Annual Planning for Sales Organizations: Headcount, Quotas & Territories

OpenView Labs

Headcount Planning. But headcount planning is often a useful place to start because the inputs required to make decisions are the least dependent on factors outside of the sales organization. This decision will drive many of your other headcount decisions. Marketing bookings are often the most difficult to scale with headcount, as “low-hanging fruit” may already be captured by current marketing efforts, and additional paid digital advertising, content marketing, etc.

5 Ways to Keep Your Sales Machine Efficient While Scaling Headcount

Sales Hacker

Decreased revenue per rep, High turnover as you scale headcount. “It’s We made our machine more efficient even as we scaled, grew headcount, and skyrocketed our revenue. In the first six months of the year, our team’s headcount grew by almost 60%, yet our revenue outpaced that, growing by 142%. The post 5 Ways to Keep Your Sales Machine Efficient While Scaling Headcount appeared first on Sales Hacker.


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How Quickly Does Headcount Scale in the Fastest Growing Software Businesses?

Tomasz Tunguz

Above, I’ve charted the headcount growth rate for 10 of the fastest growing software companies in recent history. I’ve normalized the years for when all the businesses were roughly at the same headcount - fewer than 50 people. What does the “average” hyper growth software company look like in terms of headcount growth? How quickly do the fastest growing software companies build their teams? The answer is incredibly quickly.

How to Benchmark Your OpEx Profile

The SaaS CFO

Operating Expenses Headcount OpExWhen I review a SaaS P&L for the first time, I take a high-level approach to understand the financial health of the business. I break the P&L into two sections, the “top half” and the “bottom half.”

As You Scale, About Half Your Team Will Be in Sales and Marketing


Sales-driven SaaS startups end up with about half their headcount in sales and marketing. Then, it sneaks up on you again as you scale and you realize you need to have about 1.5x-2x the sales headcount you thought you did to hit the full plan for this year, and Q1 of next year.

Why do all the tech giants rely on “shadow forces” of temporary employees?


But let me suggest one reason I learned when I was an exec in a F500 tech company: Headcount was most fixed for a year. Our group had a fixed headcount of about 800 to manage about $800m in revenue. Getting even a single additional headcount was incredibly difficult. Especially allocated headcount. Even if your “headcount” is fixed, capped and frozen. There are probably a multitude of reasons.

Sales Ops Teams Secrets To Closing Deals Faster ??

Sales Hacker

Learn how tech-savvy Sales Ops teams like Atlassian’s are using a combination of cutting edge tools to automate tedious tasks, escalate requests, justify headcount, and close deals faster. The post Sales Ops Teams Secrets To Closing Deals Faster ?? appeared first on Sales Hacker. Account Executives Community Events

5 Interesting Learnings from Atlassian at Almost $3 Billion in ARR


Headcount up 7%, while revenue is up 37%. But that only increases total headcount 7% which revenues went up 37%. We last took a look at Atlassian at around $2B ARR , and more subtly has changed than you might think.

Dear SaaStr: How Many Sales Reps Do I Need?


In theory, higher quotas should “pay” for specialization so in theory, and this wouldn’t impact headcount too much. Dear SaaStr: How Many Sales Reps Do I Need? More than you probably would think. You can back into how many sales reps you’ll need in SaaS.

Sales 188

Sometimes, A Small “Layoff” Is a Good Idea


Net headcount rarely declines. This may sound harsh, But any "layoff" of a single digit % of employees is usually just a reshuffling. The bottom 5%-7% are moved out, to replace them with better performers. — Jason BeKind Lemkin #???????????? jasonlk) May 25, 2022.

Microsoft pumps the brakes on hiring

IT World

Microsoft will continue to grow headcount in the year ahead and it will add additional focus to where those resources go,” the company said in a statement. Microsoft is pulling back on hiring quotas for its Windows, Office and Teams chat and conferencing software groups.

The Hardest Part About SaaS Companies, At Each Stage


You start making up for it in volume — with headcount. Dear SaaStr: What’s the Harder Part About SaaS Companies, At Each Stage? The hardest part changes every 12–24 months, and the whole company changes every 30-36 months or so.

SaaS 276

The Secret to Recruiting Quickly and Retaining Your People

Tomasz Tunguz

Post-PMF, the organization must evolve: it has to grow headcount and then manage that headcount well. It’s easy to miss that detail when building a headcount plan. There’s a simple secret to hiring quickly and building a strong team. Invest in great managers early.

How Many Sales Reps Do I Need To Hit The Plan Next Year? Hint: ~2x What You Think


But in theory, higher quotas should “pay” for specialization so in theory, this won’t impact headcount too much. But in practice it often adds 20% or so to the headcount in the model.

25 Proven Ideas to Lower Churn from Brex, Sendbird, ServiceNow, and More


“Adding headcount in customer success dept” — Hoala Greevy, CEO, PauBox. You can’t cut corners in headcount in success with automation. You just make the headcount more effective.

Churn 262

Dear SaaStr: How Many Sales Reps Do I Need?


But in theory, higher quotas should “pay” for specialization so in theory, this won’t impact headcount too much. You can back into it. First, figure out how much revenue you need to close in the next twelve month s. Because that’s more than now.

Sales 247

Dear SaaStr: What is the Hardest Part About Starting a SaaS Company?


You start making up for it in volume — with headcount. The hardest part changes every 12–24 months. But a few thoughts on “the hardest part” for the first few stages: From $1-$100k in ARR, the hardest part is often how little revenue you get from each customer.

[SaaStock Latam special]: How Superlógica grew 10x by improving pricing plans


In the last three years, it has grown from 60 to 225 in headcount, 10x in revenue and now serves 4 different verticals. Tune in for an extra bonus episode of the podcast, hosting SaaStock LatAm speaker André Baldini, CEO of Superlógica who tell us how the company grew revenue 10x. Superlógica was started back in 2001 as an ERP software for condominiums. André Baldini started out as VP of Sales In 2017 he was promoted to CEO.

The Startup Sectors Most Impacted by the Coronavirus

Tomasz Tunguz

But starting that week, startups began reducing headcount by about 700 per day. ClassPass, one of the fitness startups to reduce headcount, reported a 95% drop in sales in 10 days. Which startup sectors are most affected by coronavirus?

Transforming Traditional Revenue Operations to Drive Growth


They’re experiencing billing disputes and mushrooming headcount in sales operations, and a growing reliance upon manual work arounds in Excel® or email. By: Peter Getchell, EVP, ERP Practice, Navint We talk with many CFOs, CROs, and CEOs who are frustrated by the internal friction their teams experience in day-to-day business operations. In many cases these symptoms perplexingly persist even after. Source. Insight

What are some of the most overlooked details or challenges when integrating two companies post-acquisition?


Because headcount is often fixed in BigCos. Because overall headcount might be fixed at say 15,000. Q: What are some of the most overlooked details or challenges when integrating two companies post-acquisition?

Eventually. Everyone Has a Sales Team


Hence, Twilio has a very high level of sales efficiency (and relatively small headcount). The lure of freemium (like The Force) is strong. No headaches. Customers try and buy all on their own. Like magic. No salespeople. Well, that can work. For a while.

Sales 271

Layoffs Are Less Common Today After Acquisitions. But Here’s When They Happen.


Even if the decision is made to invest more, future headcount is often sourced from internal team members and processes. Q: After an acquisition, how long before severance packages are offered due to layoffs/downsizing? Layoffs and downsizing are less common in most tech acquisitions today.

Bryan Elsesser, VP of Sales at SaaStr: Top Dos and Don’ts to Have an Effective Start


But it hindered our support and growth by being behind on headcount. “I In the run-up to the 2021 SaaStr Annual , SaaStr’s very own Poya Osgouei sits down with Bryan Elsesser, VP of Sales at SaaStr.

Behind the Round with SaaStr: Raises $45 Million


Last year, the company doubled its headcount, tripled revenue and landed on G2’s Top 100 Global Software list. . Tom Taulli. Behind the Round with SaaStr: Raises $45 Million. This week Chorus announced its Series C round for $45 million, which was led by Georgian Partners.

AI 273

Customer Success Is A Single Digit Hire


They wait for two reasons: first, it’s another headcount, which costs money, which can seem expensive when you have say just $5k-$10k a month in MRR and 6 months of runway left before you’re out of cash.

Top 10 Learnings from the Redpoint 2020 GTM Survey

Tomasz Tunguz

Marketing teams spend 5-10% of ARR on programs (non-headcount expenses), and this is pretty consistent across ARR. Engineering:Account Executive headcount ratios scale from about 3:1 down to 1:1 as a company scales revenue.

How to Succeed as a First-Time VP of Sales. Or Just a First-Time VP in General.


Hoping headcount (alone) will drive revenue. At some point, every SaaS company gets big enough where headcount does drive revenue. We’ve talked a lot on SaaStr about how to hire a Great VP of Sales.

Sales 273

If You Want to Hit The ’22 Plan, You’d Better Be Making the Hires Now


With precise headcount and budget needs. If you want to hit the plan for Q1'22, You need to be hiring all the sales reps you'll need then … Now. — Jason BeKind Lemkin (@jasonlk) September 15, 2021. Recurring revenue certainly has pros and cons.

Product Tip Tuesday: Custom Triggers


For IT leaders, automation is the key to scaling productivity and efficiency without requiring additional headcount. Okay, okay. Today’s post is more like… Product Tip Tuesday on a Thursday. We’re shaking things up a bit this week, we know.

8 Finance Mistakes Growing SaaS Businesses Make and How to Fix Them


This INCLUDES headcount-related expenses. If you are utilizing Gusto or a similar payroll tool, your headcount expenses are likely coming into your P&L as one (or maybe two) line item(s).

10 Learnings from Anjali Sud, CEO of Vimeo on How to Do Self-Service and Enterprise Right


Vimeo just hired their first sales rep 3 years ago to spearhead $20k+ deals … and now they have 100 reps, and are on track to double that headcount. We recently had a chance to catch up with Anjali Sud, CEO of Vimeo.

Coinbase & Uniswap: How 7 Key Benchmarks Stack Up

Tomasz Tunguz

The difference is starkest in headcount: Coinbase employs more than 5,000 people while Uniswap counts fewer than 100. Coinbase and Uniswap are two of the leading crypto exchanges.

The Easiest Ways to Get From $1M ARR to $10M ARR


Your sales headcount. Ok you’ve finally crossed $1m, $2m, $4m ARR. Now — you just want to get there faster. And that’s where you’ll make a lot of mistakes. The most important thing is not to chase the shiny penny, assuming you are growing at least 60% Year-over-Year.

ChurnZero Builds Momentum with Industry Awards and Accolades in Q2 2022


The company plans on doubling its headcount in 2022. WASHINGTON , May 17, 2022 — ChurnZero , a leading Customer Success platform, has earned multiple accolades from business and SaaS industry groups for its product innovation and industry leadership.

Are You Getting More Competitive, Or Less Competitive? Hitting the Plan Might Not Be Enough


If nothing else, you can pretty reliability track headcount growth on LinkedIn). There’s a metric the very top founders track quitely, but ruthlessly, that I find other founders either don’t track, or sort of hide from. That’s % of marketshare.

4 Traits of Fast-growing SaaS Companies

OpenView Labs

The fastest-growing startups allocate only 7% of their headcount to services and supporting their customers (half that of slower-growing startups). . In turn, these headcount costs can go directly towards building and selling the product. .

3 Things CMOs Should Do During an Economic Downturn


The primary mission of a Chief Marketing Officer (CMO) is to foster growth, attract new leads, and increase sales by effectively communicating the value the company’s products and services can provide.

How to Deliver a Magical Employee Experience with Zero-Touch IT


Organizations don’t need to immediately increase IT headcount or focus solely on repetitive onboarding, offboarding and mid-lifecycle tasks to deliver an unparalleled employee experience. If you’re a regular here, you’ve seen a lot about zero-touch IT lately. This wasn’t an accident.

Benchmarking and Budgeting Go Hand in Hand


Take this example of working with Sales on how many account executives to add in the upcoming year: “Our current sales headcount is 30% higher than the sales headcount benchmark for SaaS companies our size and growth rate, and our ARR per sales rep is 30% lower than the benchmark.