๐Ÿ”† Daily reflection: Growing vs. compounding

B2B SaaS Growth Reflection of the Day

Hi Reader,

"We chose to not be part of that first cohort that's in kind of like a very commodity race at the bottom."

โ€‹Martin Gourdeau is the CEO of Vacation Tracker โ€” and the former President and GM of Workleap, who took a year off to figure out what's actually changing in software before picking his next seat.
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Before we get to what he did differently โ€” three reflexes most of us share.

โ†’ We compete in the same layer as everyone else in our market โ€” and never actually ask whether that's the right layer to be in.

โ†’ When growth slows, we reach for the same lever our competitors reach for: more features, more market, more headcount. We're surprised when the result looks the same.

โ†’ We tell ourselves we're winning on being better. Our customers can't tell the difference.
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Martin made a different call on all three.

  • Small is the new edge
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    After running Workleap, Martin took a year off to study what's actually changing in software. He came back convinced that a 22-person bootstrapped company has an edge most large companies will never get back โ€” speed, focus, and the freedom to bet on a thesis that doesn't have to be defended to a board. He picked Vacation Tracker because of that.
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  • More headcount isn't more growth
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    When Martin joined, the company tracked ARR like everyone else โ€” and tied raises to hitting an ARR target. He changed it. Now the metric is ARR-per-head. When the company hits the number, the whole team gets the raise. Growth stops being about hiring more bodies and starts being about every employee getting more strategic.
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  • Don't fight where everyone else fights
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    Most SaaS in his category sit at the bottom of the pyramid โ€” doing the paperwork. Solid, but commodity. Martin questioned whether his job was to compete in that layer at all. He looked one or two levels up โ€” from leave-management logistics to energy management. Different layer, different conversation, different competition.

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โ€‹Click here to listen to the full interview with Martin.


Question to reflect upon:

Are you building AI features that cut work out of your customer's day โ€” or features that make your customer worth more to their own company?


The remarkable effect is when your product creates energy for the people using it.

Ton

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Ton Dobbe

Author of The Remarkable Effect

ton.dobbe@valueinspiration.com

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Value Inspiration, Cami del Comte 15, 03792 Parcent, Alicante, Spain

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๐Ÿ”† Tonโ€™s Reflection

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