Getting Your Startup Product into a Corporate Client

For many businesses starting out, particularly those whose product is based on software or data (or both), landing a big corporate client is a transformative moment - contracts with big players can offer a degree of income stability that shifts a startup’s trajectory and places them on a sustainable path to consistent growth and, hopefully, world domination.

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For many founders or small teams starting out, it can be the first time that they have experienced the peculiarities of selling to a big business (or at least the first time they’ve experienced it as the seller) - and these peculiarities can prove challenging to navigate.

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Knowing what to expect when embarking on the (occasionally long) process of getting your product into a corporate can help minimise some of the frustrations that arise, so with that in mind, here are some of the things that our experience selling (and being sold to!) within the world of corporates and multinationals has shown us are vital to bear in mind.

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A fundamental principle when approaching corporate sales is understanding the protracted nature of the process. Closing a corporate client can easily take upwards of a year, even with the best efforts. Before embarking on this journey, startups must critically assess whether the potential return justifies the time investment. If the answer is yes, it necessitates a long-term commitment.

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The biggest hurdle is understanding that it takes time - think minimum of 9 months for full, organisation-wide adoption - before any real traction is made. And there are no guarantees of a positive outcome. So you need to decide upfront if pursuing a corporate client is truly worth the significant investment of time and resources.

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One of the reasons the sales journey can be a lengthy one, aside from occasionally-Byzantine procurement processes, is that it’s fundamentally a process of consultation and education. It’s likely that your startup isn’t yet a recognized name - so to start with, you have to explain to people who you are, what you do and why they should care.

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This is exacerbated by the multiple stakeholders that always exist within businesses above a certain size - stakeholders with varied, sometimes competing, interests and budgets. A consultative approach helps in educating these stakeholders about the value of your product, adjusting their perspectives to align with your offering.

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For instance, consider how major companies like Facebook have navigated their B2C beginnings to scale up their enterprise B2B solutions. They did so through teams that did not just sell but educated their clients about the benefits and functionalities of their products, backed by robust customer success teams that utilised data to drive re-sales and renewals

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Corporate procurement policies also vary widely, with some companies outright refusing to engage with startups below a certain revenue, funding, or operational threshold. Determining whether you meet those prerequisites is vital before pursuing that opportunity.

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Navigating Internal Dynamics and Finding Your Sponsor

Speaking of internal stakeholders with potentially-competing interests, a vital step in the sales journey is identifying your internal internal sponsor – the person who champions your product and advocates on your behalf. This person can be relied upon to make the case internally, with peers and other stakeholders, that investing in your product is a net win for the business overall.

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Finding the ‘right’ sponsor is also crucial - an internal sponsor who lacks budgetary authority could hinder the process. As a startup, it's your responsibility to understand where the funding will come from – innovation budgets or specific department budgets. Innovation budgets can allow more risk-taking, while operating budgets require airtight ROI projections.

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Your internal sponsor is your most crucial ally throughout the sales process - the person who is ultimately accountable for the purchase and its results. Identify them early, understand their motivations, and build a consultative partnership to create a robust business case that positions your startup's solution as supporting the corporation's overarching strategy and financial objectives.

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The Right Tools for the Job

It’s an inconvenient truth, but your investor pitch deck is not the same as your (corporate) sales deck. Running the gauntlet of Big Corporate procurement, and the aforementioned educative and consultative work it requires, calls for specific tools, such as:

Provides a concise product summary framed in the context of the corporation's problems.

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Expands on your solution, target audience, implementation, and pricing – not a fundraising pitch.

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Demonstrate your impact through concrete examples of success.

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Aligns your product with the corporation's objectives, similar in spirit to an investor deck, but more aligned to the corporate’s vision.

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Articulates the business value proposition to the corporation with the view of demonstrating the solid “investment case” that delivers ROI. It’s not quite the same as your financial model for fundraising.

Your actual toolkit will of course vary - but be prepared!  You will need to expand your communicative and storytelling capabilities to ensure that you’re communicating the potential value of working with you to your key buyers in a way that aligns with their, and the company’s, goals and objectives.

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Beyond the 'Yes': The Path from Proof of Concept to Widespread Adoption

Securing a corporate client often includes a proof of concept (PoC) phase – a time-bound trial to prove your product's value, often lasting approximately 12 weeks.

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Setting clear KPIs, offering regular reports, and culminating with a strong presentation demonstrating the trial's success are crucial. A successful PoC could lead to a pilot phase with more stakeholders, ultimately potentially paving the way for broader adoption - but, again, it can be a slow process, so it’s important to play the long game.

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Some Final Words of Wisdom

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