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Vimeo's Anjali Sud on going upmarket

Patrick Campbell Mar 15 2022

If Google charged me money to use it, I probably would pay. Think of how much time and money you save by being able to have all the world’s information at your fingertips. 

It’s not without its downsides though. Your information is basically being sold both directly and indirectly. If you host anything on Youtube, you can’t control the experience, because Google needs more ads to be put in front of people. Their docs and email aren’t enterprise ready. The list goes on. 

While Google is great for general inquiries, it’s not the tool for everything. Which is kind of the story of B2B SaaS—you need to find the right tool for the job or you need to end up building it yourself. 

One such story in this realm is of Vimeo—who started by fixing some of the issues Youtube had for creators, but has since expanded into becoming the SaaS platform for business through a massive positioning pivot. 

To tell us about that pivot and to teach us about all that goes into positioning for a different market, we sat down with Vimeo’s CEO, Anjali Sud, who took over in 2017. Through her expertise and guidance, Anjali has grown Vimeo to over 200 million users as well as taking the company public in 2021. Her wisdom gleaned through this transformation you’ll find in this episode.

 

Listen now 🎧

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Here we summarize the main takeaways for you to implement or hand off to your team for implementation.

 

Key term

What is upmarket?

Upmarket refers to when businesses move toward the more expensive and/or affluent sector of a market.

Why is it important?

The decision to move upmarket is important because it can bring a substantial boost in growth and revenue, as well a big reduction in churn. However, it’s not without challenges and if pursued incorrectly, it can ruin your business. It requires a well thought-out strategy and commitment.

 

Action plan:

What to do today: 
  • Follow Anjali Sud.
  • Schedule a time to meet with your leadership team to discuss your current growth strategy and whether it makes sense to move upmarket.

What to do next quarter:

Anjali suggests basing your decision to move upmarket on the signals you’re seeing. Once you’ve decided to do so, develop a solid strategy to move upmarket.


Moving upmarket is challenging as it will involve reaching and serving a new and larger customer base. And this new customer base will have different and higher expectations, as well as different product requirements. And while you want to focus on winning over this new customer base, you need to ensure you don’t neglect your existing customer base. 


Below are some helpful tips directly from Anjali to help you get started on making your move upmarket.


  • Pay attention to how your product performs in the market even as a free use case, then go after the customers who have shown interest and interacted with your platform.

  • Hire a team of people who compliment your skills well. The parts that you’re lacking should be filled by them. You should have a good mix of people with different backgrounds and different perspectives, who share the same goal and can execute the agreed plan effectively.

  • Recognize the parts of your business that need work and accomplish them one by one.

  • Serving different user types is difficult but you need to direct your efforts on the parts that need urgent resolution first.

  • Acquire an efficient sales team. They will be significant in onboarding and will put your business in a good place if they do their part well.
 
What to do within the next year:

Begin to implement your upmarket strategy. As with any newly implemented strategy or process, closely monitoring and evaluating the output is important, but because of the challenges and risks involved in moving upmarket, it is absolutely vital. Be prepared to make adjustments and modifications as needed—or even postponing—if the output isn't what is desired or needed.

 
Who should own this? 

Your leadership team/s.

 


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This is a ProfitWell Recur production—the first media network dedicated entirely to the SaaS and subscription space.

 

 

 

By Patrick Campbell

Founder & CEO of ProfitWell, the software for helping subscription companies with their monetization and retention strategies, as well as providing free turnkey subscription financial metrics for over 20,000 companies. Prior to ProfitWell Patrick led Strategic Initiatives for Boston-based Gemvara and was an Economist at Google and the US Intelligence community.

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