DiscussionInsightful

Your CRO No Longer Wants a PreSales Department [67]

A CRO's desire to eliminate the presales department stems from revenue growth being concentrated in renewals and expansion, not new logos. The solution isn't renaming teams or restructuring, but strategically deploying SE skills to high-impact moments in the customer lifecycle with proper compensation alignment and narrow pilots before full organizational change.

Summary

The episode addresses pressure from CROs to dissolve presales departments, exploring the underlying business logic and proposing tactical responses. The core tension is that SaaS revenue growth increasingly comes from renewals, upsells, and cross-sells of the installed base—the domain of account management—while presales remains focused on new logo acquisition, representing only half the revenue opportunity. However, simply expanding presales responsibilities across the entire funnel creates operational strain; the hosts illustrate this with a real example where an SE missed a POC deadline after being asked to support two renewals as a favor.

The discussion rejects broad solutions like renaming the department "Solution Consultants" or calling it "Transformation" as ineffective theater. Instead, the recommended approach is surgical: identify one specific moment in the customer lifecycle where technical credibility drives the most value, then run a narrow 90-day pilot with one clear metric. The hosts share a concrete success story where an SE director assigned two people to support the first 90 days post-go-live for the top 20 accounts in her region, resulting in expansion pipeline roughly doubling compared to the rest of the region—without reorganization or new titles.

A critical insight emerges around compensation: asking SEs to work renewals without adjusting their comp plan amounts to requesting favors, which collapse after about a quarter. Attribution must come before organizational structure changes, and managers should avoid waiting for perfect attribution data—a common trap that delays necessary action. The conversation also touches on the misconception around forward-deployed engineers as a new trend, when hardware vendors in the 1980s built entire careers on this model. The shift toward seat-based consumption models makes technical ownership of adoption essential, yet adoption has traditionally been considered outside presales scope. The episode concludes with tactical advice: proactively raise the question with leadership before someone else does, frame it around where the skill set creates most contribution, run a pilot, and explicitly coach the team away from "we've always done it this way" language—a phrase that signals risk to leadership.

About this episode

Nate's CRO used the word "PreSales" once in a forty-minute quarterly review — to ask why the team is still called that. He and Ava dig into why the pre/post split is an artefact of an older business model, and what to propose before someone proposes it for you.

Key Insights

  • CROs view presales as addressing only the smaller half of SaaS revenue opportunity, since growth is concentrated in renewals, upsells, and cross-sells of the installed base rather than new logo acquisition.
  • Asking SEs to support renewals without adjusting their compensation plan is requesting favors that inherently collapse after one quarter, making compensation alignment a prerequisite for sustainable expansion work, not an afterthought.
  • Forward-deployed engineers and technical involvement in post-go-live adoption are being treated as recent innovations, when hardware vendors established this model as a complete career path in the 1980s, meaning solutions existed that are being unnecessarily reinvented.

Topics

CRO pressure to eliminate presales departmentsRevenue model shift: new logos vs. renewals and expansionOrganizational design and lifecycle-specific deploymentCompensation plan alignment with business objectivesPresales scope creep and operational capacity managementAttribution and metrics before restructuringPost-implementation technical engagement and adoption

Transcript

Hey there and welcome to Leading Pre-Sales, the show for solution engineering leaders who want to build teams that drive revenue and not just demos. My name is Tim and I'm the co-founder of SE Rockstars and together with Jan, we've coached over 350 solution engineers and their leaders across several dozens of companies. Every conversation you hear on this show is based on real coaching situations, real challenges, real problems that as leaders like you are dealing with right now, none of this is made up. We use AI to bring these stories to life through our two hosts, Nate and Ava, but the insights come straight from the trenches. Each episode gives you one actionable takeaway you can…

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