Gartner Research

Selling SaaS: What All Software Providers Need to Know

Published: 29 August 2014

ID: G00265692

Analyst(s): Chris Pang

Summary

High-growth SaaS providers employ agile, disciplined sales operations and management practices. Software sales executives can learn from these leading-edge practices to optimize their own sales operations and management styles, as well as improve sales performance.

Table Of Contents

Analysis

  • Methodology
    • Profile of SaaS Providers Interviewed
  • Key Observations: What Sales Processes Differentiate High-Performance SaaS Providers?
    • They Invest Early and Heavily in Sales-Enablement Technology to Increase and Manage Their Pipelines
    • They Use a Very Selective and Granular Approach to Market Segmentation
    • They Use a Business Development Team to Augment Their Sales Team
    • They Know When to Divide the Sales Rep's Time Between Hunting and Farming
    • They Have Generous, but Tightly Controlled, Commission and Bonus Plans
    • Recommendations for Sales Process
  • Key Observations: What People Processes Do High-Performing SaaS Businesses Employ to Staff the Business?
    • They Have Proactive Succession Planning at All Levels to Mitigate Inherent Churn in Sales Roles
    • They Tune Their Sales Management Style to the Maturity Level of the Company
    • They Apply the Same High Standards in Hiring Inside Sales as They Do Field Sales
    • They Hire for Personality Traits and Domain Knowledge
    • They Hire for Attitude
    • Recommendations
  • Conclusion: Discipline, Rapid Change and Taking a Chance Should Be Core Values Aligned With Your Sales Process and People Attributes

Gartner Recommended Reading

©2019 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Purchase this Document

To purchase this document, you will need to register or sign in above

Become a client

Learn how to access this content as a Gartner client.