Ping Identity has gone through a top to bottom transformation in marketing over the last year. A successful organization that fed impressive growth, reaching growth and revenue records year over year, the marketing organization relied on a proven B2B outbound marketing model that precisely measured lead capture rates.
My interest for the last decade has been in inbound marketing models that rely on content to drive business opportunity. More significantly, I follow the advice of many friends who I would call contemporaries in B2B marketing, like Steve Mann at Lexis-Nexis and Chris Selland at HP-Vertica, who align their marketing demand gen efforts to account-based scoring… opportunities instead of leads.
When you combine inbound marketing with account-based scoring, you get a very potent combination of predictable opportunity funnel that also benefits from lower customer acquisition costs. The latter is essential for on-demand subscription models where customer acquisition costs (CAC) has to be recovered in a short upfront time period, and the former increases the volume of business funnel to work through, again essential in any business that has a wide range of pricing options, from free to enterprise license agreements.
When I took over the team in the 4th quarter of last year I made a couple of quick changes, most significantly breaking up the demand gen team into distinctive task teams focused on net new customers, base expansion, and retention outcomes. The demand center teams would respond to product & solution marketing, as well as partner marketing to drive campaigns, content, events, and interactive (SEO/SEM) for the specific outcome being targeted. We roll this up with a range of sales and marketing operations activities to drive opportunities, which are companies who buy our stuff as opposed to discrete contacts at companies.
I am fortunate to have a data scientist on my team, a PhD in statistics no less, who also has a keen ability to aggregate data from many different sources, from Salesforce to Splunk. We know from this data that there are tipping points that occur in the opportunity (account) scoring that should and do cause additional sales activity. I won’t share the specifics here because they represent hard won intelligence that is a form of IP for us, but I also believe that much of this is actually not easily transferred to another company like us. In other words, each company needs to learn the unique attributes and dynamics of their sales and marketing model rather than simply copying what another company is doing.
Underlying all of our marketing strategy is the notion that we, as a business, have grown in size to the point that we are beyond the point that generalists, high bandwidth people who can do a lot of things well, will serve our growth. We have made a number of changes in the team composition in order to achieve a high degree of specialization in each function… I want the best people at each position in the team. The equation is simple, we use people and systems to feed a data model that we constantly iterate to explain and then predict our performance.
I saw this fascinating video of a Ferrari F1 pit stop that reminded me of what we are striving to achieve. Each pit crew member has a job and there is no confusion about who is doing what. Notice how the crew members responsible for removing the front wheels know exactly where to place their hands in order to capture the approaching race car… this is the level of specialization that we are building.
(Cross-posted @ Venture Chronicles)
(Cross-posted @ Venture Chronicles)