Note to Hyper-Growth Companies
A recent Tech Crunch article posed the question, “Is Enterprise Hyper Growth The New Normal?”The article indicates that, due to “dramatically expanded global markets, access to unprecedented later-stage private growth capital and the ability to scale sales organizations,” the enterprise market is entering an era of unprecedented growth.
We’re seeing more and more of these companies every day. Personally, I find this market shift fascinating – these companies are changing the game.
There’s so much VC money out there – and it’s good to see investment going back into some core spaces that got abandoned post-recession. While the markets are more mature, there’s a fresh spin on the ideas and it’s changing the sales landscape. Prospects today are much more open to solving problems with smaller companies vs. sticking with the traditional, “old reliable” vendors.
But There Will be Challenges.
While the upstarts and high-fliers can certainly get a seat at the table more often than they used to, they still have to compete against each other and incumbents – being at the table doesn’t mean it’s a slam dunk. These companies are different, they’re young and they’re hot – but when it comes down to it, there are lessons that they can and should learn from the industry giants who have come before them.
Think about it: hyper-growth companies are moving fast and are (understandably) laser-focused on achieving short-term goals – meet this quarter’s quota, keep investors and the board happy, hire very quickly to fill in staffing gaps, etc. But thinking quarter-to-quarter is dangerous and limiting, especially for sales and marketing teams at companies who aspire to penetrate the enterprise. Making decisions and plans on the fly to fulfill what needs to happen right now is a model that will never scale, and it will eventually become a pain point in companies that want to keep growing.
If you want to succeed, take a longer-term view of your business. Build a strong foundation – including your teams, processes and strategies – that will scale with you. There has to be some kind of flag on the horizon that the team can work toward. Of course, there will always be fires to put out along the way, but there needs to be a plan for long-term success. Because making it in the big time, at the enterprise level, requires a specific discipline.
I have more thoughts on the subject and will be offering some practical advice in my next post. In the meantime, we’ve put together a set of resources that will help sales and marketing teams at hyper-growth companies get up and running quickly – and intelligently. Check it out – and if you have questions, want more information or simply want to chat about what you’re seeing in the market, get in touch. I’d love to hear from you.
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