By Sangram Vajre, CEO, GTM Partners
This blog post is part of the INBOUND Speaker Insights series: where industry leaders share their expertise, actionable tips, and innovative strategies for success in sales, marketing, leadership, and more.
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In B2B technology companies, we’ve been obsessed with the relentless pursuit of growth at any cost over the last few decades. “At all costs” often meant we had better budgets and higher tolerance for experimentation than we do today.
But that approach turned out to be unsustainable, and the new mandate we hear everywhere: drive efficient growth!
You’re not alone if you’re feeling like this mandate makes GTM harder than ever!
THE FUTURE OF GTM
As companies navigate the ever-evolving GTM landscape, there's a clear shift from traditional approaches to more innovative and integrated methodologies.
Here are eight ways companies can evolve their GTM teams from old ways to new paradigms.
- Focus on Total Relevant Market (TRM): Instead of solely focusing on the total addressable market (TAM), which may include prospects with varying degrees of relevance, companies should shift towards identifying and targeting their TRM—prospects who align closely with the company's ideal customer profile and are more likely to convert into valuable customers.
- Product Integration Rules: Companies should think less about creating (or acquiring) multiple product innovations that cater to single functions. Instead, companies should offer comprehensive solutions that address multiple needs or functions within a single platform, streamlining processes for customers and enhancing overall user experience.
- Understand and Leverage the 6 GTM Motions: Rather than focusing solely on inbound and outbound marketing strategies, companies must leverage more of the 6 GTM motions appropriately. That means leaning into event-led growth, product-led growth, partner-led growth, and community-led growth when it makes sense to do so based on your product and market.
- Shift from Sales Heroics to Repeatable, Scalable GTM Plays: Instead of relying solely on the heroics of a few talented sellers to drive sales, companies are transitioning towards developing repeatable, scalable GTM plays. These plays are systematic approaches to customer acquisition and retention that can be replicated across different markets and customer segments.
- Reduced Time to Value: Companies are increasingly focused on accelerating time to value for customers, shifting from a model where it takes 12 months or more to demonstrate value, to one where they can showcase ROI within 30 days or less.
- Focus on Net Revenue Retention (NRR): Rather than solely concentrating on customer retention and net new customer acquisition, companies are now prioritizing net revenue retention (NRR). This metric takes into account not only retained customers but also upsells, cross-sells, and expansions within the existing customer base, providing a more comprehensive view of revenue growth potential.
- Cross-Functional GTM Dashboard: Instead of relying on department-focused metrics, companies should embrace cross-functional GTM dashboards that provide a holistic view of key performance indicators (KPIs) across sales, marketing, customer success, and other relevant functions.
- Fractional Leadership: In addition to traditional team structures, more companies are also working with fractional GTM leaders more often. This approach allows for more efficient resource allocation, streamlined communication, and faster decision-making, ultimately driving greater agility and adaptability in the GTM process when you find the right fit.
THE TAKEAWAYS
B2B technology companies are experiencing a long overdue transformation.
The relentless pursuit of growth at any cost has proven to be unsustainable, prompting a shift towards more efficient and holistic approaches.
By implementing these transformations, companies can navigate the complexities of the B2B landscape and drive sustainable, efficient growth in the long term.
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