Unwinding Growth: B2B SaaS Operators Pick Up the Pieces

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I am a Managing Partner at GGV Capital U.S., a global venture capital firm focused on local founders. I invest in Enterprise Tech startups across seed to growth stages and across key areas including open source, cloud, infrastructure, and cybersecurity sectors.

The SaaS market has transformed rapidly over the last several years, and operators need new growth strategies to thrive in a new normal. In exploring these shifts, I spoke with revenue operations expertabout key opportunities and challenges facing today's SaaS companies. Here are some of our thoughts on how to build resilient, high-growth businesses in times of uncertainty.

We predict that this is not a passing trend. As efficient growth becomes the new normal, ops leaders and their counterparts in sales, marketing, and customer success will be charged with making it happen. Neglecting ICP discipline has long-term consequences while, by contrast, companies with a strong ICP focus within their go-to-market strategy often experience efficient growth. Let’s look at examples of both.

But in focusing on capacity-based forecasting, we end up treating every employee and territory equally—ignoring the market opportunity presented to those new hires, which will of course vary widely depending on the patch they’re assigned to work. For example, if you know a target account just signed a multiyear deal with a competitor, you wouldn’t count that opportunity as part of a given sales rep’s addressable book of business.

ICP discipline requires developing a single definition of ICP across marketing, sales, and customer success datasets, and implementing that in data tooling used across teams. That in itself is a big lift!

 

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