The New World Order of Sales and Marketing

Last week in a small restaurant in San Francisco, 35 founders and thought leaders from the @polarisvc portfolio and beyond gathered for an intimate discussion about the future of sales and marketing.

Or, as I introduced the topic, “The New World Order.”

Led by @InsideSales co-founder @KenKrogue and @GrowthHackers /@qualaroo founder @SeanEllis, the conversation centered around the criticality of accessing and working with new sources and levels of data.

In other words:  Incorporating predictive analytics into the ethos of Sales & Marketing in order to achieve high-velocity sales success.

Ken headlined the discussion outlining the operating model which Oakland Athletics GM Billy Beane of “Moneyball” fame offers to Sales & Marketing.

moneyball-posterBilly & his Oakland Baseball Ops team changed the way professional sports are played. They transformed an entire industry forever by driving their own New World Order.

Using data, statistics, math and predictive analytics to choose players and make decisions.

The Triumph of Science over 150 years of Art.

It was a fantastic evening where the conversation never stopped, with stories shared, lessons learned, and insights offered well into the night.

The themes of Data Science and Actionable Operational Insights are two of several that drive @polarisvc technology investment strategy.

Transformative SaaS technologies and models which enable true Business Process Innovation are being innovated everywhere.

But in particular — just as we see in the healthcare industry — the sales and marketing industries are being driven towards sweeping change.

In SaaS, consumerization has clearly transformed how product must be designed, and how it must be marketed and sold.

In a world where customer churn can make or break a business, start-ups and multi-billion public companies alike must understand not only “what” of the sales process — but also the why, who, how and when — in order to truly transform themselves and generate breakout efficacy.

It’s here where predictive data, actionable insights, and smart analytics come into play.

Years ago, power officially shifted away from IT to “prosumers” within the enterprise.  Understanding the purchasing behavior of these individuals — and how they share value with their co-workers — drives high velocity sales success.

Like all investors, we take pride in seeking out disruptive technologies.  But disruptive business models — and data-based technologies which enable operating transformation — like high-velocity sales & marketing — are also fundamental to our interest.

Do data science and operational insights really work? Is change management — doing things differently — a destination or an ongoing journey?

Success over time tells the story.

The Oakland Athletics — operating with limited capital assets compared to their competition — are one of the most successful franchises in professional sports over the last decade. They’re at the head of the class in this year’s American league race.

As Ken told the group:

Technology is the lever of young entrepreneurs to make change.  Science tries to explain why technology actually works and whether it can predict further success.

Gone are the days when old school baseball scouts could spot a winning ballplayer by “just looking at him”.

Gone also are the days when old school sales and marketing execs could drive success without precise data, measurement, and predictive platforms to guide, incent and retain a new generation of contributors to success.

There are currently 3x more inside salespeople worldwide than outside salespeople. And the gap is getting wider each year.

Guiding successful outcomes and incenting desired behavior of a new generation of sales workforce is impossible without repeatable, data-driven, technology-enabled processes.

There is not a marketing function than can exist — much less succeed — in generating customer demand without technology-enabled analytics playing a central role in functional culture.

SaaS consumerization, data science, sales transformation, customer acquisition marketing transformation, and actionable operational insights are big themes.

They present opportunities for significant companies to be built. Companies that develop platforms that address the major shifts to the New World Order.

Thanks to all of our entrepreneur partners who came out last week to lend their thoughts to a topic that will truly transform industries.

The Triumph of Science over 150 years of Art.



Categories: Polaris, Technology

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