You signed in with another tab or window. Reload to refresh your session.You signed out in another tab or window. Reload to refresh your session.You switched accounts on another tab or window. Reload to refresh your session.Dismiss alert
Copy file name to clipboardExpand all lines: content/posts/190626-dev-led-sales-startups.markdown
+32-5Lines changed: 32 additions & 5 deletions
Display the source diff
Display the rich diff
Original file line number
Diff line number
Diff line change
@@ -283,25 +283,52 @@ your own business model. The business model should include a working
283
283
hypothesis for both the cost of customer acquisition (CAC) and lifetime
284
284
value of a customer (LTV). Also, does the revenue derived from your
285
285
customers match a standard distribution or a power law distribution?
286
+
</p><p>
287
+
What do CAC, LTV and standard vs. power law distribution have to do with
288
+
a developer-led sales motion?
289
+
</p><p>
290
+
Ideally, your CAC will be significantly lower with a developer-led
291
+
sales strategy versus a traditional sales motion. This is one reason
292
+
established companies such as Okta
293
+
<ahref="https://www.okta.com/press-room/press-releases/okta-welcomes-stormpath-to-accelerate-identity-for-developers/">acquire smaller firms such as Stormpath</a>
294
+
to create a different sales cycle based on usage from developers instead
295
+
of trying to convince companies to sign large deals before the software
296
+
has proven useful.
286
297
</p>
287
298
</div></div>
288
299
289
300
<divclass="row talk"><divclass="c6">
290
301
<imgsrc="/img/190626-dev-led-sales/22-cloud-laws.jpg"width="100%"class="shot rnd outl"alt="Bessemer's 10 Laws of Cloud Computing and developer platform laws are fantastic foundational reading.">
291
302
</div><divclass="c6"><p>
292
-
Bessemer's
303
+
Note that I am making a lot of assumptions about your understanding of
304
+
developer platforms. If what I am saying about CAC, LTV, usage-based
305
+
models and related terms are unclear, you definitely need to read
306
+
Bessemer's articles on
293
307
<ahref="https://www.bvp.com/atlas/10-laws-of-cloud">10 Laws of Cloud Computing</a>
294
308
and
295
-
<ahref="https://www.bvp.com/atlas/eight-laws-for-developer-platforms">8 Laws for Developer Platforms</a>
296
-
are helpful foundational resources for understanding how to build,
297
-
market and sell software products for developers.
309
+
<ahref="https://www.bvp.com/atlas/eight-laws-for-developer-platforms">8 Laws for Developer Platforms</a>.
310
+
</p><p>
311
+
They are both incredibly helpful foundational resources for understanding
312
+
how to build, market and sell software products for developers.
0 commit comments