Revenue Leadership in Times of Disruption

Exceed customer expectations. Allocate resources. Create a winning culture. Drive above-market growth.

These objectives summarize the charter of the revenue leader. Yet, in times of volatility and uncertainty, revenue leaders assume a new level of responsibility.

Markets have been rocked first by the threat of tariffs and now by their activation. Supply chains and pricing have been the first elements impacted, but the effect of tariffs on the broader revenue generation organization goes well beyond.

Revenue leaders have a seemingly endless set of decisions to make and actions to take involving product availability, marketing, distribution, coaching, training and more. They must develop plans that address the current uncertainty and an evolving macroeconomic environment.

Alexander Group research shows companies that deploy five critical revenue growth levers during times of upheaval will emerge stronger than before.

1. Customer Prioritization & Messaging
2. Investment Efficiency
3. Revenue Centric Marketing
4. Strategic Pricing
5. Incentive Compensation & Quotas

Customer Prioritization & Messaging

Retention is the immediate sales play to run during times of disruption. Companies must prioritize their most important customers and do whatever possible to prevent churn. Tariffs will impact customers differently and companies must shift focus accordingly. Conduct fresh voice-of-customer interviews to understand new pain points (e.g., cost pressures, supply chain risks) and alter value propositions as needed. Update ideal customer profiles (ICPs) to reflect customers’ buying needs, spend patterns and price elasticity. Companies must also adjust spend potential and propensity models to measure tariff sensitivity across the industries and segments they sell into.

Additionally, messaging prior to the tariff uncertainty is likely stale. Messaging should focus on cost-efficiency, risk mitigation and ROI resilience. Tailor messaging and related content to sectors most impacted by tariffs.

For those on the offensive: taking market share from competitors and prospect identification is critical. Business development resources may find success in targeting customers of competitors who are severely impacted by tariffs and cannot deliver products.

Investment Efficiency

Margin pressures from tariffs will necessitate a re-evaluation of channel mix and a rebalancing of sales and marketing investments. Now is the perfect time to invest in digital first engagement models. These models are faster to scale and communicate broadly with customers during uncertain times. One golden rule proven during COVID is to not simply cut sales and marketing expenses to offset tariffs. Companies who cut to the bone will be challenged to restart go-to-market teams after the crisis passes.

For those on the offensive: top sellers at firms negatively impacted by tariffs may be available. Targeted recruiting of talent could lead to an upgrade for key roles (e.g., key account manager, specialists).

Revenue Centric Marketing

Efficient marketing strategies and activities can significantly reduce sales costs through automation, self-service content and targeted outreach. By shifting from broad-based demand generation to precision campaigns with short payback periods, businesses can achieve more effective results. It is crucial to cut underperforming channels and reallocate resources to digital and partner ecosystems that are closer to the customer decision cycle. Building closed-loop dashboards that directly tie marketing influence to pipeline and bookings enhances transparency and accountability. Furthermore, integrating marketing deeper into pre-sales motions with AI-enabled qualification and nurture programs can streamline processes and improve lead quality.

Finally, driving cross-sell and upsell campaigns can grow revenue per customer without incurring new customer acquisition costs, thereby maximizing profitability.

Strategic Pricing

Companies primarily sourcing raw materials as well as producing products in the United States could have significant advantages selling their products in the United States. These companies have a whole host of options, including using their tariff as an advantage to increase share. These companies could also match competitor price increases and increase profit margins.

If you do not think that you can go on the offensive, our partners at Revenue Management Labs (pricing specialists) have a few recommendations related to pricing, including:

• Competitors impacted by tariffs will likely take price, as should you even if you’re not negatively impacted by tariffs.
• Invest in operational efficiencies driven by innovation and manufacturing footprint adjustments, thus increasing margins. These improvements should not be passed onto customers.

Incentive Compensation & Quotas

Tariffs and the corresponding uncertainty will impact demand patterns as well as profitability.  Compensation programs developed in the fall of 2024 may already be out of date given recent events. Sales compensation programs and quotas align your sales team with corporate goals and are a significant driver of corporate success.

If the environment you are operating in or if your goals have changed, so too does your sales compensation program. Sales compensation is not a variable cost to be managed down unless the ongoing viability of the business is at stake. Sales talent will be the engine to propel growth as uncertainty resolves.

For those on the offensive: use the compensation program as a strategic value lever to keep top talent and showcase firm resilience. Show sellers that the plan can be lucrative in turbulent times, so the team keeps their collective foot on the gas.

Final Thoughts

Uncertainty related to tariff policy can have a significant impact on customers and companies’ go-to-market models. Companies that balance short-term uncertainty with a long-term focus will ultimately win. The growth levers outlined, coupled with strong leadership, represent the core actions revenue leaders should take to successfully navigate an uncertain marketplace.