Unlocking the Power of Signals: A Guide for Revenue, Marketing, and Sales Leaders

January 11, 2025
Unlocking the Power of Signals: A Guide for Revenue, Marketing, and Sales Leaders

When it comes to growing a business with limited resources, one of the most impactful approaches is understanding and leveraging signa

When it comes to growing a business with limited resources, one of the most impactful approaches is understanding and leveraging signals. These are the key indicators throughout your customer journey and organizational processes that provide actionable insights. But how do you harness signals effectively without falling into the trap of endless, fruitless data projects? Let’s break it down.

Why Signals Matter

For RevOps, marketing, and sales leaders, signals are essential tools. They offer clarity in strategy, enable precise decision-making, and provide a structured path to achieve growth even when resources are constrained.

In today’s environment—where unlimited budgets are a relic of the past—signals allow you to focus on what truly drives success. Instead of guessing or relying on anecdotal evidence, you can identify what works, double down on it, and amplify your results.

But signals can be a double-edged sword. Without proper setup, they can become resource black holes, leaving you with little to show for your efforts. This blog will help you understand how to deploy signals effectively, no matter your company size or budget.

Key Considerations for Using Signals

To make signals work for your organization, you need to answer a few fundamental questions:

1. Do You Have Product-Market Fit?

If you’re still figuring out what resonates with your audience, signals might not provide much value yet. Instead, focus on building a strong foundation with manual methods like spreadsheets and qualitative insights. Once you’ve established product-market fit, signals can help scale and optimize your efforts.

2. How Complex is Your Customer Journey?

For companies with simple customer journeys, signals can be straightforward to implement and highly effective. But if your journey is complex, you’ll need to weigh the potential benefits against the resources required. A smaller company with a complex journey should focus on broader signals rather than diving deep into granular details.

3. What’s the State of Your Data Infrastructure?

A solid foundation is critical. Signals rely on clean, reliable data. If your CRM is a mess or your marketing tools are disorganized, start by fixing these core issues. Trying to build a sophisticated signal system on top of bad data will lead to frustration and poor results.

4. What Budget and Resources Do You Have?

Both time and money play a role in your ability to deploy signals effectively. With limited resources, focus on high-level signals and specific problem areas. With more resources, you can go deeper, tracking detailed customer journeys and integrating advanced analytics.

5. Are Other Teams Aligned?

Signals are most powerful when they span the entire organization. Marketing, sales, and RevOps need to collaborate to ensure signals reflect the full customer journey. Siloed efforts may yield some insights, but they’ll never match the impact of a coordinated approach.

How to Determine Signal Depth Based on Company Size

Your approach to signals will vary depending on the size and scope of your organization:

Micro Companies (<$5M Revenue)

Focus on high-level signals:

  • Broad metrics like revenue, CAC (Customer Acquisition Cost), and LTV (Lifetime Value).
  • Channel performance to identify where to double down.

Small Companies ($5M–$15M Revenue)

Add depth by focusing on one detailed channel:

  • For example, if Facebook is your top-performing channel, map every touchpoint in the customer journey.
  • Identify top positive and negative signals for that channel.

Medium Companies ($15M–$50M Revenue)

Expand to three detailed channels:

  • Analyze signals across multiple successful channels (e.g., paid search, email, outbound).
  • Dive into granular data to refine campaigns and improve overall efficiency.

Large Companies ($50M+ Revenue)

Go for comprehensive coverage:

  • Track broad, high-level metrics across all campaigns.
  • Measure detailed signals across all channels and customer journey stages.
  • Set up dashboards and BI systems for real-time tracking and decision-making.

Jumbo Companies (>$1B Revenue)

Implement granular and intricate systems:

  • Utilize advanced analytics and automation.
  • Focus on extracting small but impactful insights from vast amounts of data to drive large-scale revenue gains.

The Pareto Principle in Signal Strategy

When working with signals, keep the Pareto Principle in mind: 80% of results often come from 20% of efforts. Focus on the signals that matter most—the ones tied directly to growth and performance. Once you identify these key drivers, invest your limited resources to maximize their impact.

Conclusion: Are Signals Right for You?

Before diving into signal analytics, assess your readiness:

  • Product-Market Fit: If yes, proceed. If no, pause.
  • Customer Journey Complexity: Simple? Signals are a fit. Complex? Evaluate based on size and resources.
  • Data Infrastructure: Ensure it’s reliable before building on it.
  • Budget: Even a modest investment can yield results if used wisely.
  • Team Alignment: Cross-functional collaboration amplifies impact.

Signals are not a one-size-fits-all solution, but with careful planning, they can transform your organization’s ability to make data-driven decisions. Whether you’re a scrappy startup or a seasoned enterprise, understanding the depth and breadth of signals appropriate for your stage can help you unlock sustainable growth.

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