Revenue Quality Matters More than Closing Deals: Startup Sales Realities

In this episode of the Leadership Exchange podcast, Tracy Lee chats with Michael Kovacs, former co-founder of Open Channel (acquired by Stripe), about the realities of startup sales, the importance of saying no to the wrong customers, and the evolving role of AI in SaaS. Michael shares how sales is really about helping people make progress, the lessons he learned from “painful yeses,” and why quality of revenue matters more than just closing deals. They also explore how AI could enable hyper-customized software experiences, reducing the need for manual integrations. Key points from this episode:- Sales is Helping, Not Just Selling – The best sales approach is guiding people toward the right solution, even if that means saying no.- Not All Revenue is Good Revenue – Taking on the wrong customers can hurt a business; prioritizing quality of revenue leads to better long-term success.- AI Will Enable Hyper-Customized SaaS – Future SaaS products could be tailored instantly for each user’s unique needs, eliminating one-size-fits-all software.- Most People Can Start a Business – The biggest barrier to entrepreneurship is mindset, not capability—just start.Chapters:00:00 AI: A Solution Looking for a Problem? 00:47 Welcome to The Leadership Exchange Podcast 02:03 From Startup to Acquisition: Michael’s Journey 05:23 The Reality of Selling in Startups 12:50 Saying No to the Wrong Customers 17:50 Customization at Scale: The Future of AI in SaaS 21:55 AI’s Potential in Different Industries 26:01 Advice for Founders: Just Start 27:40 Where to Find Michael KovacFollow Michael Kovacs on Social MediaLinkedin: https://www.linkedin.com/in/michaeljkovacsSponsored by This Dot: thisdot.co