How to achieve hypergrowth in your business and career | Carilu Dietrich (Atlassian, Miro, Segment, 1Password)

Apr 30, 2023 1h 7m 78 insights Episode Page ↗
Keri-Lew Dietrich, former CMO and advisor to hypergrowth B2B companies, shares insights on achieving hypergrowth, making strategic changes, building trust with CEOs, and essential career advice for executive roles.
Actionable Insights

1. Build an Amazing Product

The most critical factor for hypergrowth is having an amazing product that people genuinely love to use, as seen with products like ChatGPT.

2. Prioritize Organic & Viral Growth

To achieve hypergrowth and build a viable company, focus on generating organic inbound and viral word-of-mouth, as paying for growth at those rates is unsustainable, especially in efficient economic markets.

3. Combine Product & Viral Activity

For hypergrowth, ensure you have an amazing product combined with inherent viral activity, where users naturally promote it to others, making growth highly efficient.

4. Observe Early Customer Journeys

For early customers, deeply observe their entire product usage process, step-by-step, to understand their reactions and feelings, which is crucial for building a product they love.

5. Secure Product-Market Fit First

Before scaling marketing, ensure you’ve achieved product-market fit by consistently selling to a clear ideal customer profile, as scaling efforts without this foundation are not repeatable.

6. Build Non-Scalable Processes Early

In the super early stage of a company (seed to Series A, under $10M), build processes that don’t scale first to go deep and understand customer needs intimately.

7. Focus on Differentiated Product

Founders should double down on creating a product that is differentiated and truly loved by customers, recognizing that each incremental step contributes to overall progress.

8. Sustain Growth with Core Principles

Hypergrowth is achieved through consistency, deep customer obsession, and continuous incremental improvements across all parts of the business, not a magic bullet.

9. Leverage User-Driven Virality

Amplify natural points where your users sell to other people, as this user-driven virality is significantly more efficient for growth than relying on salespeople.

10. Evaluate Product for PLG Fit

Assess if your product offers quick time-to-value (days) for product-led growth, or if it requires context, customization, or if your market prefers offline buying, necessitating a sales team.

11. Single Product for PLG Land

For product-led growth, avoid bundling products as an initial “land” strategy, as it slows down the motion; instead, land with a single product that offers high velocity and quick value.

12. Test Everything, Use Data

The secret to product-led growth is to test everything, relying on data-led insights over anecdotal advice to determine what truly works.

13. Cautious Sales Hiring

Avoid hiring sales and inside sales teams too fast or too far ahead, as it can be a huge cost and drain on the business if the product lacks sufficient resonance.

14. Evolve SDRs to Sales Engineers

Transform SDRs into sales engineers or researchers who guide customers through the product-led growth path, offering assistance rather than just scheduling sales meetings.

15. Integrate Sales with PLG

Integrate sales (SDRs/AEs) with product-led growth to meet investor expectations for accelerated and predictable revenue, as pure PLG is rarely feasible in today’s market.

16. Threshold-Based Sales Engagement

Engage salespeople only after a high threshold of users (e.g., 20-40 people) at an account are already actively using and paying for the product, as this indicates strong product-market fit.

17. Leverage ABM for Sales Efficiency

Use account-based marketing (ABM) and intent-based signals to engage salespeople only with customers who are actually likely to buy, increasing sales efficiency.

18. Prioritize Existing Customer Sales

Focus sales efforts primarily on existing customers for renewals, cross-sell, and upsell, as net new prospecting is a very expensive way to acquire customers.

19. Bundle Strategically by GTM

Bundling is not effective for product-led growth but can be very effective for a sales-led motion when a company is at the right stage of growth.

20. Be Best-of-Breed to Win

To compete against powerful “all-in-one” bundled offerings, be “best of breed” with a product that is so much better that customers are willing to pay extra for it.

21. Hire Ahead for Growth Stages

Hypergrowth companies should hire 2x and 3x leaders who have already experienced the next stage of growth, as these stages arrive much faster than anticipated.

22. Proactively Seek Growth Mentors

In hypergrowth companies, leaders should proactively hire advisors and cultivate mentors and friendships with people who understand what “great” looks like at the next scale, as growth happens fast.

23. Cross-Company Growth Strategy

For growth levers to make a real difference, they must be cross-company strategic goals, not just individual department objectives.

24. Align Departments for Strategic Shifts

When pursuing a strategic shift, like moving to enterprise, ensure all departments (marketing, product, research, support, sales) align their efforts and adapt their functions to the new target.

25. C-Suite Drives Strategic Solutions

Strategic problems, like growth levers, must be addressed by the CEO or the entire C-suite coming together to solve them, rather than pushing them aside.

26. Select High-Momentum Companies

Your career trajectory and ability to get bigger jobs faster are highly dependent on the momentum of the companies you work for, so choose wisely.

27. Identify Future Success Stories

Early in your career, seek out companies poised for super success, as this experience will transform your entire career through resume recognition, networking, and financial benefits.

28. Aggressively Target Top Companies

Early in your career, don’t “wimp out”; aggressively pursue big-name, high-momentum companies by applying year after year and networking to get in.

29. Company Evaluation Checklist

Use a 10-point checklist to evaluate a company’s momentum: Rule of 40, investor quality, recent funding rounds, NPS/customer satisfaction, net dollar retention, growth rate, burn rate, market leadership, and Glassdoor reviews.

30. Leverage Networks from Great Companies

Working for great companies connects you with great people who will go on to other companies and can provide future career opportunities.

31. Ride Industry Waves

Actively chase industry waves (e.g., moving into high-growth sectors like tech, SaaS, or AI) to significantly propel your career, alongside choosing the right company and performing well.

32. Accelerate Executive Career Growth

To advance to the executive suite, work harder, continuously learning, pushing personal boundaries, and actively seeking responsibilities and opportunities even outside your defined role.

33. Invest Extra Hours Consistently

Consistently working extra hours, such as two hours later than colleagues daily, can compound into significantly more experience over several years, accelerating career growth.

34. Volunteer for Cross-Functional Roles

Volunteer for responsibilities in other departments to gain insights into how the whole system works, which can make you more successful throughout your career.

35. Embrace Interim Leadership Roles

If a department head leaves, volunteer to be the interim for that function while maintaining your own responsibilities to demonstrate your appetite and skill for more leadership to top executives.

36. C-Suite Personal Development

To reach the C-suite, focus on learning as much as possible about your expertise, working really hard, taking on more responsibilities, and maintaining a great attitude with a strategic mind.

37. Embrace Consistent, Deep Work

Recognize there are no shortcuts to deep knowledge; consistent, disciplined effort over a long period, such as writing three to four blogs a week for 10 years, is essential for building expertise.

38. Align with CEO/Board Priorities

Think and talk in terms of the CEO and the board by connecting your responsibilities directly to revenue, even when you’re junior and lack direct exposure.

39. Master Business Finance

Gain a strong handle on the business’s finances and how its revenue works, as understanding the entire system is crucial for C-suite positions.

40. Understand All Departments

Proactively visit and learn about what other departments are working on, including their challenges and opportunities, to understand how the entire system functions and facilitate career advancement.

41. Undertake Departmental Tours

Actively seek “tours of duty” in different departments to gain a comprehensive understanding of how the entire business system works together.

42. Build Strong Relationships

Build really strong relationships with people by consistently doing good work and actively helping them, which is crucial for career progression.

43. CMO: Focus on Revenue Impact

As a CMO, focus on revenue generation and clearly demonstrate how marketing drives it, ensuring the CEO sees you as a partner who understands the financial impact.

44. CMO: Master Metrics & Board Talk

CMOs must have a strong handle on metrics, offer solid predictions for growth levers, and effectively communicate in the terms of the CEO and the board to build trust.

45. CMO: Strategic Leadership & Team Building

CMOs must be strong leaders who run their business well, hire great teams, think thoughtfully and strategically about market opportunities, and consistently think ahead.

46. CMO: Build Trust with Data & Strategy

CMOs build trust with CEOs by being proficient in metrics, strong in strategy, and knowledgeable about the market, enabling productive and trusting discussions.

47. Learn from Scaling CMOs

Seek to learn from the rare CMOs who have successfully scaled a company from its early stages all the way through significant growth, as their insights are invaluable.

48. Understand CPO/CMO Role Risks

Recognize that CPO and CMO roles are strategic, involve results difficult to measure, and are often impacted by overall company performance, leading to higher turnover rates.

49. Cultivate Endurance for Fit

Cultivate endurance to keep going and find the next role where you are a true fit and the company has strong momentum, rather than giving up after setbacks.

50. Leverage Downturns for Growth

Use economic downturns for career growth by learning more and pitching yourself for new roles or responsibilities that others aren’t covering, as many people take their foot off the gas.

51. Prioritize Value Over Title/Salary

During economic downturns, focus on building value and experience rather than title and salary, as this investment will be monetized on the other side of the recession.

52. Empower Thought Leadership

Empower your employees, including founders, to be thought leaders by actively engaging in relevant online communities and forums, which drives word-of-mouth and community engagement.

53. Content for Existing Communities

Implement a strong content strategy within existing online communities, such as open-source forums, to foster engagement and drive word-of-mouth.

54. Cultivate Customer Community

Build your own community of happy customers, as they are the best salespeople for your product and can generate significant word-of-mouth.

55. Organize Local User Groups

Organize local user group communities, facilitating meetups where customers can discuss products, development, and network, which benefits both existing users and prospects.

56. Ensure Fantastic Product Quality

The quality of your product is the most important thing; ensure it is truly fantastic, as even massive advertising spend cannot compensate for a poor product experience.

57. Sustain Strategic Brand Advertising

For effective brand advertising, spend consistently over a long period, focusing a smaller amount on a fewer number of things, as this sustained and strategic approach can be highly effective.

58. Targeted Ads, Product First

An incredible product is essential; advertising merely amplifies it. Opt for one very targeted, sustained ad spend rather than blanketing many ads, as this can be more effective.

59. Advertising Amplifies, Not Creates

Recognize that advertising merely amplifies your product; it cannot make a poor product successful or compensate for uptime and feature issues.

60. Craft Memorable Advertising

Create advertising that has a twist of humor, personality, or truth to make it memorable and stick in people’s brains, like campaigns featuring “data nerds.”

61. Design Authentic, Engaging Ads

Design advertising campaigns that are funny, unexpected, and true to the product to ensure they stand out and resonate effectively.

62. Preserve Deep Customer Insight

As your company grows, actively work to preserve deep insight into the daily struggles and experiences of your customers, as this becomes harder to obtain.

63. Adopt Multi-Product Strategy

Small and medium-sized companies should transition to a multi-product strategy to diversify their financial model, sell new products to existing customers, and expand their total addressable market for significant growth.

64. Evaluate Career Trade-offs

Before pursuing an executive career, evaluate the significant trade-offs and sacrifices required against personal life, family, hobbies, and passions, as this path isn’t for everyone.

65. Endure Unemployment with Grit

If unemployed, maintain endurance and grit, remembering that worrying is wasted energy, as you will eventually find another job despite a potentially bumpy ride.

66. Avoid Settling for Subpar Roles

Do not settle for a crappy job or company, as each position and company logo on your resume prepares you for the next, influencing your future opportunities.

67. Ask Better Questions

Embrace the “more Yoda, less Wonder Woman” philosophy by focusing on asking better, more insightful questions to gain deeper understanding.

68. Commit Fully to Action

Adopt the “Do or do not. There is no try” mindset, committing fully to actions rather than merely attempting them.

69. Apply “Hell Yes or No” Filter

When evaluating opportunities, use the “hell yes or no” filter: if it doesn’t genuinely excite you and provide energy, decline it, as you have limited time to be your best.

70. Transform Worry into Action

Recognize that worrying is wasted energy; instead, thank fear and uncertainty for providing urgency, then create a list of what you can control and what to do next.

71. Read “The Tao Te Ching”

Read “The Tao Te Ching” (Stephen Mitchell translation) for a philosophy about the flow of life, which can provide profound insights and guidance.

72. Read “Never Split the Difference”

Read “Never Split the Difference” by a former CIA hostage negotiator to learn effective negotiation strategies applicable in both work and personal life.

73. Negotiate with Empathy

In negotiations, deeply put yourself in the other person’s shoes to understand their needs and find a win-win solution, rather than strong-arming your own desires.

74. Focus on Others’ Interests

To build rapport and influence, focus on thinking about others and their interests, rather than talking about yourself, as people prefer to be thought of.

75. Reflect & Practice Gratitude

Watch “Everything Everywhere All at Once” to reflect on how small decisions shape your life and to cultivate an appreciation for the life you have, even if it’s not what you imagined.

76. Interview Question: Firing Experience

When interviewing managers, ask “How many people have you fired and tell me about each experience?” to gain insight into their leadership, compassion, business drive, and ability to handle pressure.

77. Start Product with Press Release

Adopt Amazon’s practice of writing a press release at the beginning of product ideation to ensure a clear, marketable theme and desired outcome, preventing a “bag of doorknobs” product.

78. Consistent, Guided Meditation

Meditate consistently by making time to be present and breathe, understanding there’s no right or wrong way; use guided meditations (like Tara Brach or Meditation Oasis) if needed, and just stick with it.