Keynote on the importance of the GTM stage and the three key frameworks that govern SaaS Sales. In this presentation we identified 3 specific way to reduce the changes of a start-up turning into a walking dead, by achieving profitability.

1. SaaSis theWhat if
REVOLUT ON
THE SAASTOCK 2019 KEYNOTE
By Jacco van der Kooij,
Founder/Co-CEO
Winning by Design

2. Smartphone
Facebook
Skype
GPS
The Cloud
Wikipedia
YouTube
eBooks
HDTV
Netflix
Smartwatches
55%
23%
20%
20%
14%
12%
11%
9%
9%
5%
3%
Inventions of the 21st Century.
SaaS is the most important
inventions in B2B, as it allows
anyone to develop an
innovative solution independent
of social economic background.

3. THE CULTURE
Today’s success is Unicorn based with
<1:1,000 start-ups becoming a Unicorn
However:

4. THE
CULTURE
Making the rest of us a group
of “walking dead” cheering on
the Unicorns on stage.

5. WHYANDWHENMOST SAASCOMPANIESFAIL.
I believe we can do better and working
with over 1,000 start-ups we’ve found
that most fail because of a handful of
the very same reason.

6. THECONSEQUENCES.
The decay of a start-up takes about
12 years. This is due to a concept
called glide, the very same concept
that allows for great success.

7. THECONSEQUENCES.
The decay of a start-up takes about
12 years. This is due to a concept
called glide, the very same concept
that allows for great success.
Acquihire
PE buyout IP sale
Close shop
Merger Real-estate

8. A human’s instinct is to defer to
the loudest primate. To succeed
as a species we have to get past
this and make it about science.
“
I've found that listening
to on-stage hero stories
has a negative impact.
Founders often walk away with
a new “hip” concept, but do not
understand the context.
Perfectly reasonable and smart
people, make unreasonable
and bad decisions.

9. HOW TO SUCCEED?.
DATA
DRIVEN PROCESSGTM
Specific insights to succeed are:
1. Apply the right GTM model(s)
2. Build a uniform data model
3. Use an iterative process

10. Recurring
Revenue
Time
PMF SCALEMVP GTMF GROW
IMPORTANTCE OF GO TO MARKET FIT STAGEI
! AS DCB
Entrepreneur
Team
Pipeline
Process
Unit economics
What a VC commonly
invests in..
VC Round
Business Stage

11. Recurring
Revenue
Time
PMF SCALEMVP GTMF GROW
IMPORTANTCE OF GO TO MARKET FIT STAGEI
! AS DCB
Entrepreneur
Team
Pipeline
Critical juncture!!!!
VC Round
Business stage

12. Recurring
Revenue
Time
PMF SCALEMVP GTMF GROW
IMPORTANTCE OF GO TO MARKET FIT STAGEI
! AS DCB
Process
Unit economics
To become a profitable
company, process and
unit economics must be
applied to the GTMF
stage.
Pipeline

13. 2-STAGE
PLG
FIELD SALES
STRAT.SALES
1-STAGE
Referral (1-1)
Inbound
Outbound (1-many)
Target (1-few)
Annual
Contract
Value
$100,000$50,000$10,000$5,000
Deals/year
10s
100s
1000s
10,000s
100,000s
1,000,000s
GOTOMARKET FIT.
Four marketing models
mapped to five sales
models based on ACV.
To become profitable
we need to understand
different GTM models.

14. 2-STAGE
PLG
FIELD SALES
STRAT.SALES
1-STAGE
Referral (1-1)
Inbound
Outbound (1-many)
Target (1-few)
Annual
Contract
Value
$100,000$50,000$10,000$5,000
Deals/year
10s
100s
1000s
10,000s
100,000s
1,000,000s
BADEXAMPLE 1.
At an ACV of $6,000 client
should have an inbound
machine with PLG/1-Stage But client X used a 2-stage
SDR/AE outbound GTM
Not scalable due
to the high CAC

15. 2-STAGE
PLG
FIELD SALES
STRAT.SALES
1-STAGE
Referral (1-1)
Inbound
Outbound (1-many)
Target (1-few)
Annual
Contract
Value
$100,000$50,000$10,000$5,000
Deals/year
10s
100s
1000s
10,000s
100,000s
1,000,000s
At an ACV of $80,000 client
should have an Field sales
team + Target/ABM GTM.
But client used a 2-stage
SDR/AE GTM. Resulting
in high volume of MQLs
with low close rates.
BADEXAMPLE 2.

16. 2-STAGE
PLG
FIELD SALES
STRAT.SALES
1-STAGE
Referral (1-1)
Inbound
Outbound (1-many)
Target (1-few)
Annual
Contract
Value
$100,000$50,000$10,000$5,000
Deals/year
10s
100s
1000s
10,000s
100,000s
1,000,000s
At an ACV of $2,000 client uses a PLG
sales strategy based on inbound marketing.
Marketing and sales are aligned!
GOODEXAMPLE

17. DATA
DRIVEN PROCESSGTM
HOW TO SUCCEED?.

18. HOW MANY OPPORTUNITIES
HOW MANY WINS
HOW MANY LEADS
2x
2x
VOLUME METRICS
When asked to deliver 2x
Wins most sales leaders
will be compelled to ask for
2x the amount of Leads
When asked to deliver 2x
Wins most sales leaders
will be compelled to ask for
2x the amount of Leads

19. LAND EXPAND
VOLUME METRICS
Although we have adopted
a Land/Expand model we
never changed away from
volume metrics.
Not considering the impact
the expansion strategy can
have.

20. LAND EXPAND
VOLUME METRICS
.. today we measure
volume metrics across the
entire lifecycle creating a
silo’d organization.
With each dept.
focused on their
volume metric

21. LAND EXPAND
VOLUME METRICS
MANIACALFOCUS
This results in a maniacal
focus around hitting volume
metrics such as Logo’s won,
MQLs, etc.

22. SAASOPERATES ASASYSTEM.
But SaaS operates as
a system, based not on an
additive operation, but on
a cumulative operation.

23. LEADS ARRCR1 CR2 CR3 CR4
MQL SQL SAL WIN
ACV
20%
DISCOUNT
$12,000
12% 17% 80% 16% 80%1,000 $25,067
SAASOPERATES ASASYSTEM.
An
improvement
here..
Is felt all along
the client’s
journey
Prospects

24. 12% 17% 80% 16% 80%
14% 19% 85% 19% 85%
1,000
1,100 $48,200
LEADS ARRCR1 CR2 CR3 CR4 ACV
$25,067
SAASOPERATES ASASYSTEM.
MQL SQL SAL WIN
15%
DISCOUNT
$12,000Prospects
Marginal gain
across…
Results in a
big Impact

25. MARGINALGAIN EXPONENTIALIMPACT.
X7=2
This is based on
what is called an
exponential impact.

26. LAND EXPAND
COMPOUNDEXPONENTIAL
This happens
again and again
This happens
once
Install/
Activate
EVENBETTER COMPOUNDIMPACT.
Better yet…

27. LAND EXPAND
CPL
40% of ACV
CTSCAC
10% of ACV 20% of ACV
FIND
ANEW MODEL.
But becoming
profitable must
be based on a
new cost model
This model is for a 2-
stage/outbound GTM,
selling a monthly
application service

28. NEW CLOSEDLOOPMODELS.
Closed loop
models make it
event better
Closed loop means that a happy
client help identify a new market,
and or new opportunity.

29. PRODUCTLEDGROWTH= CLOSEDLOOPSYSTEM.
A great product makes
happy clients act as your
marketing and sales channel
Based on data we can today
identify which clients are
most likely to help you sell.

30. DATA
DRIVEN PROCESSGTM
HOW TO SUCCEED?.

31. WHATIAMNOTDOING ATMYNEXTSTART-UP

32. WHATIAMNOTDOING ATMYNEXTSTART-UP

33. FOUNDERS = PROCESSARCHITECTS.

34. GOALOFPROCESS CREATEREPEATABILITY.
85%
SDR HAND-OFF
20%AE WIN RATE
From the book Sales as a Science
Industry benchmark based
on Annual Contract Value.

35. 10%
60%
FIND
CLIENTS
WITH A
PAIN
20%
85%
GOALOFPROCESS CREATEREPEATABILITY.
SDR HAND-OFF
AE WIN RATE
Your performance..
Indicating you
have to do this.
Your performance..

36. 30%
10%
60%
FIND
CLIENTS
WITH A
PAIN
20%
85%
TRAIN
REPS ON
HOW TO
SELL
GOALOFPROCESS CREATEREPEATABILITY.
SDR HAND-OFF
AE WIN RATE
If you are here…
Do this…

37. 30%
10%
60% 95%
20%
85%
TRAIN
SDRs ON
HOW TO
HAVE A
CONVO
TRAIN
REPS ON
HOW TO
SELL
FIND
CLIENTS
WITH A
PAIN
GOALOFPROCESS CREATEREPEATABILITY.
SDR HAND-OFF
AE WIN RATE
And if you are here…
..do this.

38. 30%
10%
60% 95%
20%
85%
TRAIN
SDRs ON
HOW TO
HAVE A
CONVO
TRAIN
REPS ON
HOW TO
SELL
FIND
CLIENTS
WITH A
PAIN
SCALE.
GOALOFPROCESS CREATEREPEATABILITY.
SDR HAND-OFF
AE WIN RATE
If you are here… ..do this

39. 30%
10%
60% 95%
20%
85%
TRAIN
SDRs ON
HOW TO
HAVE A
CONVO
TRAIN
REPS ON
HOW TO
SELL
FIND
CLIENTS
WITH A
PAIN
SCALE.
GOALOFPROCESS CREATEREPEATABILITY.
SDR HAND-OFF
AE WIN RATE
Of course this can be
more comprehensive
with multiple tasks.
A repeatable process
that can be improved on.

40. DOITINTHE RIGHTORDER.
1. ESTABLISH A
DATA MODEL AND
BE DATA DRIVEN
2. CALCULATE WHICH
GTM IS BEST TO WORK
CAC MUST BE <40%ACV
3. CREATE A PROCESS
TO IMPLEMENT AND
IMPROVE THE GTM

41. AS SA
EVOLUT ONR
It never was a

42. ales s cienceAS SA
EVOLUT ON
It is a

43. Sometimes it is the people
no one imagines anything of,
who do the things that no one
can imagine.
“
If you don’t have the backing of VCs that provide you with
an unlimited amount of funding.. and you think you are a
walking dead!? Trust the science, build a data model, pick
your GTM, apply the a proven process, and remember..

44. For more info visit: Winning by Design on:
• Youtube with instructional videos
• LucidChart with templated designs
• Amazon with a series of books
Or our web-site at www.winningbydesign.com