How to accelerate a rip and replace enterprise sales cycle
Reduce the size of your ask, phase the solution, get to first value quickly
This post is relevant for startups that have a rip and replace GTM strategy, where you sell a solution that directly replaces a customer’s existing solution. The most common scenario for this in software terms is enterprise workflow software like a CRM, LMS, HRIS, ERP, PMS etc which customers use as a system of record to run their business as you can’t realistically have more than one system of record.
Ripping and replacing a system of record is a significant project. You have to show you can support legacy use cases and workflows, be able to support existing integrations and reporting, wrangle multiple stakeholders to build consensus, overcome executive uncertainty over timeframes and ROI, do custom development and configuration, migrate data, train people and manage organizational change. It all adds up to a big ask, which in turn creates a lengthy sales and implementation cycle.
However, accelerating a rip and replace is possible when you follow 3 principles:
Reduce the size of your ask by separating your customer’s must-haves from nice-to-haves.
Propose a phased solution by using a solution framework to prioritize must-haves over nice-to-haves.
Get to first value quickly by defining first value milestones for each phase and aligning your stakeholders around reaching them.