Growth at all costs is out, and efficiency is in. 

To scale smartly, leading go-to-market teams are implementing a performance-based culture. 

According to the Alexander Group, 68% of executives aspire to have a “performance-based” culture, and for good reason. A performance-based culture aligns business goals with individuals’ financial and professional goals, so everyone succeeds. 

Teams with a performance-based GTM culture report:

• Higher employee engagement, motivation, and performance 
• Stronger cross-functional alignment 
• More efficient pipeline generation and revenue growth

Keep reading to learn how to set the foundation for a performance-based GTM culture.

Build a Diverse Results-Driven Team 

A successful performance-based go-to-market culture hinges on a top-tier team.

When hiring or growing your team, one size doesn’t fit all. The secret to success is building a team with different, but complementary skill sets. 

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To boost folks’ motivation, tailor your performance management approach to each team member’s unique strengths and potential. Team members that feel bought in are more likely to hit their goals and drive revenue for the business. 

Open communication also plays a major part in creating performance plans that work for your team. Keep goal conversations collaborative, so folks understand how their priorities map to organizational initiatives. After all, building trust boosts motivation. And 92% of reps believe real-time visibility into earnings is a strong motivator, yet only a quarter have access to these insights.

“I lead a team of a diverse group of marketers whose compensation is tied directly to their goals. So it’s always clear what priorities we’re driving towards, and our employees have a personal investment in the outcome of those goals.” – Katie Foote, CMO, CaptivateIQ

Foster Engagement and Collaboration 

Once you’ve built a standout team, you can focus on motivating and retaining your employees.

According to Gallup’s State of the Global Workplace 2023 Report, 77% of the world’s employees are not engaged or are actively disengaged at work, while over half expressed some level of intent to leave their current jobs.

With efficient growth as a key focus for more companies, keeping employees engaged is more important than ever. And, hiring a new employee is five times more expensive than retaining an existing one.

Here are three ways to keep employees engaged.

1. Invest in training. Offer employees the chance to attend relevant industry conferences or one-on-one coaching sessions. The more engaged and motivated team members are, the better their sales performance.
   
2. Create a collaborative environment. Pair up go-to-market team members, like Account Executives and Sales Engineers, to facilitate ongoing communication. And, consider your approach to knowledge sharing by being mindful of meeting cadence and ensuring employees have access to relevant reports.
   
3. Celebrate individual and team wins. Don’t forget to acknowledge successes, even small wins, so your team feels appreciated and excited to work towards company goals.
   
   

Investing in employee engagement leads to happier team members and more revenue – it’s a win-win.

Implement a Robust Performance Management System

The third pillar of a performance-based culture is effective performance management. 

Performance management systems motivate employees to do their best work and help align individual and company-wide goals. With the right plan, you can build trust with your team and drive results for your organization.

Here are four ways to craft the perfect performance management system.

• Define what constitutes a high-performer vs a low-performer. Let employees know how their performance stacks up against their teammates and how they can improve. You can use leaderboards and other reports to display team stats.

• Provide regular feedback to your team. Keep the communication flowing so your team knows how to get to the next level.

• Tie individual performance to company goals. Closely measure how reps' performance correlates to pipeline and revenue. 

• Consider implementing a pay-for-performance strategy. Performance-based pay motivates employees, increases productivity, and drives winning outcomes for your business. The more employees meet their goals, the more they get paid. Get a demo of CaptivateIQ to learn how you can build a top-tier pay-for-performance approach. 

With a results-driven team and clear incentives, your company will stand out from the pack. 

Gain a Competitive Advantage

A strong performance-based culture sets the foundation for efficient growth. Companies that want to succeed in today’s rocky market must prioritize employee engagement and motivation. When employee goals match company priorities, it’s off to the races.

‍Read our latest guide, The Secrets Behind a Successful Performance-based Culture: How to Build, Engage & Nurture a Winning Revenue Team, for more insights. And don’t forget to look out for parts two and three in the performance-based culture series.