Healthcare Account and Buyer Segmentation Case Study

Five-Year Strategic Plan Enables Path for an Aggressive 40% Revenue CAGR





When this med-tech company was acquired by a private equity firm, the value creation plan called for the company to generate $50M incremental bookings by 2020, requiring 40% CAGR — nearly double the historical growth rate.

The company sought to make targeted investments into the sales organization in order to support rapid growth and create a scalable commercial model. The PE firm had identified that previously conservative sales and marketing approach had not positioned the company well to drive this kind of growth. The portfolio company had been starved of investment, as the previous owners were focused on cost-cutting in order to improve EBITDA.

The company needed to rapidly identify and incorporate best practices into its commercial model. 

The first step was to conduct a rapid assessment of the company’s commercial capabilities. This intensive, 2-week diagnostic led the company to pursue the following recommendations:

  • Perform a sophisticated account segmentation, based on customer value and propensity-to-buy factors, in order to:
    • Maximize the efficiency of sales headcount by prioritizing the largest prospects who are most likely-to-buy.
    • Develop a fact base for additional investment in the commercial organization.
  • Develop buyer personas of members of their customers’ buying decision team (BDT) and create buyer process maps to:
    • Create consistency around the sales process to create scale as new sellers are added.
    • Improve marketing effectiveness through tailored messages based on each member of the BDT’s identified pain points.

SBI knew the rapid pace needed for change (given the new owner’s value creation plan) required the company’s ownership and leadership team to be fully invested.

Working methodically, SBI validated market opportunity through account segmentation and identified those accounts most likely to purchase. Multiple voice-of-customer (VoC) interviews were conducted to create a robust persona and buyer process map playbook.  Additionally, a 5-year proforma was created to guide staffing decisions across all sales roles.

SBI developed the 5-year strategic staffing plan to evolve the sales model from new logo acquisition to retention and expansion. The recommendations support a projected CAGR of nearly 40% with a ~3x increase in sales headcount and a rapidly declining expense-to-revenue (E/R) ratio over the next five years.

Key Outcomes


Projected CAGR

3X Increase

In Sales Headcount