GTM 5: Slow is Smooth; Smooth is Fast with Kyle Norton
Nov 1, 2022
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Kyle Norton, former VP of Sales at Shopify and current SVP at Owner.com, shares fascinating insights from his entrepreneurial journey. He discusses the state of the e-commerce sector and emphasizes the importance of prioritizing physical and mental health while scaling a startup. Norton advocates for a patient approach to business, arguing that moving slowly can lead to sustained growth. He also provides valuable tips on respectful disagreement with superiors and strategic hiring to thrive in competitive markets.
Prioritizing physical and mental health is crucial in entrepreneurship to avoid burnout and sustain long-term success.
Practicing strategic patience in hiring ensures a solid foundation, enhancing team effectiveness and product-market fit before scaling operations.
Deep dives
Prioritizing Health for Sustainable Growth
Focusing on both physical and mental health is essential for anyone involved in building a business. The pressures of entrepreneurship can lead to burnout, highlighting the importance of establishing a strong foundation for well-being. Leaders are encouraged to engage openly about mental health within their teams and incorporate resources, like mental health trainers, to promote wellness. Taking care of oneself provides clarity and energy necessary for the long journey of business development.
Strategic Patience in Hiring
Strategic patience is crucial when hiring for growth, particularly in early-stage startups. Rushing to fill roles based on spreadsheet-driven metrics often leads to hiring too many people before establishing a firm understanding of the product-market fit. By first honing in on the market and building a solid foundation, companies can create more effective teams that aren't just focused on immediate targets. This approach has shown significant outcomes, such as reducing churn and increasing deal sizes, by ensuring solid unit economics before scaling operations.
The Importance of Incentive Structures
Sales incentive plans significantly impact decision-making and organizational dynamics. Emphasizing long-term goals over quarterly targets fosters a healthier work environment and encourages better strategic decisions. The traditional commission-based compensation structure can create a culture of short-sightedness, while a focus on growth leads to improved customer relationships and overall business success. Ensuring that sales leaders are incentivized to think beyond immediate results helps build more sustainable companies.
Narrowing Focus for Enhanced Results
Narrowing the target market can yield greater success than attempting to reach broader segments. Aided by data analysis, businesses can identify niches that have lower churn rates and higher potential for success. Shifting focus to a smaller, more defined audience allows for sharper messaging and more effective outreach efforts. This strategic refinement not only drives productivity but also enhances unit economics and fosters a deeper connection with the customer base.
Kyle Norton was the VP of sales at Shopify, and now is the SVP of Sales at Owner.com and a super-active Limited Partner of GMTfund. Compared to trying to get so much done in little time, Kyle demonstrates how taking things slow while maintaining focus, patience, and prioritization will lead to more sustained success in the long term.
What You Will Learn:
Whether or not the e-commerce sector is a good place to put your money right now.
Why it's important to take care of your physical and mental health even as your startup expands.
How to disagree with higher-ups in a way that fosters understanding and growth.
Highlights: (02:48) Introducing Kyle Norton.
(03:24) Kyle’s transition from big tech to startup.
(05:28) Kyle’s take on the state of e-commerce SaaS today.
(9:19) How to start a company without getting out-innovated by a big player.
(12:50) Kyle’s career story and what he would do differently.
(13:28) Why you should prioritize your physical and mental health.
(15:20) The need to be mindful of where you will scale.
(16:10) How moving slow drives sustained growth.
(19:10) Why you must be honest with your metrics.
(20:53) How to build a strong business foundation.
(21:46) The differences in goal setting and growth between big tech and startup.
(26:17) Learning to disagree well.
(36:59) How to determine the makeup of your sales hire.
The GTM Podcast The GTM Podcast is a weekly podcast hosted by Scott Barker, GTMfund Partner, featuring interviews with the top 1% GTM executives, VCs, and founders. Conversations reveal the unshared details behind how they have grown companies, and the go-to-market strategies responsible for shaping that growth.
Visit gtmnow.com for more episodes and other interesting content.
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