Instead of a single, rigid ICP, define three tiers. Green: Your core target, for outbound efforts. Red: Accounts you refuse to sell to. Yellow: The periphery where you sell opportunistically (e.g., inbounds), allowing you to test and learn before formally expanding your ICP.
Related Insights
An Ideal Client Profile (ICP) is insufficient. Adopt a Perfectly Profitable Prospect Profile (P3P) to filter for alignment on core values, culture (e.g., agile vs. structured), and delivery fit (are they ready for your solution?). This proactively avoids friction and ensures engagement with high-value, low-headache clients.
Company-level Ideal Customer Profiles (ICPs) are standard, but top reps should define their own personal ICP. This helps them filter prospects and avoid closing deals that, despite high commissions, will inevitably lead to churn, support issues, and reputational damage down the line.
To define Ideal Customer Profiles (ICPs), go beyond analyzing past data. Use the Analytic Hierarchy Process (AHP), a statistical method where the executive team weights criteria and scores potential markets. This forces a rigorous, data-driven prioritization of the most promising customer segments.
A traditional ICP mixes high- and low-intent buyers, yielding mediocre 20-30% close rates. An ICP based on "pull" focuses exclusively on the specific situations that create urgent, blocked demand. This forces hyper-specificity and builds a more efficient GTM motion by targeting a cohort with a near-100% close rate.
Traditional ICP scores reflect who *you* want to sell to (e.g., wallet size), which is useless for reps. Instead, sort your entire market based on the quantifiable size of their pain (e.g., projected fines). This gives reps a clear, actionable, and customer-centric reason for outreach.
The process of defining a GTM strategy isn't just about choosing which segments to target; it's equally about deciding which ones to ignore. Failing to actively say "no" creates fuzziness, dilutes resources, and leads to misaligned sales and marketing efforts downstream.
Ditch the aspirational "Ideal Client Profile," which represents a rare, perfect-world scenario. Instead, build a "Target Client Profile" that defines which customers will perceive the most meaningful value from your offering. This provides a realistic, operational benchmark for qualifying leads.
Instead of maximizing the volume of prospects at the top of the funnel, strategically narrow your focus to fewer, high-potential accounts. This 'martini glass' approach prioritizes depth and engagement over sheer productivity, leading to better quality opportunities.
Time is a finite resource in sales. Every minute spent on a prospect outside your ideal customer profile (ICP) is a minute you cannot spend on a more qualified lead. This reframes prospecting as a strategic allocation of your most valuable asset: time.
Feeling overwhelmed by a large prospect list is often a symptom of treating all leads the same. The solution isn't better tools but better segmentation. By categorizing accounts by their potential value (High, Medium, Low), a salesperson can focus their limited time on high-impact opportunities, turning a daunting list into a manageable workflow.
