Strategic Revenue Management: Predictable, Data-Driven Growth for Carriers

In this series, e123 President Brendan McLoughlin will explain what Strategic Revenue Management (SRM) is with a detailed 6-step guide on how you can implement this framework within your organization.

In the world of health insurance, carriers depend heavily on agents and brokers to sell their products. That means a lot of the sales activity—and the data behind it—sits outside the carrier’s direct control. Too often, carriers are left hoping their marketing materials get to the right producers and that those producers choose to prioritize their plans. It's a bit of a land grab: whoever gets the most agents, gets the most members. But as the market gets more competitive, that approach is less effective – it’s inefficient, hard to measure, and doesn’t scale well.

That’s where Strategic Revenue Management (SRM) comes in. SRM is a smarter, more intentional approach to distribution strategy. It brings structure and data-driven discipline to an area that has historically been a black box. In this new blog series, we’ll walk through what SRM means and how to apply it, starting with the big picture.

What Is Strategic Revenue Management?

At its core, SRM is about focus. Where are you investing your resources—money, people, time, energy—and just as importantly, where are you not? One healthcare executive summed it up well:

“I imagine a future where our business isn't just growing; it's thriving with loyal, engaged members and predictable, profitable sales growth.”

That’s what SRM helps you build: a model where your distribution efforts are aligned with your business goals by helping you prioritize across four critical dimensions:

• Products
• Geographies
• Customer segments
• Distribution partners (agencies and agents)

Instead of trying to sell everything to everyone, SRM ensures that the right agents are selling the right products to the right customers in the right markets. It aligns products, localities, agencies, brokers, commissions, marketing, and member activities to drive sustainable, profitable growth, creating significant competitive advantage.

Who Needs Strategic Revenue Management?

If you’re a health plan looking for consistent, profitable growth, SRM is for you. This is equally true for national players facing unprofitable sales as well as regional or local carriers competing against national names. These smaller plans often feel like they’re at a disadvantage due to having less capital, fewer resources, and smaller networks. But healthcare is local. That’s a strength, not a weakness. With the right technology and a focused strategy, local plans can outperform the bigger players.

Here are a few signs that you’re ready for SRM:

• You lack a distribution strategy and/or your sales results are unpredictable
• You’re spending heavily to acquire members but unsure whether it’s paying off
• Your agent/broker network feels misaligned with your growth strategy
• You need better visibility into performance across your distribution channels
• Your market is getting more competitive

What Problems Does Strategic Revenue Management Solve?

As insurance distribution becomes increasingly complex, many carriers face challenges that only SRM can solve.

Lack of Strategic Alignment

Carriers often have products, geographies, and downlines that don’t sync up. You end up marketing products in the wrong markets or working with agents who aren’t a fit. SRM brings these moving parts together into a single, coherent strategy.

Wasted Resources

Without a clear focus, time and money get spread across low yield products, markets, and agents. SRM finds the optimal combinations that drive growth to win in local markets, while allowing you to stop investing in what doesn’t.

Lack of Data

Most carriers lack real-time visibility into what’s happening in their distribution funnel. SRM, powered by the right technology, gives you access to actionable data on agents, enrollments, commissions, and member behavior.

Generic Acquisition Strategies

The "land grab" approach is costly and ineffective. SRM enables more thoughtful, targeted approaches that deliver better results with fewer resources.

Competitive Positioning Challenges

Winning in a local business like health insurance can feel overwhelming. But SRM helps everyone from 50 state carriers to local health plans sharpen their competitive edge by playing to their unique advantages.

Achieve Your BHAG With Strategic Revenue Management

Every health plan should know its Big Hairy Audacious Goal (BHAG). Whether it’s doubling market share, expanding to new geographies, or transforming the member experience, SRM is the strategic engine that gets you there.

By building a well thought out, local-first strategy—and aligning your resources around it—you can:

• Strengthen financial performance by driving growth
• Reach high-value customer segments, lowering your CAC and increasing LTV
• Optimize distribution by partnering with the right downlines and agents
• Grow a more loyal, engaged member base
• Create a sales model that delivers steady, profitable results

And with the right tech backbone, like the e123 distribution management platform, SRM becomes not just possible but scalable. e123 gives health insurers real-time insights into activity from the carrier down to the kitchen-table agent, enabling visibility into member enrollment, compensation, and performance—all in one place. That kind of visibility makes it easier to invest with confidence and grow with clarity.

SRM isn’t just a framework. It’s how modern health insurers build real, competitive advantage. And we’re excited to show you how to put it to work.

Ready to Transform Your Revenue Strategy?

If your organization is ready for predictable, profitable growth, you need Strategic Revenue Management. To learn more, download our Strategic Revenue Management whitepaper, watch Brendan McLoughlin, e123’s President, speak about how local carriers are beating national carriers by leveraging SRM, or stay tuned for the next post in this series.