> [!METADATA]- > - Created:: [[2024-08-16-Friday]] > - Week:: [[2024-W33]] > - Month:: [[08-August]] > - Quarter:: [[24Q3]] > - Year:: [[2024]] > - Outlinks: > - **Table of Contents:** ```toc style: nestedList ``` ## Don’t Make This Common Mistake When Setting Up Your Upmarket Motion Failed efforts to develop an upmarket GTM motion often have one thing in common: hoping small incremental changes to the existing process will do the job. If you have great traction from your SMB motion but struggle with scaling the upmarket/enterprise motion, you might be facing this issue. The “Revenue Factory,” a concept popularized by Winning by Design, serves as a great metaphor for a GTM motion. The core idea is that you need a specialized production line for the different types of products or services you are offering. In B2B the output is differentiated by your Annual Contract Value (ACV). When it’s higher than $30K, you need an "upmarket/enterprise production line", and if it’s lower than $30K, you need an "SMB production line". Trying to produce upmarket items on an SMB production line will yield poor results. A production line is not something that marketing or sales can set up alone; it requires a redefinition of the entire process, from start to finish. The differences between the SMB and Upmarket factories may not look massive at first, but they are fundamentally different: 1. Audience and Initial Conversion - In the SMB Factory, you start with spray & pray—targeting is broad, and the main goal is to get people to fill in forms. The key concept is finding nuggets of gold from the high input volume. - In the Upmarket Factory, you start with a carefully defined ICP account list and nurture those accounts to generate measurable engagement. 2. Pipeline Conversion - In the SMB Factory, you qualify the random contact by marketing (MQL) and then by sales (SAL > SQL) before creating an opportunity and winning the deal. - In the Upmarket Factory, you focus only on qualified accounts, converting those showing behavioral intent signals (Marketing Qualified Account / MQA) into an SQL and an opportunity. The mistake many companies make is trying to cut corners and retrofit the SMB Factory into an Upmarket one. Here are the most typical attempts: 1. Marketing replaces spray & pray with some kind of ICP, expecting the same form-fill process to produce higher quality results. The result is a low number or zero ICP form fills. 2. Retrofitting the marketing part of the factory into an upmarket one but leaving sales to operate with the SMB process. The result is that the sales team has no idea how to convert qualified accounts into opportunities. Setting up the Upmarket Revenue Factory is not a small and easy project, but this shouldn't hold you up if you are serious about going upmarket. It can be built with an agile, iterative process, in which each iteration produces tangible results. The key foundation of success is to align the CEO, CMO, and CRO around the project from the start. ![[Revenue Factory diagrams.png]]