Analytics, AI/ML

Revenue Growth Management

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Revenue Growth Management

Revenue Growth Management


The modern marketplace is inclined more towards data-oriented insights. Technologies and data-driven approaches have become indispensable in today's customer-centric marketplace. Data analytics can play a significant role in understanding consumer behaviors, expectations from investors, and channel shifts. In this article, we will understand the concept of revenue growth management and ways to leverage modern technologies.

What is Revenue Growth Management (RGM)?

Revenue Growth Management is the mechanism of focusing on the consumers touch points and efficiently addressing the consumption and product experiences to maximize revenue growth.

Over the last few years, many CPG (consumer packaged goods) companies have realized the significance of revenue growth management. Businesses have embraced data-driven approaches and technology to drive productivity growth and maximize profits in consumer goods.

There are three different paths of RGM for better strategic growth and to nurture RGM to the next level. They are as follows:

1. Strategic RGM:

  • This is a long-term integrated approach built on the foundation of profound insights. It enables a CPG company to reap more granular decisions about where to invest and enhance revenues. By leveraging strategic RGM, companies with niche products are experiencing a growth rate of 35%.

2. Precision RGM:

  • Sometimes, strategic RGM requires data and analytics support for identifying opportunities at a radically granular level. Precision RGM harnesses analytical skills driven by data to deliver more precise revenue growth. According to an analysis by McKinsey & Company, data was the key to increasing marketing productivity by 15 to 20%.

3. Capabilities of RGM at scale:

  • Rolling out a precision RGM or strategic RGM at a large scale across the organization requires effective central coordination. Organizations can achieve this through a global 'Center of Excellence (CoE). It was observed that this program increased the overall benefit of RGM and added more than 2% revenue growth in the global market.


Every CPG executive should ask themselves whether they are leveraging the benefits of RGM capabilities. Companies eager to invest in technology-driven RGM can considerably increase delivery and revenue performance at any selected market or business niches. To read more such articles, visit

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