Three Things I Learned In Saas, Sports, Tech & Live Events 1.13.23
Talking recruiting hacks in downturns, judging a VP of Sales ethics, and the plight of the sponsorship sales person
Three Things I Learned in SaaS, Sports, Tech & Live Events
The Labor Market is always tight for superstars with experience. But markets like this one are terrific for entry level future stars. In boom times, like the past ten years, hiring stars is expensive and competitive as everyone has money sloshing around and they need to make a big splash for attention. It gets expensive to pull in top performers. In recessive times, companies will do anything to keep their top performers. Also expensive. But there is one hole: In times like these many companies will pull back on entry-level hires. Future stars are more available than ever and you can build you business on them. The hires we made in the post 2008 meltdown have become the bedrock of our business. It's hard to swim against the current - but from our experience, it is very worth it.
"Great people follow great leaders." Maybe. But not right away. There's an ongoing debate on SaaS LinkedIn that a new VP of Sales needs to hire a number of former reps who will follow them right away (as in within 90 days). Not true. A really great leader will bring people into an environment they love, can thrive in, and will grow in - regardless of whether the manager stays or not. If they do their job right and honestly care about their team and their company, the team shouldn't follow them right away. So many beat the drum that there need to be insta-hires from the VPS' network. It's pretty simple to me: If someone would leave a company and then raid the talent, they don't have the ethical make-up needed to build a longstanding and fulfilled team. Nick Saban agrees when discussing this trend with Bill Belichick in their HBO special. If a VPS built a great team at their last company, they can do it again - if they are the right hire - without pillaging their last employer.
Sponsorship quotas, like all quotas, go up…not down. For years we've seen new categories with wild spenders in crypto, gaming, NFTs and the like feeding growth not only in the team's bottom line but in the sales people. They're gone. But that sponsorship team's quota? It didn't change. And the lifestyle that sponsorship seller built around that income? Also the same. It's a buyer's market for big brands.