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Hello, I'm Ray Reich, founder and CEO of RevOps Squared and your host of the Metrics that Measure up podcast. We talk to a wide variety of B2B SaaS and Cloud Thought leaders, executives, investors and people just like you to discuss the metrics and benchmarks they use to make metrics informed decisions. Now, on to today's show. Welcome to today's episode of the Metrics that Measure up podcast. Today we are joined by Rick Pizzoli, the founder and CEO of Salesforce Europe. We'll be covering three main areas with Rick today. First, the opportunity and challenge of entering the European market for B2B tech companies. Second, the primary considerations to be prepared for when entering and establishing European market presence. And third, the options and associated expectations, including return on investment modeling for entering the European marketplace. Rick, can you please take a moment to give a brief overview of your journey to becoming a guest on the Metrics that Measure up podcast?
B
Thank you, Ray. Really appreciate your time having me here and all of your viewers and listeners to to listen in. Yeah, my name is Rick Pizzoli. I'm originally from San Francisco. I moved out to Europe about 25 years ago to launch Europe for three different tech companies. Two San Francisco based companies and one Spanish based company. And I found out this whole process of European launch is really hard. It's hard to build a strategy, especially if you don't have a lot of experience on it. Build the team, hire the people, manage the people. So 20 years ago I founded Salesforce Europe to really add speed and intelligence to that whole market entry process. That could be greenfield companies first coming in to Europe or European companies looking to expand in Europe. So we help both. So since 2003, we've helped about 500 technology companies expand within Europe. Great.
A
Well, you're the person I want to talk to then, because so many of our clients and conversations I have with SaaS CEOs typically in the maybe as early as 5 to 10 million, but definitely in the 10 to 25. They're like, we think we need to expand our target addressable market. And one of the first things they look at is Europe because you've got the United Kingdom and they're English speaking and it feels comfortable. So You've got over 25 years of helping US companies enter the European marketplace. Or as you said, European companies expand beyond their native country. What are the top challenges that a SaaS CEO should be aware of even before they start planning for this expansion?
B
Yeah, I mean, European companies typically go a little bit earlier. They might be the 2 to 3 million level mark just because their addressable market is smaller. You're right. U.S. companies are probably 5 to 10 million. So it's typically series B when the U.S. companies were looking over. The number one is really to be really prepared and have a strong home market, have a clear ideal customer profile, established solid products, a really good customer or product market fit in your home market. Good sales processes. So good lead generation strategies, outbound good digital marketing strategies to get inbound good sales processes and good metrics. So having all those really established in your home market, well then you start planning for international and then planning is really the first step in going international.
A
Well, that's pretty solid advice. Make sure you have a repeatable and scalable customer acquisition process in your own country before you say, well it's not working well here, maybe it'll work better in Europe. So good solid device. But you mentioned something there about the planning process. Right, because we talk a lot here. When we first kind of launched to get product market fit in the US Marketplace. We talk about ideal customer profile, buyer Persona. We think about our messaging and value proposition. Do we have to do that again when we first enter the European marketplace, Rick?
B
Well, you certainly have to understand it for your home market and you have to have it documented well for your home market. We speak with thousands of companies, we've helped hundreds of companies and nobody has it documented. They all come to us and they say we want to launch Europe. I say great, send me your plan. Let's have the first call. They say let's have the first call and then we'll talk about the plan like nobody's got it documented. So the first thing we ask them is tell me your metrics about your home market. How are you selling today? Who's your ideal customer profile? What's your best target vertical you want to get into? How have you structured your home team? And now let's take a look at Europe. What are your revenue objectives for Europe? What is your budget to expand within Europe? Have you done any kind of market planning? Where are your, where's your competition selling today? And then how do we matrix what your structure in your home market over Europe looking at the different countries to be able to hit your revenue targets within your budget. So that's really the planning stage, looking at understanding what they do well in the home market and laying that over the European market.
A
Yeah, you mentioned something and we've kind of hit around it a couple times and that is do we enter in a single country? Because a lot of People I talk to, we're going to go to the United Kingdom, right? For all the obvious reasons, the language, we're comfortable with, the culture, we think it's similar. Do you need to really think about your pan European strategy right up front or do you really say, hey, here's the country where maybe we had a lighthouse customer and we're really going to leverage that first country and see over the next 12 to 18 months what we learn and then we'll think about entering that second or third. Is that the right strategy?
B
I mean, if you have a lighthouse customer, if you have a really good reference customer you can build on, why not? I mean, that could be in the uk, that could be in Germany, that could be in anywhere. Now many companies do look to go to the UK first. It's an hour closer in time zone. It's English friendly. The English are very open to new technology, so they don't mind kind of buying into cutting edge. And so there's a lot of benefit for going to the uk but that low barrier of entry is the same for your competitors from North America going to Europe, but it's the same for your competitors in Europe going to North America. So quite often the Europeans, the Germans, the French and Spanish will go to the UK first and then go to North America. So you could have five competitors in the US, five in Europe. You could have all 10 already be in the UK and if you're number 11, you're going to have a hard time. If you set up shop in the uk, say I'm going to first establish myself here and then go to Europe and you find out, well, the competition has been here years before I have and I'm really struggling to get traction. So what's the matter? Maybe it's better that you do a bit of planning ahead, look at where your ideal customer profiles, look at where your competition is set up and maybe set up in Germany or Spain or Italy or someplace else, get a beachhead there and then expand. So it's important that you do a bit of that planning up front, a bit of market research and really understand where's the best place to start.
A
Rick, you just highlighted something I hadn't even thought of before because I'll see a lot of companies will take a really good individual contributor or maybe a sales manager from the US and like, okay, why don't you and a solution consultant go over to the UK marketplace, spend the next six months, really learn it. But you're saying that UK might be the most competitive market because that's where everybody thinks they all go there first. So is that kind of what I heard you say?
B
Yeah, yeah. I mean, I mean, it's probably the most competitive market on earth. I mean, London is probably the most competitive city in the world for selling tech, but they're very open to new tech. So it's still a good market to go into, but you just need to understand what you're getting yourself into. And sending a US person or a French person or whoever from your home market to wherever you're starting can be a good idea to onboard your local team. It's not a substitute for hiring local. You can't put a hotshot American salesperson from San Francisco or New York, drop them in London and expect them to be successful. They don't have the contacts, they don't have the network, they don't understand the culture. So they're really going to struggle to build. But if you build the right team, either hire a right team or work with an outsourced company like ours, start with us and then bring somebody over three months, six months to help onboard that team, pass the sales culture over. Reference cases, help connect back to the home office, there's a lot of benefit in that. But putting that person on their own, they're going to struggle.
A
Well, it's been over 10 years since I've expanded into the European marketplace, so my experience was from the late 90s through 2014. But now, since the tech industry is so much bigger, I didn't even think about that talent demand supply situation. And the uk, it must be really difficult for a smaller US company to come in the UK and build to source really good talent initially. Is that correct?
B
Yeah. It's hard to source and build. It's hard to know the kinds of people you need to bring on the team. Right. Because an SDR successful in the UK is going to be different from the us, as is a bdr, as is inside sales, as is enterprise sales, as is channel sales. So there's subtleties and nuances on the right type of profile for the right type of job in any European culture. So it's finding those people, managing those people, and then localizing your product market fit. Because the product market fit in the US is going to be different from the UK and different from France, different from Germany. So you're not going to get it right at first. The marketing's not going to be right, the pricing is not going to be right, the competitive analysis is not going to be right. So you need the local team plus a management team has awareness of those subtleties to be able to communicate it back to the HQ or on how we need to adapt our overall positioning to be successful. So just hiring somebody new without local oversight, management that really understands both sides is another aspect of internationalization that will slow the process if you don't get it right.
A
One of the challenges I faced was kind of building that initial awareness and top of funnel, right? Because even if you have a Lighthouse account like our my last company, my Lighthouse account was Virgin. That's a pretty good Lighthouse account in the uk, Right. But you still got to go out and create awareness for the other thousand companies that might be in your icp. So do you recommend, I know this is a loaded question since you have a managed service organization, but kind of thinking about outsourcing both the marketing and the lead generation, the sales development team, for a period of time, maybe it's three, six, 12 months before you put a salesperson on the ground. What's your recommendation there?
B
So there's two sides. There's the digital marketing side and that can take three to six months to kind of build awareness for any company or any market. That engine needs to start going. And typically most companies have that outsourced the digital marketing side. And what it really means is opening that up to the European market. So making sure that you're investing in Google AdWords, making sure that the AdWords are localized in the local languages and so kind of getting that ramped up. And yes, that can start three to six months early because Google algorithms need time to kind of ramp that up. And then there's outbound lead generation which we provide and there's a lot of outsourced companies that provide that in Europe and that's starting to build the pipeline and that takes time to kind of build the team and then the team to engage the market and that market to ramp. And that takes really kind of two to three months to really engage the market and see those leads to come in. But we do recommend that you do that with a European salesforce at the same time. Because if you start building that pipeline and then sending those first calls out over to San Francisco or to Madrid or to Berlin, wherever you're selling into, they're going to realize, oh, this guy's calling from Berlin, this guy's calling from San Francisco, they don't have somebody in London, they don't have somebody in Paris, they're going to realize, well, what's their commitment to this local market? What's their awareness to my local needs? So there's a level of risk that heightens and there's always local competition. So all things being equal, you're going to buy local. An American company is going to buy from an American company before they buy from, from a UK company, all things being equal, because it shows your commitment to the market, your understanding of the market. So our recommendation is you could start maybe the digital digital marketing slightly earlier. But if you're going to do lead outbound, lead generation and sales, probably tie those together and do them at the local level. If you want to sell in the uk, have an English person doing both. You know, an English lead gen person, English salesperson. Or if you're doing it in Germany, pair the Germans or the French or the Italians to do it in the local markets. Yeah.
A
So here's another issue I encountered. Love to get your feedback on that that you say, okay, maybe I outsource the digital marketing, the sales development, right, Somebody who's got a center and multiple people. But I only need one account executive early on. So let's say I go ahead and I hire an account executive in UK or I outsource it, whichever. Is it best practice to have two so they can kind of help each other come up the learning curve and you have some contingency if one doesn't work out? Or do you think it's okay to start with a single resource?
B
If you can have two, it's always better. I mean, why not? And then two also gives you a bit more options for language skills. So for example, you could have an English native English person in the uk, focusing on the UK Nordics and the Benelux in Ireland, let's say, which is very English friendly. And then maybe you could have a German or a French person living in the uk, fluent English who could also then call native language into France, Germany, Spain, Italy, those are the next big four markets. So if you have two people, it helps. There's a bit of camaraderie, there's a bit of competition, there's a little bit of support. Because if you don't get it right, the question is, okay, things are progressing slowly, the pipeline is being built, but it's not closing. What's the problem? Is the salesperson? Is it the market? Is the message, is it the product? So you need to get that right. And if you have two or three people, okay, that takes one variable a little bit out of it because there's two or three people of all are struggling, then there's something else that we need to fine tune to get right.
A
So we are in 2023, the period of cautious capital, efficient, durable revenue growth. Say all the things you want to say, right? But now I'm like, well, I know that I have a Lighthouse customer. I'm going to use the. I have a Lighthouse customer makes a decision so much easier and United Kingdom. So I'm going to establish a footprint there and I need to do it. So it's positive ROI in 12 months.
B
Yeah.
A
And I've seen so many SaaS, CEOs or their CFO say that and they're almost always disappointed. So if I'm doing this strategic planning and I'm doing my financial modeling, what is that kind of ROI threshold that's more realistic for entering into a European.
B
Market for the first time? It's the million dollar question. The companies took them five years to build in their home market to really get that ramp. And now they're like, wow, we're a different company now. We're going to land in a new country and it just kind of take off. And sometimes it happens. I mean we work with Live Fire, San Francisco based company, they've been trying to sell remotely into Europe for a couple of years. They closed nothing. We started, they put one of their guys with us for three months to kind of onboard us. That really helped. We got in front of Timeout magazine in three months, we closed the deal for $3,000. We were cash flow positive in three months. But, but that's more of the exception to the rule. Typically it takes a year to build a new market. So it takes a year to launch in Europe or a year to launch in the uk. So you put a lead gen team in. Let's say it's enterprise sales, it's a full time person. You start getting six, seven, eight leads per month. That ramps to about eight over three or four months. From those eight, that maybe turns into two or three opportunities. Let's say in three months those opportunities might be a three to six month sales cycle. So kind of by month six, by month nine, you're starting to close your first business. But you have the cost of course, of that lead generation person. You have a cost of a salesperson. So by month 12, if things are going right, you should be ROI positive or break even. But there's lots of KPIs that you can be tracking to say, hey, things are going well. I've added lead gen people, I've added digital marketing, maybe added pre post sales engineering support. So my costs have gone up, but that's pushed my ROI out to the end of year two. But I know the KPIs are going well, the pipeline is growing, the deals are converting. So there's lots of different metrics. Even the late gen team. How many outreaches am I doing a day? Are people picking up the phone? Are they responding to email? They're responding to LinkedIn. So there's lots of conversion numbers all the way through that process that we can track to see are we on track to be able to hit these KPIs and the ROI numbers at the right period.
A
You talked a little bit about key performance indicators. So best in class revenue leaders and companies, they know their average sales cycle, their conversion rate, their stage by stage conversion rate from top of funnel all the way to close one. Do you find that those KPIs and performance metrics that we have in the North American marketplace, maybe they're different in the UK or other parts of Europe that we have to reset our expectations, or do you see some consistency between countries?
B
I think they're more consistent in the uk. It's more of a North American way of doing business. It will take time, it'll be slightly delayed as you build a brand. So you've got the metrics, you're looking at the last year of your metrics, but that's built on four or five years of improving those metrics in building the brand and customer awareness. And maybe some of the deals that are closing. The fifth year actually came in year three or four and they looked at the company, they weren't quite ready to buy, they didn't think the company was ready to buy from and now they're ready. But you're starting fresh now in the European market, or let's say in the UK market. So it's important to have those metrics, it's important to apply those metrics and the KPIs to the lead generation team into the sales team. But give yourself a bit of leeway because it's going to take a little bit longer in the UK now, the further out you go, Germany is the biggest market in Europe. It's also the hardest market to crack in Europe. The UK is early adopters, the Germans are late adopters. They don't want to take the risk, they want to kick the tires for a year. They want a local commitment, they want a reliable product. Three years ago nobody was talking about Germany. Now people are talking about entering Germany before the uk. So we're getting a lot of demand for both sales and lead generation in Germany. Even German companies are coming to us to do lead generation into Germany because it's so hard to get right, but it takes longer. You need to be prepared really for a year of really hard selling to really crack the German market.
A
That's an interesting dynamic. So for our listening audience, we've been talking quite a bit about the UK because I've taken this that way. But you're saying if you look at the appetite for B2B technology that Germany is one of the hottest markets today. Why is that? What's driving that, Rick?
B
It's a bigger economy. So it's the biggest economy in Europe. There's lots of really big powerful industries like the automotive industries and others. They're solid companies and solid buyers. So once you start selling to one of these companies, they've taken their time to make a decision, but once they made the decision, they're going to commit to you and they're going to stick with you a long time. Germans become more international. So you have cities like Berlin, which is really a tech hub right now and it's an English first tech hub. So a lot of companies are also flocking there. They're putting their offices there, are the support staff in cities like Berlin, which is quite interesting. Brexit has given people a time to think. Brexit is a part of the European Union, is it not? How is this going to impact my business if I'm selling a SaaS solution? We don't see much or any impact at all. But if you're selling hardware and it's landing in the uk, am I going to have problems getting that hardware into mainland Europe? So I think Brexit have given people a second time to think about what other options are there to start selling or to put a hub in Germany or Barcelona or Portugal. There's other kind of tech hubs that have sprung up as places. Hey, London or Dublin aren't the only places to launch your European team. Got you.
A
Rick. You've seen and helped hundreds of companies enter into the European market. When I say European market, I mean US companies into multiple countries within Europe or as you said, a European company from one country who wants to go into multiple countries. Are there any common attributes of the approach that more often leads to successful end market performance?
B
I would say the number one attribute is really understanding your ideal customer profile, mapping that into Europe in building your sales and marketing plan around that icp. So it's not about hiring a generalist salesperson, somebody that you know that's great. If you're selling into banking, hire somebody from banking. If you're doing lead generation into banking, use a third party data source, build your database on banking for the lead gen team and really make sure that all the potential buyers in that ICP are aware of your solution from my digital marketing perspective and that your sales team is really a deep awareness, local contacts, understands the ecosystem from a sales perspective. And just make sure that every single company in the NICE ICP is aware of your solution. And then before you start going then broader in that country, take that same sales model to the next country in the next country. If you're selling to banking, if you're selling into telco, if you're selling into retail, hammer that one first. Go wide across Europe with your ICP doing one thing extremely well and then expanding out. It's easier to take one company that does one thing extremely well into Europe than a company does a lot of things. Okay. And has a kind of broad portfolio. That's a harder sales proposition than doing one thing really well.
A
Do any companies ever engage firms like you or maybe market research firms to say, hey, this is our ICP, here's our buyer Persona, here's the 15 top companies in Germany we think are the best fit based upon our success in North America and kind of go out and do focus groups and market research before we enter with a demand gen program.
B
I think it's a good approach to take. I mean most CROs or CEOs, they might take that leap to Europe two or three times in their career. So they've done it a couple of times and they've gotten some experience. But there are people that do market research and they've done hundreds of them. There are people that do go to market plans for Europe and they've done hundreds of them or that do channel strategies, channel programs. So quite often companies, maybe they'll sell direct in the US but they'll go through a channel program in Europe and they'll come to us and they'll say, hey, my channel program is a 30% discount off sales. Well, that's not a channel program. Right. So there's people that do channel programs really, really well. They do it every day. So hire the people, the specialists that do that job that you need done once and really well. Hire them to do it really well. Whether it's US or any other consultant, could be European based or US based. Hire companies to do that process well is really an integrated approach and then apply that to your sales process and your sales training going to Europe. So yes, the more planning that you can do, done quickly and done well then I think the better your engagement will be.
A
Is that a service? Salesforce Europe provides kind of more of that market research and focus studies first.
B
Yes, we do a couple of them. We do one called the sales assessment which is really looking back at the customer and saying what do you do right and what do you do wrong? Let's identify gaps in overall sales and marketing strategy that we think that might hinder the process. That's a one day workshop really quick and then it kind of do two day write up. And then from that if they want us to look at the market and do a market research where they say okay, now we understand your business, we've identified some gaps that you can work on. Now let's take a look at the European market, see your competition, see your ICP and then do analysis of where we can take you best. And then some companies can take that and run with us or can take that and go their own way. Maybe they hire direct, maybe they use an employment of record company like Globalization Partners and that's fine. We're not the only way. There's different ways, routes to market. We're just one way. But the planning, however you do is a great first step.
A
So you talked about a common attribute of success is focus. Planning well designed and then focus on a sector, one ICP or one buyer Persona. Now what about on the flip side? Are there couple common themes or attributes that you see more often than not leads to disappointment and failure. That's like people, no, we really want to do this but they got to go and experience it for themselves.
B
Yeah, I mean we see the common mistakes over and over again. People take too long to make the decision to I want to go to Europe and how I'm going to go to Europe. And then once they make that decision, they want to go yesterday, they want the team, they want to start selling and they want to push into the market. So they don't plan well enough on where they're going to go or how they're going to go. They don't plan well enough on really how we onboard the team and train the team and support the team because Europe is a big commitment. So you need sales support, you need marketing support, you need technical support, you need finance support, operational support. There's a lot of different stakeholders within the organization that need to be involved with the European process to be successful. And then if the European team, however it's structured is not replicating the same success early on that they see in North America. The way North American team is selling they're not quick enough to adapt locally. Like hey, it worked in North America, it should work there. I know what you're saying, but I don't believe you. It works this way, do it our way. So there needs to be an understanding to adapt locally. And then they don't stick around long enough because you're not going to see results in three to six months. You're going to see some KPIs, but it's going to take longer. So be quick to adjust. If you have the wrong person on the team, move them out, replace them, or if it's the wrong market, move to right market. But it's going to take a year or so. So give it your attention, give it planning and give it time to be successful.
A
Good advice. So we're coming up on our 30 minutes. I can't believe these conversations go so quick. And actually my producer said I should do 15 minute episodes, which I can never do because I like to talk too much I guess. But so once again, 20 plus years of experience, hundreds of companies. What advice would you provide that SAS CEO right now? And she's thinking, I really think we should go to X country in Europe. But they want to dip their toes a little bit. What's that advice that you would look them in the eyes and say, you got to think about this.
B
I would say replicate what we talked about. Put down on one piece of paper, it can be one page. What you're doing well in your home market, how it's structured, what those KPIs are, who that ICP is. Do some of your own market research. Where are those ideal customers in Europe and how am I going to get to them? Do I have budget to replicate at least a part of that team? One lead gen person, one inside salesperson or one field salesperson and then do your planning and bring that team on. That can either be normal hires or through a third party. But look internal. Get that right. Apply that to Europe. Understand, be clear on your revenue objectives. You need to have revenue objectives, you need to have a budget because Those drive your KPIs. People sometimes are afraid, like they don't know what's going to happen. If they they have a revenue objective, they're going to share it with their VCs. And if they don't hit the number, then the VCs are going to be upset. You need to have a number and build around that and give yourself some leeway. It may take a little bit longer, so include that in your planning. But that would be my Recommendation is plan will understand the team you're going to build to hit that ICP and then go after it.
A
Got your great advice. Well, let's give the audience a chance to get to know Rick a little bit better on a personal basis through a European version of my quick question. So the first question is, is there a European SaaS company or CEO that you think is a must follow today?
B
I typically follow the local VCs I kind of like. I mean there's some European ones, but at the local level, like there's a VC in Spain called Adada who's quite good. They're really looking at the local deep tech or ETF partners out of the UK who are looking at sustainability and different types of technologies in that space. So when the newsletters that I typically follow are really on the European VCs and private equity companies and see what's happening there, see what movement is happening there, that's where I get most of my news verse. I mean I might follow Virgin, but that's such kind of high level news. It doesn't really impact what I'm doing at the local level. Got you.
A
How about a tool? So you help a lot of companies come into Europe. So is there a tool from a European SaaS company, not a US SaaS company, that you think every SaaS company should be evaluating and even possibly using?
B
Yeah, the number one tool, the number one need is data for your outbound lead generation team. If you don't have the data then you're going to struggle. So we use Cognizant, which is a UK data provider. Some people use Zoom info, which is also quite good. But we find that Cognizant is better for European data and that's critical to get right so you really understand what I see. You put all the metrics to get the right output. You do a sanity check, you take out maybe current clients or blacklisted, whatever it is, clean up that list. But that's the number tool that we use, of course. And we use our highly customized Salesforce for our outbound, we use HubSpot for our marketing. But data, I think to get that data right and GDPR compliant data is critical and we use Cognizant for that.
A
Okay, great one. And then last one, we have quite a few early career recent college graduates listening to the metrics at Majorette podcast and some of them want to be not only a great B2B company founder, but they're like, I want to build a global company so I can go maybe run it from Spain for a year or Japan for a year? So what advice do you give that early career person right now who wants to build a truly global B2B company?
B
Well, I think the answer is partly in. The question is SaaS is immediately global. You get out there, people are talking, it can be sold anywhere and it can be bought anywhere. So in building a company, be thinking global from the beginning. So again, one vertical, but on a global field. So making sure that it's easy to change the languages, it's easy to change the currencies, you'd be surprised about how many really good tech companies struggle to adapt to local currencies or put in different, different languages. And so number one is build the company from a global perspective. Let's say number two is think as a salesperson at the beginning. Sometimes people are afraid to be a salesperson. They want to be a technologist. But you need to be thinking about sales all the time. Everybody you're talking to, everybody that you meet as you grow your business is a potential referral influencer to your business. So be very clear on exactly what you do and what you don't do. So when you grow your business, everybody you're talking to understands your niche and can help you along that way. So a lot of people are kind of scientists and they like to talk about these different things. Always thinking about how you're selling your own business and how to grow that business.
A
Love it. You know, a lot of fellow entrepreneurs, when I ask that question, they say, make sure you get some experience in a revenue position, a sales position, because if you're going to be an entrepreneur and run your own company, everything's about building relationships and driving interest and acquisition of your product. Love it, Rick. So thank you so much for being a guest on Metrics and Measure Rep podcast.
B
Thank you, Ray. It was fantastic.
A
So that was Rick Pizzoli, the founder and CEO of Salesforce Europe. And to our list in the audience, if you're finding value in the guests we have, like Rick, and the quality of the content, like what to consider when you're entering into the European marketplace for the first time. It would mean the world to us to go ahead and subscribe to the Metrics of Majorette podcast and your favorite podcasting app. Go ahead and give us that five star rating because that amplifies the distribution algorithm so more people can take advantage of our great guests and the great content they share. Rick, thank you so much and thank you to our listening audience.
B
Thank you, Ray. Thanks everybody.
A
Thank you for listening to today's. Metrics Measure up podcast. If you would like to learn more about B2B SaaS, metrics and benchmarks, please visit revopsquared. Com.
Metrics that Measure Up
Host: Ray Rike
Guest: Rick Pizzoli, Founder and CEO of Sales Force Europe
Date: April 11, 2023
This episode explores how B2B SaaS and cloud companies can successfully expand into the European market. Host Ray Rike interviews expansion expert Rick Pizzoli, drawing on his 25 years of experience helping over 500 tech companies enter or grow within Europe. The discussion focuses on top challenges, foundational planning, market strategies, and realistic expectations for Return on Investment (ROI). The episode aims to provide practical, hard-won insights for SaaS leaders contemplating European growth, emphasizing both measurable metrics and cross-cultural nuances.
Winning Approaches:
Common Mistakes:
On a single page: what works in your home market, key KPIs, revenue goals, mapped ICP, and budget for minimum viable team.
Be transparent about revenue objectives, allow leeway in ramp time.
"Put down on one piece of paper what you're doing well in your home market, how it's structured, what those KPIs are, who that ICP is. Do some of your own market research. Where are those ideal customers in Europe and how am I going to get to them? Do I have budget to replicate at least a part of that team...and then go after it." — Rick, [27:43]
"SaaS is immediately global...build the company from a global perspective. Sometimes people are afraid to be a salesperson. They want to be a technologist. But you need to be thinking about sales all the time." — Rick, [31:21]
Rick Pizzoli delivers an authoritative, detail-rich guide for SaaS operators considering European growth. The conversation strips away common myths (“just send my best US AE!”) and stresses rigorous, locally tuned planning, strong home-market foundations, and patience in measuring ROI. With actionable checklists, metrics advice, and cautions against common pitfalls, the episode is an invaluable primer for founders and revenue leaders embarking on international expansion.