The New Framework for Revenue Growth in 2021 - TOPO Virtual Summit | October 6, 2020 - Amazon S3
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The New Framework for
Revenue Growth in 2021
TOPO Virtual Summit | October 6, 2020
Craig Rosenberg
Co-Founder & Chief Analyst,
TOPO
TOPO is a research and advisory firm
that helps the world’s best companies
achieve repeatable, scalable growth.
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 2
Thank You to Our Sponsors!
Title Sponsors
Platinum+ Sponsors
Platinum Sponsors
Gold Sponsors
The New Framework for
Revenue Growth in 2021
TOPO Virtual Summit | October 6, 2020
Craig Rosenberg
Co-Founder & Chief Analyst,
TOPO
INTRODUCTION • 2021 Market Trends: The Need for Speed • The New Framework for Product-Market-Fit • 2021 GTM Trends @topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 5
THE NEED FOR SPEED @topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 6
THE FRAMEWORK FOR REVENUE GROWTH (MAY ‘20)
STABILIZE REINVENT GROW
Organizations realize the severity of the Sales and marketing leaders reinvent Sales and marketing scale efforts
pandemic and economic crisis and take short- and long-term go-to-market in (proven, traditional tactics and reinvented
emergency measures to stabilize response to the new market reality ones) to accelerate growth in response
business to improving economic conditions
Reset revenue objectives and budgets Re-analyze target market Re-scale customer acquisition efforts
Enable work from home Re-package product offerings Accelerate digital transformation of sales
and marketing
Rebuild pipeline Re-define the go-to-market Adopt a lean, agile go-to-market
Make immediate tactical adjustments Re-allocate resources Move to a data-driven decision
framework
Embrace customers Re-design tactics and processes Build a resilient forward-looking
organization
Establish new metrics framework Re-incorporate proven strategies,
processes, and best practices
Deliver extreme value across the Adopt revenue operations
lifecycle
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 7NOBODY IS PLANNING PAST 90 DAYS • 90% of
THE TWO CRITICAL ATTRIBUTES FOR THE 2021 GTM
STABILIZE REINVENT GROW
Organizations realize the severity of the Sales and marketing leaders reinvent Sales and marketing scale efforts
pandemic and economic crisis and take short- and long-term go-to-market in (proven, traditional tactics and reinvented
Speed
emergency measures to stabilize response to the new market reality ones) to accelerate growth in response to
business improving economic conditions
Reset revenue objectives and budgets Re-analyze target market Re-scale customer acquisition efforts
and
Enable work from home Re-package product offerings Accelerate digital transformation of sales
and marketing
Rebuild pipeline Re-define the go-to-market Adopt a lean, agile go-to-market
Make immediate tactical adjustments
Embrace customers
Flexibility
Re-allocate resources
Re-design tactics and processes
Move to a data-driven decision
framework
Build a resilient forward-looking
organization
Establish new metrics framework Re-incorporate proven strategies,
processes, and best practices
Deliver extreme value across the lifecycle Adopt revenue operations
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 9PRODUCT-MARKET-FIT
IN THE ERA OF SPEED
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 10PRODUCT-MARKET-FIT HAS CHANGED FOR TODAY’S MARKET
TOPO Product-Market-Fit Framework
ATTRIBUTE REQUIREMENT EXAMPLE
Addresses Products and services designed to solve near- • Launching outbound to close 30% pipeline gap
Immediate Priority term, top-down priorities within 90 days • Pivot to new GTM strategy without disruption
Provides Immediate Tangible confirmation, via the product, of the • Keyword analysis and transcription from first call
Proof-of-Value solution's value during sales cycle or within 7 • “You’re all done!” (DocuSign)
days of purchase
Rapid Impact on Demonstrable impact on key business initiative • Increase in meetings created
Business within first 30 days • Increased inbound conversion rate
Deliver Actionable Product provides actionable data and insights in • Email messaging that is working vs. not working
Insights Immediately real time • Keywords from converting calls vs. non-converting
Enable Agile Product allows customers to quickly change • Immediately swap ineffective sales content
Business Changes business practices • Launch new training for revised pitch meeting
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 11THE 2021 GTM:
BUILT FOR SPEED AND AGILITY
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 12THE NEED FOR SPEED: KEY STRATEGIES FOR THE 2021 GTM 1. Follow the data: The ICP and target market can/should change based on market signals 2. Diversify the GTM 3. Design an infrastructure built for speed and versatility 4. Invest heavily in community because peer referrals are big winners in 2021 5. Prioritize outbound targets based on engageability 6. Build a sales process focused on 90-day priorities 7. Create a sales enablement process able to change in an instant @topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 13
1. THE ICP AND TARGET LIST ARE DATA-DRIVEN AND DYNAMIC
• ICPs and target account lists are changing as organizations use data to identify new account segments
• Internal teams rapidly review a new segment via a standardized checklist or methodology
• When a new segment is verified, programs are launched asap
Target Expansion Checklist
VARIABLE SCORE (1-3) ANALYSIS
Market Strength 3 Financial and industry growth analysis
Relevant TAM 2 Size of the market
Estimated LTV 3 Estimated number of potential users per account
Market Intent Data 3 Intent levels for organizations in the overall industry
Engagement Data 2 Lead, website activity from organizations in this market
90-day Urgency Score 1 Identify the key use case(s) – the market is trying to change (now)
Business Fit 3 Score how well your organization can solve the key use case(s)
Internal Effort 2 Product functionality, product marketing, etc.
Competitive Footprint 2 Competitive presence – Is this a greenfield market? Which competitors are in market?
Digital Transformation Score 2 For tech, what level of transformation has happened or is happening?
TOTAL: 23 23 or higher = Go forward
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 142. THE DIVERSIFIED GTM PORTFOLIO: RUN MULTIPLE APPROACHES
FOR MEETING THE CUSTOMER WHERE THEY ARE
Segment Strategy (Three GTM Strategies)
CATEGORY FACTOR ACCOUNT BASED PRODUCT-LED VOLUME
Organizational AE MM Inside Sales
Design
SDR Hybrid
DG ABM Manager Growth Marketing Team Demand Generation Manager
Strategy AE pipe strategy • Executive outreach • Track and engage with current customers SDR-QL follow-up
• Re-engaging old opportunities • SDR-QL follow-up
SDR strategy Orchestrated outbound Follow-up with high PQL scored, high fit targets Inbound follow-up
DG pipe strategy Orchestrated outbound • SEO/SEM • Digital marketing (e.g., webinars, content)
• Paid acquisition • Paid (content syndication)
Metrics Annual Contract Value $50,000 Annual Contract Value $42,000 Annual Contract Value $35,000
Target Accounts 1000 Leads 11,750 Leads 15,000
Engaged Accounts 419 Engaged Leads 8,675 Engaged Leads 6,741
Conversion Rate 42% Conversion Rate 74% Conversion Rate 45%
SDR-QLs 300 PQLs 3,600 SDR-QLs 2,292
Conversion Rate 72% Conversion Rate 41% Conversion Rate 34%
Opportunities 208 Opportunities 2,354 Opportunities 1,054
Conversion Rate 69% Conversion Rate 65% Conversion Rate 46%
Opportunity Accounts 139 Opportunity Accounts 1,973 Opportunity Accounts 980
Pipeline $10,400,000 Pipeline $98,868,000 Pipeline $36,890,000
Closed-Won 111 Closed-Won 715 Closed-Won 200
Conversion Rate 53% Conversion Rate 30% Conversion Rate 19%
Revenue $5,550,000 Revenue $30,030,000 Revenue $7,000,000
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 153. GTM INFRASTRUCTURE: BUILT FOR SPEED AND AGILITY
The rules of the 2021 GTM are speed and agility.
Revenue Operations teams are the key to building
and managing the data, workflows, and actionable
visibility to support the fast, flexible infrastructure
required to succeed in today’s market.
Speed: Maximize throughput and data
responsiveness
• Shift resources for immediate action to intent
and engagement signals
• Route prospects and customers to the right
resources for immediate follow-up
Agility: Organizations want to be able to rapidly
pivot when necessary, changing anything from
messaging to overall strategy
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 164. REFERRALS = FASTER, STICKIER PIPELINE: THE POWER OF
COMMUNITY IS REAL
• Third-party community referrals have been referenced in 90+% of sales tech buying cycles tracked
by TOPO in 2020.
• For customers, strong customer communities are part of the overall value prop.
TYPE DESCRIPTION BENEFITS ANALYSIS
Third-party Owned and operated • High converting referrals • Vendors should have employees become members in
Communities by third parties • Validation of vendors in these communities (if for anything to pick up signals)
the sales process • Sponsorship of communities is a 2021 priority
Owned Owned and operated • High converting referrals • Creates trusted home for peer support
Community by the vendor • Renewal, expansion • Should be open to non-customers who fit the
• User-generated content community demographic (best demand generation
(community research) possible)
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 175. PRIORTIZE PROGRAMS ON ENGAGEABILITY FOR FASTER PIPELINE
SDR and outbound prospecting programs have shifted from cold accounts and contacts to those that have shown
signs of engageability. This is about:
• Speed – The faster one can get to 1:1 engagement, the faster they can get to pipeline
• Agility – Have the infrastructure to immediately load engageable targets and launch programs
High Engageability Sources
Lower inbound scoring thresholds
Current customers
High engagement-scored contacts
HIGH
New ICP targets
TOUCH VALUE
CRM + SEP QUALIFY DISCOVERY
Intent data-scored verticals PATTERNS OFFER
MEETING PIPELINE
Intent data-scored accounts/contacts
Thread in previously engaged accounts
Previously engaged contacts Hand-off
Re-engage – SDR
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 186. EXTREME VALUE: FOCUS ON THE 90-DAY USE CASE
Find the solution that gets the buyer to market as
Find the near-term, 90-day key initiatives. fast as possible to meet 90-day objectives. This may
CFOs are only signing off on near-term impact. be proposing a smaller deal now or at least focusing
only on what they need within the 90-day scope.
Extreme Value Sales Process
STAGE HIGH VALUE OFFER DISCOVERY SOLUTION DESIGN PROPOSAL PROCUREMENT CLOSE
Buyer Provoke Assess Co-create Impact Decide Implement
Experience
Buyer What can I learn about how How will we address our near- Can this company help us What is the impact that this How do I get the contract When and how do we get
Objective my peers are addressing the term priorities? deliver our near-term relationship will have on near- done by the agreed upon date started?
near-term priorities? initiative? term initiatives? Can they do it despite procurement,
in 90 days or less? restrictions, and WFH
environment?
Seller Build trust by sharing insights Assess customer to identify: With the broader stakeholder Provide a solution that is Proposal should continue to Hand-off to customer success
Objective and ideas 1. Near-term priorities (90 team, design and iterate a more likely to make it through emphasize time to value and for implementation
days) solution that maps to the the buying process. Focus on 90-day urgency
2. Use case initiative the 90-day initiative. Outline a
3. Ensure this is top-down fast path to impact.
Time is of the essence.
Create a timeline slide
to show them what you
will deliver in 7 days, 30
days, etc.
The high value offer (HVO) is a meeting where the value to the buyer is so undeniable, they
are compelled to attend. The content should focus on how their peers are solving the near-
term priority from an overall business perspective, not just a presentation of your solution.
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 197. CHANGE FAST: MODERN SALES ENABLEMENT IS ABOUT AGILITY
• The rate of change is fast and organizations need infrastructure to change quickly. For example,
95% of organizations changed messaging during the pandemic and rolled it out immediately.
• Organizations are aggressively scaling their dedicated sales enablement teams and investment in
sales enablement technology to support the agile sales enablement required for today’s market.
COLLECT
FRONTLINE (Engagement, ANALYZE
conversation data)
• Modify customer-facing content
• Share examples of effective sales calls
• Launch new training
OPTIMIZE
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 20THE NEED FOR SPEED: KEY STRATEGIES FOR THE 2021 GTM
1. Be ready to add new targets when the data says so
2. Identify the GTM strategies that work for your buyer and execute them…all
3. Invest in infrastructure to support speed and versatility
4. Focus efforts (potentially $) on your buyer’s preferred communities and build your own
5. Focus on the fastest path to connecting – engageability and the pipeline will come
6. Design the sales process around the 90-day use case
7. Go “all-in” on sales enablement and build it to support the rapid rate of change in today’s market
We’ll be sharing recordings of all sessions after the event.
Interested in learning more about TOPO? Visit: topohq.com/contact-us/
@topohq | #topovirtualsummit © 2020 TOPO. All rights reserved. | 21You can also read
