impact on the m