Tom Tunguz

SEPTEMBER 12, 2012

Most businesses fund new initiatives including marketing and technology projects from profits. The more profits a company generates the greater their willingness to pay for services and ultimately the larger the market size for a startup. Market Cap in $B. These dollars are pulled in many directions: covering potential losses incurred through the year, remodeling, new online marketing initiatives and ideally profits.

Market Segmentation 100

Market Segmentation Startup Marketing Mobile 100

InsightSquared

OCTOBER 4, 2019

Historically, many marketers have been in a situation where sales defines their own buying groups and practically no two salespeople define it the same. Here’s how to define your buying group: Define your total addressable market (TAM). Segment by product line.

Data 198

Data Market Segmentation SMB Forecasting 198

Chart Mogul

MARCH 5, 2019

Successfully turning your e-commerce traffic into repeat customers with high LTV lies in segmentation and personalization. Jenna Ochoa is the Partner Marketing Manager at Justuno. Looking at the marketing funnel. Here, again, segmentation is crucial.

Market Segmentation 73

Market Segmentation Strategy Engagement Scaling 73

SaaStr

OCTOBER 6, 2019

And often, if you are capital efficient, your marketing cost will be close to $0 at this point (you are barely spending anything to acquire most customers), and your sales costs are pretty predictable. Competition in core deals is the root cause of systemic high sales & marketing expenses.

Sales 272

Sales Headcount Metrics Venture Capital 272

Sales Hacker

JULY 30, 2018

For 13+ years in marketing, I’ve never seen a B2B company who’d say they don’t have a B2B marketing strategy framework or that their marketing strategy is ineffective. What Is A B2B Marketing Strategy? B2b Marketing Strategy Framework. The breadth of the market.

B2B 95

B2B Strategy Market Segmentation Marketing 95

Tom Tunguz

FEBRUARY 11, 2019

I would have expected companies in the $1M or less in ARR to observe lower conversion rates because they are earlier in their go-to-market development. Jonathan asked: Can you share trial length by market segment? After publishing the survey last week, I received many questions.

SMB 163

SMB Benchmarks Market Segmentation Enterprise 163

Sales Hacker

JANUARY 16, 2018

Market Segmentation combined with tailored messaging. The key to achieving explosive growth is to start by identifying your Ideal Customer Profiles (ICPs) via segmentation, reaching out to them with personalized targeted messaging while building a scalable and repeatable process.

Market Segmentation 110

Market Segmentation Sales Data B2B 110

Tom Tunguz

AUGUST 19, 2012

The first step in developing a sales strategy is to build a robust market segmentation. I’ve used data from the US Census to develop a segmentation that reveals some surprising facts about the SMB market and may help inform your startup’s sales strategy. This large segment of businesses provides ample testing ground for product development, market fit validation and creation of word-of-mouth marketing. Payroll Segmentation.

Market Segmentation 100

Market Segmentation SMB Marketing Strategy 100

InsightSquared

DECEMBER 11, 2017

Can marketing help? They should see the same metrics every month, to drive their strategy in sales and marketing. Segment your reporting. As a sales leader, you’re only as good as your team, and it starts by managing a team effectively.

Forecasting 224

Forecasting Management Metrics Data 224

SaaStr

MARCH 8, 2019

Join Hubspot CEO Brian Halligan and NEA’s Hilarie Koplow-McAdams to explore the evolution of the marketing and sales funnel you’ve been using for decades to generate traffic and convert and leads into customers. The original concept for the company was an inbound marketing platform.

Scaling 284

Scaling B2C Strategy Entertainment 284

Tom Tunguz

FEBRUARY 18, 2013

These startups' management teams have already proven they can develop marketing and sales competencies while bringing a product to market. The takeaway from this study shouldn’t be any new insight about whether a startups should enter markets with our without competitors.

Startup 130

Startup Market Segmentation Development Marketing 130

Tom Tunguz

JULY 27, 2015

Founders often ask, when is the right time to expand geographically, add a second product or pursue another customer segment? There are now two marketing messages, two sales pitches, two press strategies, two product and engineering teams. Founders should ask whether faster growth and dominance in one market segment builds a more valuable business than smaller penetration of and slower growth in two markets.

Startup 100

Startup Market Segmentation Engineering Communication 100

Sales Hacker

JUNE 21, 2019

Lastly, a sales budget plan gives you a sales forecast for a given period based on factors that could impact revenue — like industry trends and entry to a new market segment. Remember, markets and customers are in a constant state of flux. True success always starts with a plan.

Forecasting 91

Forecasting Sales Compensation Market Segmentation 91

Point Nine Land

JANUARY 2, 2019

I believe this is an important trend to follow for SaaS founders as they have to adapt their overall strategy (from go-to-market to product decisions) to this “app store dominated” era. Observation #4: SaaS app stores seem to make more sense for the SMB and mid-market segments.

SMB 59

SMB B2B Market Segmentation Trends 59

Navint

APRIL 3, 2019

Defining the offer, experimenting with discrete market segments, testing pricing/packaging, and solidifying the business case takes place. Sales and marketing efforts are properly aligned (i.e., By: Jeff Wissink , Navint Managing Director.

Revenue 56

Revenue Compensation Innovation Finance 56

Cardin Partners

JUNE 19, 2017

Preparing to sell your company requires a lot of work. Whether planned or unsolicited, when the time comes to ready the company for sale, you will be able to move much more quickly if your financial house is in already in order.

Acquisition 60

Acquisition Customer Lifetime Value Interviewing Market Segmentation 60

Backlinkfy

AUGUST 4, 2019

Press Release submission for Media Coverage from sites like; Google News, Bing News, Yahoo News, Fox, NBC, ABC, CBS, AP News, Bloomberg, USA Today, Market Watch, Reuter’s and major PR Wires like; Cision Wire!

Market Segmentation 52

Market Segmentation Pricing Engineering Business 52

SaaStr

AUGUST 5, 2019

And recently we raised around from Goldman Sachs in September of last year to fuel our go-to-market expansion. So what is our target market? And we said we’re not going to focus on these other segments, which is real large enterprises and also consumers.

Construction 211

Construction Scaling Onboarding Churn 211

Chart Mogul

JUNE 13, 2018

Whether startups should aim to dominate a niche before expanding to wider market segments. This week's episode of SaaS Open Mic features a live discussion from the Berlin edition of Mogul I/O, our event series bringing industry leaders together around the topic of sustainable growth. “I

Venture Capital 52

Venture Capital Market Segmentation Data Leadership 52

Tom Tunguz

MARCH 17, 2016

Clay Christensen, a Harvard Business School professor, asserted in a recent interview that we understand only half of the marketing puzzle: the marketing science involved in a competitive ecosystem, when consumers are buying millions of products. In these markets, concepts like Westendorp Price Sensitivity and conjoint analyses work. But to incite disruption requires a different set of marketing skills.

Innovation 100

Innovation Interviewing Market Segmentation Pricing 100

Outseta

OCTOBER 11, 2019

Others focus obsessively on market timing, looking to introduce products that they know will be needed in rapidly expanding markets where they’ll be able to reap the benefits of not just product market fit, but product market demand.

Product Marketing 65

Product Marketing Marketing Education Consulting 65

OpenView Labs

APRIL 5, 2019

Product led growth (PLG) is a go-to-market strategy that relies on the product itself to drive acquisition, retention and expansion. The way software is bought and sold has changed due to the emergence of inside sales and content marketing. Marketing PLG

Branding 79

Branding Education B2C Acquisition 79

Tom Tunguz

SEPTEMBER 16, 2015

When writing the post Vertical SaaS Startups Require Different Go To Market Than Horizontal SaaS Companies , I realized that there is a perception on my part and perhaps more broadly that vertical SaaS companies enjoy greater sales efficiencies than horizontal SaaS companies. The marketing team concentrates their media buys to target this audience, the sales team focuses on a smaller lead list. This may be because of a greater competitive pressure within the horizontal markets.

Metrics 100

Metrics Revenue Market Segmentation Software 100

The Angel VC

JUNE 28, 2017

I’ve been fascinated by the concept of Product/Market Fit for quite some time. The reason why it’s such an interesting and important concept is that getting to Product/Market Fit (PMF) marks a critical juncture in a company’s lifecycle. What is Product/Market Fit? Marc Andreessen got more precise, saying that PMF means “being in a good market with a product that can satisfy that market”. How can Product/Market Fit be measured? pmf product/market fit

Startup 194

Startup Market Segmentation Product Marketing Churn 194

Chaotic Flow

APRIL 14, 2015

When I’m not completely absorbed with my agile marketing software startup , I do a bit of SaaS consulting on the side. Future posts will examine the challenges of achieving SaaS customer alignment in customer acquisition, customer success and early product market fit.

Customer Success 179

Customer Success Churn Compensation Consulting 179

Tom Tunguz

MAY 28, 2013

By that point, it was apparent that a new customer segment had emerged that wouldn’t cannibalize their existing business. The wrinkle is that Apple combines this design with superb product marketing. It’s block and tackle product marketing

Product Marketing 130

Product Marketing Marketing Market Segmentation Management 130

SaaStr

JUNE 27, 2019

So many of these are born digital companies and fast-growing disrupting their market space, and we love the diversity of in our customer base of both many traditional enterprises and fast-growing enterprises as well as the disruptors. Your marketing mix changes quite a bit.

Scaling 251

Scaling Enterprise SMB Leadership 251

Tom Tunguz

APRIL 23, 2017

After last week’s post, Is There a No Man’s Land in SaaS ACVs , a founder asked me to highlight some of the go to market strategies in different segments. The story behind Fleetmatics and Geotab illustrates the way two companies pursued the SMB logistics market in radically different ways, but built roughly similar sized businesses. Geotab addresses the same market as Fleetmatics. There are approximately 22 million trucks in the US.

Strategy 100

Strategy Venture Capital SMB Finance 100

Tom Tunguz

MARCH 5, 2017

At this point, the critical marketing imperative is to start a conversation with a receptive buyer, and do it thousands of times per year. I met a master software marketer last week, and he shared some of his wisdom. This master marketer pointed to our language. Within in a market, competitors often use the same language to describe their products. The rest of the market described their displays in pixels (e.g.,

Machine Learning 100

Machine Learning Market Segmentation Cloud Software 100

Chaotic Flow

JULY 21, 2015

Then, there’s the marketing. In my own SaaS experience, be it scaling a sales and marketing team, consulting for SaaS startups or bootstrapping my agile marketing SaaS, Markodojo , I find myself returning to a common theme that always cuts through the complexity: SaaS customer alignment.

Acquisition 158

Acquisition Pricing Education Compensation 158

Tom Tunguz

FEBRUARY 9, 2017

Focusing on one customer segment, the ideal customer profile, reinforces the startup’s strength. Even if you’ve researched the market ahead of building a product, developed an ideal customer profile (ICP), the challenge arrives when you take the product to market. A unexpected surge of interest from a customer type raises the question, “Should we serve that market segment too?”

Compensation 100

Compensation Market Segmentation Startup Churn 100

Chart Mogul

FEBRUARY 11, 2019

Segmentation in SaaS may seem like a basic analytics practice, but it's actually a critical part of your growth strategy that can help you understand customers and drive deliberate growth. What is segmentation? “Audience segmentation isn’t a new concept.

Metrics 77

Metrics Churn Onboarding Strategy 77

Tom Tunguz

OCTOBER 15, 2014

Those economies of scale may exist as a consequence of a strong brand, monopoly-like characteristics within their market segment, improving sales efficiency, increases in contract size, better rates of customer upsells, etc. In the past, we have benchmarked the revenue per employee of large publicly traded SaaS companies and determined that the average is about $200k of revenue per person. But, that analysis examined revenue per employee that only one point in time.

Benchmarks 100

Benchmarks Metrics Revenue Scaling 100

Totango

JANUARY 10, 2019

Success in the customer-centered economy can be a lot to wrap your arms around, especially for large enterprises with multiple brands or complex market segments. A quality customer engagement platform helps you personalize communication with different customer segments.

Engagement 74

Engagement Enterprise Forecasting Growth Hacking 74

Inside Intercom

OCTOBER 22, 2018

Your product may do different jobs for different market segments. This minimum viable onboarding flow will vary by customer segment and use case, so make sure you customize onboarding for each segment.

Onboarding 79

Onboarding Market Segmentation Branding Pricing 79

SaaStr

MARCH 8, 2019

Join Hubspot CEO Brian Halligan and NEA’s Hilarie Koplow-McAdams to explore the evolution of the marketing and sales funnel you’ve been using for decades to generate traffic and convert and leads into customers. The original concept for the company was an inbound marketing platform.

B2C 141

B2C Scaling Entertainment Social Media 141

Tom Tunguz

DECEMBER 2, 2013

The sales and marketing teams of a startup are responsible for this. There are many ways to structure sales and marketing teams. The diagram above outlines a sales and marketing team structure that I’ve observed across many startups. The chart above shows three roles: Marketing, SDR/ADR (Sales Development Rep/Account Development Rep), AE (Account Executive). Marketing teams generate Marketing Qualified Leads through content marketing and lifecycle marketing.

Management 100

Management Market Segmentation Metrics Education 100

Tom Tunguz

SEPTEMBER 13, 2015

Vertical SaaS requires a different go-to-market than horizontal SaaS companies. They trade a more narrow customer base and consequent reduction in market size for a competitive advantage in that market segment. Today, Veeva’s market cap exceeds $3.3B. Similar large market cap examples exist in real estate (CoStar - $5.8B), insurance (Guidewire - $3.7B), logistics (Fleetmatics - $1.8B) among other categories.

Market Segmentation 106

Market Segmentation Software Startup Trends 106

SaaStr

JULY 22, 2019

We could see the market opportunity there, but nothing as big as we’ve been able to realize, now, as a company. We started out in the commercial SMB mid-market space. And that brand led to viral adoption, whether it was in the commercial segment or the enterprise segment.

Scaling 238

Scaling Customer Success Leadership Enterprise 238

ChurnZero

MARCH 8, 2019

The concept of segmenting customers, and building an account coverage model based on these segments, is not a new idea. At Customer Imperative, we often see early stage SaaS companies choose the customer’s ARR value as the primary segmentation metric. Needs-based segmentation.

B2B 56

B2B Churn Customer Success Compensation 56

Sales Hacker

MAY 22, 2019

I’ve seen it time and time again… A company’s marketing team dedicates their already stretched resources to develop strong, accurate buyer personas — but no one actually uses it. Sales & Marketing Articles

Interviewing 97

Interviewing Communication Engagement Social Media 97

Sales Hacker

OCTOBER 10, 2019

Firmographic data is relevant for customer segmentation, with information about geographic area, number of employees, annual revenue, and industry. RELATED: If You’re Building Your B2B Marketing Strategy, Start Here. Reliable data is everything….

Government 80

Government Data Finance Subscription 80

SaaStr

JUNE 18, 2019

Join Algolia CEO Nicolas Dessaigne and Segment VP of Marketing Hollie Wegman for a session discussing best practices for growing your ARR in your SaaS. Hollie Wegman, VP of Marketing @Segment. I think sometimes because I’m a marketer, I look at marketing a lot.

Company Culture 192

Company Culture Scaling Leadership Branding 192