Modules
Class 16: RevOps Beyond GTM Fit
Transcript
Hello, friends. Welcome to a tradition. Unlike any other, this is the REVOPS MBA with Brian Kreutz.
Once you go through and kind of evolve through the go to market fit, you kind of go into the scale up base. This is where you learn to grow a business and this happens at point B. So you're selling into a market in an efficient and effective way, but you need to make it sustainable. As we said last week, the uh my definition of red ops is the uh the science of sustainable revenue growth. So a lot of times on the 10 million mark, certainly it could be before this is kind of where REVops becomes popular and where a lot of folks uh begin to invest in REV ops because they've learned how to sell their product. They probably got AC RM in place. They've got a lot of systems in place, but they need to scale it and make it repeatable over and over again and really dial into processes. So once you get to point B, you're gonna grow at an accelerated pace, that's why this uh line goes a lot more vertical here by scaling what we've learned already works. And so from point A to point B, you're doing a lot of experimentation from go to market fit to scale up. Once you learn what's work, once you know, which processes are most effective and efficient, you're gonna continue to double down on those and scale at a more effective pace. That is why REV OPS comes in and is able to help companies grow and scale much faster is because we're taking the baseline of what we have that works really, really well and putting in a lot of, you know, gasoline on the fire and really beginning to scale it. So if you go from two sales reps to 20 sales reps in, you know, one or two years and you don't have that operational infrastructure in place. It's gonna be very hard to do so. And so if you think about where we're going to go towards the back half of this session, we're really gonna be focused on people that are in, go to market fit and scale up and how those metrics that we're tracking there, interact with their, with their team to really align everyone and kind of where we're going and where we're headed. Now, of course, as you go over time and go from 10 million to 100 million, you'll go from a scale up or start up to more of a grown up in here maximizing the growth rate and optimizing other areas such as reducing the cost to improve efficiency. And so now we've got, if it's a recurring revenue business, a big reserve of recurring revenue that we're retaining over and over again, all the net new customers are just kind of adding on top, we're able to compound that growth and really maximize that, that revenue. And we're going to optimize other areas of the business because we've already achieved scaling them. And so this growth model is a really good visual and kind of like where we fit within different segments of our business. And you could even think about it, not necessarily for the growth model for your entire business, but maybe your department, maybe your role, these box on the bottom might have different names, but this would apply to, it could apply to your career, it could be apply to your team, it could apply to growth of, you know, a certain aspect of your business, also your business at whole. But the idea here is that once you kind of achieve this, go to market fit, you really got to establish your processes and then figure out how to optimize them. And if we go back to, you know, why REV ops has become so popular over the last five or 10 years is that once companies get to this point B they're realizing they need a dedicated team or resources in order to scale these processes going forward.