25 Apr 2024

Mastering Signals in Prospecting for Tech Companies: Company-Level vs. Person-Level Signals

Sergiy Sumnikov

In the fast-paced world of technology sales, effectively prospecting for new clients involves keenly understanding and acting on various signals. These signals, which can be seen as clues or indicators, help sales teams to predict potential needs and tailor their approaches accordingly. This blog post explores how tech companies can differentiate and leverage both company-level and person-level signals in their prospecting strategies.

Company-Level Signals

Company-level signals refer to indicators that suggest a company as a whole might be ready for your technology solutions. These signals often relate to the company's operations, strategic direction, or financial health.

Examples of Company-Level Signals

1. Expansion Announcements: When a company announces expansion plans, whether geographical or product-related, it often needs new technology solutions to support this growth.
2. Funding Rounds: If a company has recently secured funding, particularly through venture capital, it’s likely gearing up to scale operations—a prime time to introduce tech solutions that can facilitate this scaling.
3. Earnings Reports: Publicly available financial data can hint at a company’s priorities. For instance, increased spending on R&D could signal interest in innovative tech solutions.
4. Strategic Shifts: Announcements in shifts of business models or market focus can necessitate new tech tools. For example, a move towards e-commerce might increase the need for cybersecurity or digital payment technologies.

Leveraging Company-Level Signals

1. Automated Monitoring Tools: Utilize tools like Google Alerts, Crunchbase, or LinkedIn Sales Navigator to stay updated on company news and financial reports.
2. Tailored Messaging: Craft your outreach emails or calls to address the strategic needs suggested by these signals. Highlight how your technology can specifically aid in their new initiatives.

Person-Level Signals

Person-level signals are more granular and focus on the behavior or changes in status of individuals within a company. These signals can often provide direct cues about a prospect’s readiness to engage.

Examples of Person-Level Signals

1. Job Changes: A new CTO or VP of Engineering might be more open to exploring new technologies that can assert their impact in the new role.
2. Social Media Activity: Posts, shares, or comments on specific topics related to your tech solutions can indicate interest or a personal investment in those areas.
3. Content Engagement: Tracking how individual leads interact with your content (e.g., downloading a whitepaper, attending a webinar) can provide clues about their specific interests or needs.

Leveraging Person-Level Signals

1. Personalized Outreach: Use the insights from their social media activities or content engagement to personalize your communications. Mention specific articles they’ve interacted with, or discussions they’ve engaged in.
2. Timely Follow-ups: Respond to job changes or significant postings with timely messages that acknowledge these changes and offer relevant assistance.

Integrating Signals into Sales Strategies

For tech companies, integrating both company-level and person-level signals into a unified sales strategy can dramatically enhance the effectiveness of prospecting efforts.

1. Comprehensive Customer Profiles: Combine signals from both levels to create detailed profiles of target companies and key decision-makers within them.
2. Dynamic Sales Playbooks: Adjust your sales approaches based on the type and freshness of signals. This dynamic adaptation can help in crafting more compelling and relevant sales pitches.

Conclusion

By distinguishing between company-level and person-level signals, tech companies can fine-tune their prospecting strategies to be more aligned with the needs and behaviors of potential clients. This targeted approach not only improves the efficiency of sales efforts but also enhances the prospects' experience, leading to higher conversion rates and more successful engagements. Effective use of these signals ensures that your tech solutions reach the right audience at the right time, maximizing impact and driving growth.