Case Study

PandaDoc Grows ACV Using SalesLoft

PandaDoc Accelerates Opportunity Pipeline Growth While Increasing Average Annual Customer Value

Using SalesLoft, the PandaDoc’s sales team grew ACV by ~35% without extending time to close. The company has also discovered unexpected process efficiencies by extending the platform to the Customer Success and Finance teams.

PandaDoc is an all-in-one software that streamlines sales workflows for all businesses, with a focus on the SMB market. Using PandaDoc, sales teams create, send, track, and eSign documents to help win more business in less time. On average, PandaDoc customers save 12 hours per week. This equates to a 65% decrease in document creation time, a 28% increase in close rate, and an 18% increase in average sale price.

Much like PandaDoc helps other organizations leverage efficiency to improve sales performance, it is constantly looking for ways to streamline its own business operations.

A great example is the company’s decision to combine marketing and sales to form a single Revenue Operations team at the beginning of 2018. Under Denis Malkov, Revenue Operations Leader for PandaDoc, the sales and marketing teams now collaborate to align and improve the company’s efforts.

“As many fast-growing organizations know, there is not a clean handoff between marketing and sales when the teams are disconnected. You can’t just have marketing throwing leads over the fence to sales and expect things to work. By aligning everyone, we’re working towards the same shared goals across the entire customer lifecycle.” – Denis Malkov

With a single revenue operations team, PandaDoc focuses on selling across a continuous customer lifecycle. Feedback loops along the way enhance accountability for achieving results.

Improving collaboration and streamlining processes across the customer lifecycle were only part of the recipe for improving sales velocity. PandaDoc wanted to further enable efficiency across the team by better utilizing its existing investment in SalesLoft.

“I inherited SalesLoft when I took on the revenue operations role at PandaDoc. I had experience using a different sales engagement solution but was quickly won over by how comprehensive the SalesLoft platform is. The quality of our account management impressed me, and I felt the solution was capable of doing everything we needed and then some.” – Denis Malkov

The Challenge

PandaDoc primarily targets sales management, sales operations, and marketing operations leaders at fast-growing technology companies. Most prospects believe they are doing fine with their current processes for producing a high volume of PDFs or Word documents. Therefore, the biggest challenge sales reps face is helping prospects realize their own pain.

There is also a perception that the company is simply an e-signature service like EchoSign. Therefore, after overcoming the value hurdle, sales must also educate prospects about the comprehensive solution.

The company currently relies on an inbound approach, offering a 14-day free trial to generate leads. They mobilize an inbound team to connect and educate prospects about PandaDoc’s full capabilities during the free trial period. Qualification of inbound leads is a significant challenge for the team. They must also assign qualified leads to the right team members and cadences for efficient engagement and pursuit.

“We currently have more than 800,000 visitors per month, and a large number of those visitors act on our primary free trial offer. We needed a way to automate our processes to better evaluate, prioritize, and assign those leads to reps. Specifically, to identify the best conversation track for reps to use, based on the type of opportunity. This is the primary challenge we are solving with SalesLoft.”

Enter SalesLoft

Working Together to Connect and Close, Faster

Working alongside SalesLoft Customer Success Manager, Matt Alvarez, the sales operations team created workflows and team cadences to manage its inbound sales efforts. Their common goal was to find new ways to connect with prospects and close deals faster.

PandaDoc has seen a lot of efficiency gains through the use of SalesLoft’s automation features. For example, the team developed automation rules to evaluate and assign inbound leads to the right cadences and ‘talk tracks’ for reps. In the past, this was a manual effort by both marketing and sales, with a lot of room for opportunities to fall through the cracks.

Using SalesLoft’s automation capabilities, sales and marketing resources now have a framework to guide their collaboration efforts. Working together, they eliminated many of the manual tasks. This has improved velocity of SDRs, helping them follow up on the right leads, with the right message, in a short period of time.

Before implementing team cadences using SalesLoft, individual cadences were being used by reps. Inevitably, this led to inconsistency in the sales process. For example, some cadences might last two months and have a high volume of touches, while others might last two days and include just two touches. Team cadences based on lead type help the team manage messaging across the sales cycle.

PandaDoc has also found value in the Analytics dashboard. Areas for improvement are now quickly identified using SalesLoft’s built-in insights. Leaders can pinpoint areas where sales reps are struggling or where to adjust cadences to create more quality conversations with prospects.

The Results

Three of the top months of pipeline generation for PandaDoc have occurred since rolling out standardized team cadences. It’s been a significant factor behind their ability to consistently grow revenue.

In a typical month, the team pursues more than 2,000 qualified leads with an average of 2,000 manual touches for a single rep (1,500 emails and 500 calls). This equates to a 37% connection rate and 35% opportunity creation rate for SDRs.

“One of the biggest benefits we’ve seen using SalesLoft has been improving the volume and quality of our team’s connections and meetings. Efficiency and effectiveness have improved across the board. Our team is currently averaging a 37% connection rate and 35% opportunity creation.”

– Denis Malkov, Revenue Operations Leader at PandaDoc

The company considers adherence to stage progression one of its greatest accomplishments since implementing team cadences with SalesLoft. PandaDoc is constantly analyzing cadence performance to identify optimization opportunities. This practice has helped the team reach new opportunity pipeline-generation goals that would have seemed unrealistic before.

While the company relies primarily on inbound leads, it plans to expand its efforts to incorporate more targeted efforts. PandaDoc is currently working with SalesLoft to build out a more sophisticated outbound, account-based strategy.

Unexpected Performance Gains

PandaDoc’s success with SalesLoft extends beyond the Sales and Marketing teams. The company recently extended SalesLoft licenses to its customer success team. Customer Success designed their own team cadences to help drive retention, expansion, and activation efforts. While it’s still early in the process, the team is already seeing success managing its accounts on a one-to-many touch basis using cadences.

Perhaps the most unique application of the SalesLoft Platform comes from its finance department. Their collections process was manual and time-consuming. Accounts Receivable (AR) was overwhelmed with follow up on 100+ outstanding invoices weekly.

Inspired by the efficiency with which SDRs were managing their communications, the AR team employed SalesLoft to help streamline some of its follow-up tasks. What used to require many man-hours per week has been reduced to 20 minutes. Outstanding balances have been reduced by more than 40% in three months, and there are now less than 50 outstanding invoices to follow up on weekly.

“We’ve expanded SalesLoft to now serve three different use cases for PandaDoc: our revenue operations, customer success, and now finance teams. I love it when we find an opportunity in our tech stack to use an existing solution to solve other challenges without needing to invest in yet another product. SalesLoft continues to deliver new value for our company in unexpected ways.”

– Denis Malkov, Revenue Operations Leader at PandaDoc

Borderless Team Alignment

As one final example of how PandaDoc is achieving operational efficiency with SalesLoft, the team uses the platform to coordinate its efforts across two U.S. offices in San Francisco, CA and St. Petersburg, Florida. The team has also deployed the platform for its new, growing team based in Minsk, Belarus (home to both of its co-founders).

The Minsk team, which primarily manages inbound lead qualification for its small business prospects, uses the same cadences as its U.S. counterparts. PandaDoc has been able to quickly train and onboard its new SDRs with ease using predetermined cadences in SalesLoft.

“SalesLoft gives us a lot of flexibility when it comes to building our teams. It really doesn’t matter where our team members are located, because everyone is operating from the same system. We have real-time visibility into how everything is going each day. It’s been a game-changer; helping us develop new growth strategies or experiment with approaches we might not have considered without the right tools in place.” – Denis Malkov

PandaDoc continues to improve velocity using the SalesLoft Platform. The company looks forward to finding even more ways to improve performance with SalesLoft to fuel revenue operation efforts.

“We are a velocity-based business, primarily serving the SMB market. Our time to close has been and needs to continue to be very fast. That’s something that SalesLoft helps us to accomplish. We’ve grown our ACV by 30-40% and haven’t extended our time to close. Growing contract value, but closing at the same rate. It’s one of the key drivers for me to continue to invest in the platform.”

– Denis Malkov, Revenue Operations Leader at PandaDoc

Get the full picture about leveraging cadences to grow contract value without extending time to close in our latest guide here.

Best Practice & Benchmarks for Sales Cadences