Leading Revenue at Shopify & Owner: Kyle Norton on selling to SMBs
Feb 5, 2024
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Kyle Norton, a seasoned sales leader who has driven revenue at companies like League and Shopify, shares insights from his dynamic career. He discusses the challenges of building sales teams from scratch and pivots in strategy during rapid growth phases. Norton emphasizes the importance of customer-centric approaches, especially during crises like the pandemic. He also highlights his transition from Shopify to Owner, emphasizing mentorship's role in navigating startup challenges and the value of maintaining mental health in high-pressure environments.
Establishing trust through clear positioning and aligning with customer vision is vital for effective sales in evolving markets.
Building sales teams from scratch in startups requires adaptability and strategic pivots to meet aggressive revenue targets and product-market fit.
Deep dives
Building Trust Through Positioning
A critical strategy for successful sales includes establishing trust through clear point of view positioning. A company is encouraged to differentiate itself by aligning with a vision that resonates with customers, focusing on the evolving market landscape. For instance, Shopify emphasizes that if businesses believe in the necessity of seamless online and offline service, then it becomes an essential choice. This approach allows potential customers to self-qualify quickly, enabling the sales team to focus on those who align with their vision while filtering out less compatible leads.
Lessons from Early Stage Startups
The journey at League Health Insurance highlighted the challenges faced by startups during rapid growth phases. Initially joining a company without established sales teams, the speaker built sales motions from scratch, emphasizing the need for adaptability and rapid messaging iteration in the market. As League aimed for aggressive revenue targets, the pressure to pivot strategies was significant. The experience underlined how expectations from financing can push a startup's operations away from true product market fit, leading to difficult decisions that could have long-term repercussions.
Navigating Sales in Established Companies
Transitioning to Shopify provided a contrasting experience, where the focus shifted to selling a well-established point-of-sale product to retail vendors. During the pandemic, the company experienced unprecedented growth as businesses sought robust online solutions to adapt to changing consumer behaviors. This transition required quick adjustments in messaging and sales tactics to cater to a new wave of customers who gravitated toward online commerce. The alignment with a strong product ecosystem allowed the sales team to effectively communicate the value of the integrated solutions offered by Shopify.
Emphasizing Transparency in Startups
At Owner, the fundamental approach involves creating a transparent sales process that builds inherent trust with potential clients. The company refrains from long-term contracts, promoting a month-to-month model that ensures clients can leave with ease if they are unsatisfied. Furthermore, the sales pitch emphasizes the balance between customization and results, clearly stating trade-offs involved in using the platform to better serve restaurant owners. This level of honesty not only attracts the right customer segments but fosters long-term relationships based on mutual understanding and success.