The Sales Myth: Build it, and they will come!

When coming to the US ten years ago, I had the firm believe that as soon as you open the doors of a business, customers will rush through them to buy your products. No Sales Needed! It took me a memorable meeting and quite some time and soul searching till that attitude changed.

Today, I am an advisor, mentor, and investor in multiple startups. I still often find founders who believe the same is true, that the product is so overwhelmingly beneficial that people will run through the doors as soon as their product is ready.

Having gone through the experience and knowing that sales and marketing are a great mystery for many technology people, let me share some advice I have given several founders and have gotten from mentors on being a board member and investor.

People Tell Stories

Since the beginning of time, humans have told stories to teach, convince, and lead. From the past campfires to the Ted Talks and TikTok stars of today, stories still move us, connect people, and spur us into action.

It is no wonder that most commercials tell you a story with relatable characters to spur you into action. They know that we love to identify with the hero who lays the evil of the messy kitchen, is victorious over the cluttered E-Mail inbox, or lays waste to the extra inches on the waist.

However, not just established brands and marketing geniuses have a story to tell. Most startup founders have a deeper motivation behind their product, a personal connection to the mission, and a broader vision to improve the world. Telling your stories far and wide can be a significant first step to building a sales strategy. Especially once you see a message resonate, questions arrive in your inbox.

Sales: Making pain visible

Another talent we have perfected over the centuries is to ignore pain. As long as a system works, we might complain about it, yet we seldom jump into action unless the pain is too big.

Pointing out pain points and solutions is consequently an excellent way for tech-oriented founders to get a start in selling their products. Given that many of our pains are unrelated to technology, the strategy is perfect for anyone who tends to drift into jargon.

Hire Sales Out

Hiring a Chief Revenue Officer or finding a co-founder to take over sales is a pragmatic solution, especially if it leads to a clear division of labor. It is a sign of maturity when founders consider the option instead of outright dismissing it.

Sales is a skill that needs training. Consequently, hiring the right person skips a significant learning curve and can reduce stress when many items are already fighting for attention.

Board Member: Ensure strategy contains a Sales Strategy

Even if the later growth relies on word of mouth, the initial start will need direct sales or a strong marketing push to reach the customer base.

Consequently, the strategy has to match the company’s current stage and the team’s capabilities. In many cases, honest feedback and an outside perspective can significantly affect the growth trajectory.

Mentors: Ground Founders

In the eight years I have invested in startups, many founders have tended to go between extremes. Either the world is falling, or it’s ten minutes to the billion-dollar IPO. Many sales processes are slow to start. Thus, grounding the founder in reality is essential for Board Members, Advisors, and Mentors.

I have personally given up too early and stuck far too long to a stale opportunity until someone gave me a nudge to reconsider it. Once you are in the weeds, especially if you are unsure about yourself, it is hard to see clearly.

Investors: Be Clear About Sales Numbers

“I don’t think the company is a good fit for my portfolio” is an excellent answer if you don’t feel confident in a founder or idea. As startup investors, we use it for most of the rejection messages we send.

However, if a lack of revenue is the issue, saying it gives the founder immediate feedback. Additionally, it keeps the door open for the founder to return once they close the one or two deals.

Even if other concerns are preventing an investment down the road, the next investor they approach will undoubtedly appreciate that they managed to show that customers want to buy the product.

Sales is the Basis for Growth

Sales is the basis for growth in any company. Whether technology, beverages, or financial services, no company can survive without customers. The sooner founders manage to acquire customers, the better for the company and the more likely it is investors will help propel the company to the next level.

Mentors, Advisors, and Board Members should do their utmost to ensure that founders are ready and willing to adopt a sales strategy to get their product into the market as quickly as possible.