Digital Marketing Blog | Tips for Scaling Revenue Success

Why Raising Revenue Targets Can Hurt Growth

Written by Jay Feitlinger | Feb 6, 2026 9:01:50 PM

Raising revenue targets without changing how sales and marketing operate usually backfires. Teams lose confidence, pipeline friction increases, and top performers disengage. The fix is not lower goals. The fix is better systems, clearer paths, and smarter timing.

 

If you have ever raised revenue targets and felt momentum slow instead of accelerate, this episode explains why.

If you have ever increased sales goals expecting growth and got frustration instead, this episode covers what is really happening. You will learn how to set revenue targets teams can believe in, protect morale, and avoid burning out your strongest performers.

Before you read further, this conversation started on the Revenue Rewired podcast, now live on Apple Podcasts, Spotify, and YouTube. If you can relate to this topic, I recommend listening to the blog. If this topic feels familiar, I recommend listening to the episode alongside the blog. Hearing how Sarah and I talk through real examples adds context you will not get from a headline or summary.

 

Why higher revenue targets feel right but often fail

On paper, higher targets seem motivating. Growth should create urgency and focus.

In reality, teams feel pressure long before they feel motivated. When goals jump without explanation or support, confidence drops fast. Reps start the year assuming they will miss before Q1 is even over.

Most of the time, nothing else changes.
The sales process stays the same.
The tools stay the same.
The handoff between marketing and sales stays messy.

That gap creates pipeline friction and stress at the same time.

 

 

The real issue is not ambition. It is the system.

Big goals are not the problem. Broken systems are.

When leaders raise targets, they rarely slow down to ask where deals already struggle. Lead quality might be inconsistent. CRM data might be unreliable. Sales cycles might already be stretched thin.

If those issues stay in place, higher targets simply expose them faster.

As Sarah said in the episode:

You cannot ask people to scale outcomes if the organization is not ready to scale what supports those outcomes.

What unrealistic targets quietly do to morale

This is the part most leadership teams miss.

When targets feel unrealistic, disengagement starts early. Some reps stop pushing. Others stop caring. The most damaging exits usually come from top performers.

High performers see the math. They know effort alone will not close the gap. Once belief disappears, it does not come back with better incentives or louder messaging.

That loss compounds fast.

 

Timing is just as important as the number

One of the biggest takeaways from this episode is when revenue targets are set.

We see better outcomes when planning starts earlier. Q3 is where bottlenecks should be identified. Q4 is where systems should be improved. That way, when new targets are announced, teams can see proof that something has changed.

Dropping aggressive goals during annual planning without groundwork feels like moving the finish line mid-race.

 

Revenue targets need a path, not just a number

A number on a slide creates pressure. A number with a plan creates buy-in.

Teams want to understand:
Why this target exists
What barriers have already been removed
How compensation and resources support the goal

When people see a path forward, effort follows naturally.

 

Practical suggestions if you are raising revenue targets this year

If you are a CRO, CMO, or CEO facing pressure to grow faster, here are a few practical moves we recommend.

First, work backward from capacity, not desire. Look at lead flow, conversion rates, and sales cycle length before setting the number.

Second, fix friction before announcing goals. Clean up CRM data. Tighten the sales and marketing handoff. Clarify ownership across the funnel.

Third, explain the why early and clearly. Even a short explanation builds trust and alignment.

Finally, align compensation with effort. If targets double, upside should increase too. Otherwise, motivation erodes quickly.

These steps do not make goals smaller. They make them believable.

 

Questions CROs ask us all the time

Q: Why do higher sales targets burn teams out?
A: Because effort increases while friction stays the same.

Q: What is a ghost handoff?
A: It is when leads move from marketing to sales with no clear ownership, killing follow-up and pipeline momentum.

Q: Should revenue targets always increase every year?
A: No. Targets should reflect capacity, market conditions, and system maturity.

Q: How fast do teams disengage after new targets are announced?
A: Often within the first 30 to 60 days.

 

Why does this perspective come from experience?

Sarah Shepard and I have lived this from different sides. I spent years inside sales organizations and advising mid-market companies. Sarah has led operations and marketing teams through aggressive growth cycles.

We have seen revenue targets work when systems change first. We have also seen them quietly damage momentum when leaders skip that step. This episode is grounded in real conversations and real outcomes.

Growth does not come from pushing people harder. It comes from removing the friction that keeps them from winning.

If you want help fixing the system behind your revenue goals, connect with our team and let us talk through it.