Heath

Tech Sales AE. Former finance guy.

Posting my journey from banker to SMB seller to ENT. Currently Growth @ Affinity.

Sales, tech, markets

[Heath @ItsHeathD]

Hot take but the frontier AI labs are starting to look like Bird Scooters

Hear me out

Big infra spending needed to turn into usage based revenue (not so much ARR)

First movers who created an entirely new category but after doing all the heavy lifting are being undercut by all the new entrants (open source)

The market views them like a traditional software company but very capital intensive

Products initially viewed as differentiated and have become more ubiquitous commodities as competition increases

No real moat

Lobbying governments for regulation to block out competitors

Getting undercut on pricing and the economics might not actually be as sexy as advertised

[Heath @ItsHeathD]

Who spits the most free game here on tech sales X?

Personally have learned a lot from @Chris_Orlob and @BrianLaManna_ (no surprises here)

More specifically, real accounts - not anon accounts run by BDRs too scared to build a personal brand

[Heath @ItsHeathD]

Hitting people at the right time, like right after the close a round, complete an acquisition, or hire a former power user of your product - will ultimately give you higher response rates, show your prospect you understand their problems, and book more highly qualified meetings.

[Heath @ItsHeathD]

The Winner Effect is the idea that winning increases the likelihood of future winning

In life we experience this in many ways

Most can relate from playing sports

When you win a game, it gives you confidence that you can do it again

You feel more motivated to work harder because you got a taste of victory

It is a self-reinforcing loop

But losses work against you in the same way

Experience loss > lose confidence > become more cautious > move slower > less motivated > greater likelihood of future loss

Outside of sports, most young men have experienced this as a single guy - if you built up the courage to talk to a girl, and it went well, it got easier to find the courage next time and with greater confidence it also improved your chances bc confidence is attractive

A lot of this has to do with how our brains are wired, and how testosterone is produced when dopamine spikes after winning (this is the case for both men and women)

Spikes in testosterone are associated with greater levels of assertiveness, motivation, confidence, focus and willingness to take risks

For men, it’s why working hard and success feels so good

In sales, I find this rings more true than anything else in adult life

I share this bc it’s important to know how your brain is wired so you can hack it to compound more wins

Sometimes it can be hard to pick up the phone and dial, but after you close a deal, or book a meeting, rather than take your foot off the gas, while you have the motivation see what else you can make happen

Some of my most productive weeks of outbounding have come from deciding to make another 20 dials because I booked a meeting that day, and rather than quit once I had booked 2 meetings that week, I pushed harder when I had the motivation and confidence to do it with ease (that motivation isn’t always there)

Not only did it make dialling easier because I’d already booked multiple meetings that day (worst case they hang up on me and I still booked 2 meetings that day), but cold calling when you’ve got the confidence improves your tonality 1000x

The next thing I know, I’ve booked 8 meetings that week

Not only is it easier to motivate yourself to do it, but your likelihood of success is also higher - simply put you are more effective after a win and it’s more fun to do the work

Conversely, it’s also important to know how your dopamine receptors negatively respond to losses

When you hear back from a prospect and they say they went with another vendor, it’s easy to clam up for the day and just take the L

But it’s so so so important to get back on the horse and finish on a positive note even if the win is small

If you lose a deal, try and make it a win by identifying what went wrong, how to avoid it for next time and at least make the learned experience a win

Try adding value to another deal and firm up next steps

If there’s time in the day, try making some dials - even if you can’t get a “yes” to a meeting, any amount of intel that helps you get to a yes down the road, that’s a W

I spent a few years of my life where I felt like a winner every day - it felt like everything was going my way and it only made me more hungry

This was the case from ages 16-23 for me

And then it all came crashing down

I took a few back to back L’s, I clammed up and my life stalled out

I became complacent and complicit to mediocrity - it felt like my agency in life had vanished

I went from having a great job, passing my first CFA exam, to failing the subsequent CFA exam 3 times, work performance cratered, family member got ill, quit my job (and banking entirely), felt like I’d been on the right track my whole life and suddenly everything went to shit

Knowing this now, I think a lot of my setbacks could have been avoided if I didn’t let my L’s compound but hindsight is 20 20

Alas, I’m 32 now and my life is amazing - no regrets

Anyhow - I hope this helps someone who feels like they could use a push, you’ve got the sauce now so go be a winner

[Heath @ItsHeathD]

@morganjingram Sharpen that sword

[Heath @ItsHeathD]

People that follow you expecting a follow back and then immediately unfollow:

[Heath @ItsHeathD]

Few things compound like having a large high quality pipeline

Obviously if you have more deals, you’ll close more

But since you know deals are replaceable, you can qualify more honestly
vs convincing yourself it’s real because you need it and wasting time

You can detach yourself from the outcome which builds confidence and trust
vs getting desperate and pushing them away

Push timelines on deals that actually CAN close inside the quarter vs spinning your wheels and wasting time on ones that can’t

It’s all about leverage and when all these things compound your ROI on time spent only continues to climb

Having a healthy pipe has a high correlation to bigger deals, more deals, better win rates

Yet most reps have an open calendar, thin/shaky pipeline and made no out-bounding effort

Some people just hate money 🤑

It’s also basically the only way you can guarantee you smash attainment because you can literally back into the math

But the math with pipeline and your close rates only works if the pipeline is healthy (and big enough)

Part of the reason I am so confident in forecast calls is because even if something uncontrollable happens, I’m usually warming up another opportunity that can backfill it

Always have a contingency and expect something bad will happen because sometimes it will, but almost never will an amazing deal fall into your lap at the final moment

And the expected value of 1 deal falling a part and no deals miraculously getting done early, means 0.5 great deals will fall apart at the finish line and for the sake of your own sanity, you need the pipeline to back it up

[Heath @ItsHeathD]

@sammarelich Dog

[Heath @ItsHeathD]

@serialsales The hard part of good sales training is know who actually knows wtf they are talking about because there’s a lot of bs artists

It’s tough to weed through the noise

But that’s part of what makes X great imo

[Heath @ItsHeathD]

The Winner Effect is the idea that winning increases the likelihood of future winning

In life we experience this in many ways

Most can relate from playing sports

When you win a game, it gives you confidence that you can do it again

You feel more motivated to work harder because you got a taste of victory

It is a self-reinforcing loop

But losses work against you in the same way

Experience loss > lose confidence > become more cautious > move slower > less motivated > greater likelihood of future loss

Outside of sports, most young men have experienced this as a single guy - if you built up the courage to talk to a girl, and it went well, it got easier to find the courage next time and with greater confidence it also improved your chances bc confidence is attractive

A lot of this has to do with how our brains are wired, and how testosterone is produced when dopamine spikes after winning (this is the case for both men and women)

Spikes in testosterone are associated with greater levels of assertiveness, motivation, confidence, focus and willingness to take risks

For men, it’s why working hard and success feels so good

In sales, I find this rings more true than anything else in adult life

I share this bc it’s important to know how your brain is wired so you can hack it to compound more wins

Sometimes it can be hard to pick up the phone and dial, but after you close a deal, or book a meeting, rather than take your foot off the gas, while you have the motivation see what else you can make happen

Some of my most productive weeks of outbounding have come from deciding to make another 20 dials because I booked a meeting that day, and rather than quit once I had booked 2 meetings that week, I pushed harder when I had the motivation and confidence to do it with ease (that motivation isn’t always there)

Not only did it make dialling easier because I’d already booked multiple meetings that day (worst case they hang up on me and I still booked 2 meetings that day), but cold calling when you’ve got the confidence improves your tonality 1000x

The next thing I know, I’ve booked 8 meetings that week

Not only is it easier to motivate yourself to do it, but your likelihood of success is also higher - simply put you are more effective after a win and it’s more fun to do the work

Conversely, it’s also important to know how your dopamine receptors negatively respond to losses

When you hear back from a prospect and they say they went with another vendor, it’s easy to clam up for the day and just take the L

But it’s so so so important to get back on the horse and finish on a positive note even if the win is small

If you lose a deal, try and make it a win by identifying what went wrong, how to avoid it for next time and at least make the learned experience a win

Try adding value to another deal and firm up next steps

If there’s time in the day, try making some dials - even if you can’t get a “yes” to a meeting, any amount of intel that helps you get to a yes down the road, that’s a W

I spent a few years of my life where I felt like a winner every day - it felt like everything was going my way and it only made me more hungry

This was the case from ages 16-23 for me

And then it all came crashing down

I took a few back to back L’s, I clammed up and my life stalled out

I became complacent and complicit to mediocrity - it felt like my agency in life had vanished

I went from having a great job, passing my first CFA exam, to failing the subsequent CFA exam 3 times, work performance cratered, family member got ill, quit my job (and banking entirely), felt like I’d been on the right track my whole life and suddenly everything went to shit

Knowing this now, I think a lot of my setbacks could have been avoided if I didn’t let my L’s compound but hindsight is 20 20

Alas, I’m 32 now and my life is amazing - no regrets

Anyhow - I hope this helps someone who feels like they could use a push, you’ve got the sauce now so go be a winner

[Heath @ItsHeathD]

My old manager always used to say “treat em mean to keep em keen”

In transactional deals you have to detach from the outcome and build a pipeline so strong that you don’t gaf if any odd deal closes

Step 1 is having a monster pipeline

Step 2 is framing the call in a way your prospect respects that you’re there to help them and don’t have unlimited time

A good opener to build trust can go something like this:

“My job here is to make sure we can even help you, and from there I’m here to help you make a decision as fast as possible - what’s one thing you’d like to take away from this call?”

Once a prospect knows you want to solve their problem more than make a sale they’ll open up so you can actually address their problems

Telling them you want to make it quick lets them know that you’re respectful of their time while also firmly letting them know that your time is also valuable and elevates your status

Asking what’s important to them let’s them know the call is about them not you

[Heath @ItsHeathD]

@fel1de I bet. I’m a remote AE and in person doesn’t happen to often as I’ve been SMB for the last 18 months.

IRL is a different game but starting MM in November so might get more chances for belly to belly selling in the near future.

[Heath @ItsHeathD]

My old manager always used to say “treat em mean to keep em keen”

In transactional deals you have to detach from the outcome and build a pipeline so strong that you don’t gaf if any odd deal closes

Step 1 is having a monster pipeline

Step 2 is framing the call in a way your prospect respects that you’re there to help them and don’t have unlimited time

A good opener to build trust can go something like this:

“My job here is to make sure we can even help you, and from there I’m here to help you make a decision as fast as possible - what’s one thing you’d like to take away from this call?”

Once a prospect knows you want to solve their problem more than make a sale they’ll open up so you can actually address their problems

Telling them you want to make it quick lets them know that you’re respectful of their time while also firmly letting them know that your time is also valuable and elevates your status

Asking what’s important to them let’s them know the call is about them not you

[Heath @ItsHeathD]

Have had a handful of recruiters/hiring managers reaching offering effectively the same job I currently have, similar OTE, same segment, objectively it’s the same gig but at “an AI native”.

I’m extremely content where I’m at. Progressing quickly, 2 promos in last 6 months, consistently exceeding attainment and at top of segment with a manager and ELT I really like.

Grass ain’t always greener but they do make it tough to cut through the noise.

[Heath @ItsHeathD]

@cz_binance We got CZ thirst traps before GTA6

[Heath @ItsHeathD]

@TechSalesGuy Good tweet

[Heath @ItsHeathD]

@serialsales The best reps sell the best products 😂

I said what I said

[Heath @ItsHeathD]

Commented this on someone’s post but seems like most ya’ll don’t know this so let me put you onto some game:

Next time you get connected to the Android call screener just say “Hey (prospect name), it’s” and then go silent

Curiosity killed the cat

Connect rates go burr 📈

[Heath @ItsHeathD]

I never said there was a bubble - I simply made some observations about a chart and statement that were intended to imply that a bubble was not present, but the data provided does not support that claim. You seem to be defending that AI isn’t a bubble, which I never even said lol.

I made the claim that the data was misleading and provided justification for it.

It’s like putting up crime statistics about North America and stating that crime in America has gone down. I was not refuting that American crime hasn’t gone down, but that showing data that also includes Canada and Mexico dilutes the data set and proves little.

You not thinking AI could possibly be in a bubble is an opinion. You stating it like a fact does not mean it is one.

Bubbles can also still exist without leverage. They are amplified with leverage. When there’s an unlimited availability of capital that suddenly stops being unlimited (see ZIRP era software co’s) valuations come back to earth.

If growth stagnates, be it due to capital or compute constraints, things will get bumpy.

For point 3 - as I understand it, you were trying to say that circular revenues are offset by the fact that one company recognizes it as revenue and another AI company recognizes it as a depreciation expense which you said refutes my claim that earnings are inflated because net earnings would be unaffected across all AI companies. But depreciation is happening over the useful life, so about 20% per year. So my point is that 100% of the revenue is recognized, while only 20% of the costs. On a cashflow basis, if these companies cannot raise unlimited capital, or become compute constrained, this would worry me as an investor. But my point is that earnings MAY be lower or at least growth may not be as sustainable as we’ve been led to believe. Not to mention all the sketchy accounting and leaks of flatlining revenues (which remain to be seen) and massively increased competition to the frontier. Even if it’s only 2 companies that might be overvalued, it’s ~$4T in market cap - that will have ripple effects across the ecosystem if something bad happens.

AI could very well be properly or even massively undervalued. But the data in that chart didn’t prove that.

[Heath @ItsHeathD]

@NoDegreeAE @ImAntCalabrese Lmk chief