When Everyone Believes Ya…What’s That Like?
WMMM #022 - This week I share a story of doubters, skeptics, myths, hope, faith, and walking the talk.
Jeff Keplar Newsletter June 24, 2023 9 min read
This week I share The ADP Story - Never A Doubt.
The technology supplier was MapR Technologies.
The customer was ADP.
The characters:
Vijay - ADP Vice President of Network Security
Julian - ADP Supply Chain - Procurement
Matt - MapR Account Manager
Tom - MapR Pre-sales Engineering Manager
David - MapR’s attorney
Bruce - MapR’s VP of Global Business Operations
As alluded to in last week’s edition, there is a story behind taking a $60k pipeline entry and closing a $2M new logo. You will hear that story today.
The Landscape
ADP wanted to create a central repository for Network Security. It had a global network of data centers and wanted to capture data and perform real-time analytics to keep its customer data secure from cyber threats.
Unstructured data, real-time analytics, scale, and the ability to use low-cost commodity hardware in a distributed architecture led them to the world of Hadoop. Cloudera was the first mover and market leader, followed by Hortonworks.
ADP’s IT staff had Cloudera and was happy with it but did not have a comparable use case to Network Security’s (NS). NS had tried the Hadoop distribution from Pivotal (through their enterprise storage vendor, EMC) and had experienced multiple issues that became show-stoppers.
NS learned of MapR, a Big Data vendor that was a distant third to Cloudera and Hortonworks, because it had built a proprietary file system to improve many of Hadoop’s shortcomings. Many buyers of Hadoop distributions eliminated MapR from consideration because it was not 100% Open Source. But Vijay understood the technology in the Hadoop ecosystem and appreciated the benefits of MapR’s intellectual property. MapR was an actual software vendor instead of merely offering services and support for Open Source software. And, with a misfire with Pivotal and corporate IT happy with Cloudera, Vijay was exposed politically.
Saying Goodbye to the Baby of the Family
I was given responsibility for the East on August 8th, the first week of MapR’s Q2. I spent most of the next two weeks in New York, meeting with the team and getting the lay of the land. I inherited a sales unit that arguably had the most potential in the Company but was currently the lowest-performing of MapR’s five sales theaters. We had recently suffered three resignations that left me with two open headcount in Toronto and Philly.
Morale was low. Most of the unit felt isolated from MapR’s HQ in the heart of California’s Silicon Valley.
Debbie and I have four children. The baby of that bunch was leaving for college the last week of the month. I flew back home (to Dallas), repacked, and the three of us headed west. Hannah’s University was located in southern CA.
I’d be in California, not New York or anywhere in the East Theater, for the last week of August.
The Devil is Always in the Details
The call came almost immediately after we got settled in LA.
It was Matt. Vijay was waiting on us for pricing for a “paid pilot.” We had delayed our response with Jay’s resignation and getting me up to speed. Vijay was upset with MapR stalling and wanted to air it out with someone.
I told Matt I would take the call and asked him to find time for Vijay and me to speak. I would fall on the sword and take the verbal beating. This would not be my first time with an irate customer and likely not my last. Besides, I wanted to meet Vijay and begin building a relationship.
I took the call two days later from the campus of my daughter’s new home for the next four years. Vijay was pleasant, to begin with, then turned up the heat. I was not offended. He was perfectly justified in feeling the way he did and expressing that to me.
At the right moment, I channeled our discussion to what happens next. We ended the call amicably, with me asking for a chance to deliver on his expectations and receiving his agreement that he would get me the information I would need to do so.
On the call with Vijay, I was able to probe and listen. I learned that ADP had been evaluating MapR for months. With the Pivotal flop, they were behind schedule with Pivotal’s term licenses expiring soon, explaining his urgency. If NS chose anything other than Cloudera this time, they better have a good reason and be sure it will work.
Vijay also told me that ADP wanted MapR to use its License Agreement for the transaction, which he suspected was the culprit for our delay. The request was due to a recent experience with Elastic, a small startup not unlike MapR.
They wanted a 12-month term (not the industry standard 36 months) to reduce their risk and were expecting a discount.
Why?
Well, for starters, they were “ADP.” A new logo with an enterprise brand deserved a discount. Additionally, they always got significant discounts from their vendor partners. Julian was the name Vijay gave me for their lead in Procurement.
The solution they were using today was built using Pivotal and Splunk. As the project matured, they learned how much more data they would accumulate using this new technology. They quickly realized their current approach was cost-prohibitive at scale, driving them to evaluate alternatives.
Recap
To recap, we had:
A new enterprise logo opportunity
A $60k paid pilot, after discount
The order to be written using ADP’s paper
A project that had already failed once
A happy Cloudera customer at ADP Corp IT
A sponsor who “knew the difference” and understood our value prop.
I saw an opportunity to build a significant order. We needed to learn more about the value of this project for ADP to do that. I thought I had a way to get them what they wanted, but I was unlikely to succeed with a $60k transaction.
Post-call Debrief
My adrenaline began to flow.
I got together with Matt and shared my notes from the call. It’s funny. I’m excited as our call begins, and Matt is scared as hell. He expected to hear how angry Vijay was with him and MapR.
Matt cares, and he hustles. He’s a quick learner. I love working with salespeople with these traits. I quickly had him excited as well, and we dug into:
What we know
What we don’t know but would like to
What we might consider.
We landed on learning more about the value to ADP of Vijay’s central repository. Matt discovered that the repository could be used to protect customer data in their global data centers. ADP had 1m customers in 140 countries. I helped Matt quantify a value proposition using a business value exercise I learned at Oracle.
Flash back a couple of weeks.
I had inherited a team “on their heels.” They had just lost their sales manager. The Company expected them to be the best-performing team. They were fifth out of five. Two of their colleagues had left, and two more were halfway out the door when a new guy stepped in to presumably “save the day.” This cat is not from the Big Data world. He is not from the startup world. He’s an ex-Oracle dude, and the MapR execs think his Oracle “pixie dust” will turn the East into the Magic Kingdom.
They were skeptical, and they had a right to be.
Are you feelin’ me?
All eyes were on this “Mr. Wolf” (me).
When Everyone Believes Ya… What’s That Like?
I’m no Winston Wolf (Harvey Keitel, “The Wolf,” Pulp Fiction, 1994), but I gladly stepped into that personna to help turn things around.
You can already imagine the ending. This is not a suspense novel.
We closed a $1.8m order at ADP in the last week of MapR’s Q2. The win was a new logo with an enterprise account with significant brand recognition. The story isn’t the result. It’s the journey.
During the journey, we debunked several myths.
Myth #1 - Inside Salesperson = Small Deals
Matt moved to the field team from MapR’s Inside Sales just before my arrival. From my experience at Oracle, I found that many great enterprise salespeople begin their careers in inside sales roles. Those that want to move to the field are well-trained and know the Company’s internals exceptionally well. Matt was no different. They have pipeline development and top-of-funnel experience under their belt. Those that are coachable make excellent field sales representatives. Matt was coachable and played a significant role in closing ADP.
Myth #2 - Startups can’t increase deal size on “new logo” deals
We built a demand model for a 36-month horizon using data projections we received from Vijay’s team. We met with Julian and confirmed Procurement’s expectations. I pulled a licensing model from my past that changed the metrics and created an apples-and-oranges scenario. We offered a 3-yr unlimited licensing model, restricted to Network Security, for $3m. We shared our projections with Julian so he could see the theoretical discount they would be getting at various data storage projections. The discounts exceeded ADP’s expectations.
Vijay liked our approach but could only pull together $1.8m (he was expecting to spend $60k on a pilot.) We added a “cap” restriction to limit MapR’s exposure for getting $1.8m for usage worth $3m. The cap allowed ADP unlimited usage up to a ceiling, which was more than their ”Low” projection in the “Low-Med-High” model we had shared.
I grabbed David, our fantastic attorney and former Oracle colleague. I explained the whole ADP paper request, and he found a way to get every vital clause to MapR into the final Agreement.
So, we found a way to say “Yes, but…” to their requests and close this deal.
New logos don’t have to be paid pilots when you know how enterprises like to buy and help them get what they want.
Matt was the first. You heard Lawrence’s Wells Fargo story in last week’s edition. Gene, Paul, Jay (Southeast), and Bill followed with new logo wins much larger than MapR’s prior new logo average deal size.
Myth #3 - Sales and Sales Leadership skills from prominent legacy players aren’t transferable to startups.
Lawrence, from legacy MapR, worked at VMWare. Gene, Paul, and Bill had SAP, Oracle, and Peoplesoft in their backgrounds. I would argue that startups selling to enterprises need good enterprise salespeople. Eliminating a segment of that market limits the already limited talent pool of good people.
Myth #4 - “Against All Odds” sales stories are only in books or told by motivational speakers at SKOs - they rarely happen in real life.
Doubters gonna doubt, doubt, doubt, doubt, doubt…
Half of the battle is changing the mindsets of those mired in a slump or negative situation. That’s why the sooner you can deliver a piece, any piece, of what you’re promising (walk your talk), the better.
The ADP deal and Matt were ideal for beginning the turnaround in the East.
Summary & Lessons Learned
1) When doing the extraordinary, don’t expect believers until you deliver.
2) Invest time with coachable salespeople, and you will be rewarded.
3) Tirelessly seek value in your approach.
4) Sales talent that performs at scale is valuable in the startup world.
Thank you for reading,
Jeff
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