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Key Go-to-Market Trends & Importance within M&A

In 2024, pivotal go-to-market trends and strategies are reshaping sales and marketing approaches. Let's delve into the key points driving this transformation:





- Profitability and Expense Reduction: Companies are honing in on profitability and cost management, emphasizing expansion within existing customer bases and strategic partnerships for growth.

  

- ROI Focus: Marketers are expected to showcase tangible ROI at the execution level, emphasizing impact over mere activity.


- Martech Consolidation: The trend towards integrating martech stacks and tools to streamline processes, cut costs, and provide actionable insights for sales and marketing teams.


- Fractional Leadership: The rise of fractional executive talent to scale growth effectively while controlling costs.


- Agile Mixed Teams: Building integrated teams with a mix of full-time and contract talent for flexibility and scalability.


- Partner-Led Go-to-Market Strategies: Companies adopting partner-led sales and marketing approaches to establish genuine connections with customers.


- Transparency and Authenticity: Companies focusing on building trust, authenticity, and unique brand identities to differentiate themselves.


- Relationship-Building Events: Events emphasizing meaningful engagements and immersive experiences over traditional channels for better returns.


- Revenue-Focused Strategies: Marketing teams aligning their efforts towards positively impacting revenue and demonstrating direct contributions to the bottom line.


- Precision Metrics: Shifting towards data-driven strategies that emphasize accuracy, efficiency, and targeted outreach for optimal marketing results.


- Superior Forecasting: A focus on reliable revenue projections and understanding performance at each stage of the marketing funnel for informed decision-making.


- Authentic Storytelling: The importance of authentic storytelling in a complex selling environment to connect with customers on a deeper level.


By embracing these trends and strategies, businesses can position themselves for revenue success and transformative growth in the ever-evolving market landscape of 2024 and beyond.





Title: The Harsh Reality of Mergers: Destroying Shareholder Value

In the corporate world, mergers often seem like a promising strategy to drive growth, achieve synergies, and enhance shareholder value. However, a closer look at the data reveals a sobering truth—most mergers end up destroying value for shareholders.


A recent study of 270 mergers shed light on this unsettling trend. Despite expectations of cost savings and improved performance, the outcomes paint a different picture. Three years post-merger, the numbers tell a grim story: operating profit margins saw a marginal increase of 0.3 percentage points, while sales growth plummeted by 6.0 points. Earnings before interest and taxes (EBIT) growth took a significant hit, falling by 9.4 points. Market capitalization growth also saw a decline of 2.5 points.


Experts in the field echo these findings, with statistics revealing alarming figures. A staggering 61% of buyers ended up destroying shareholder wealth, with less than 20% generating significant returns. Only 23% of mergers managed to deliver returns greater than the cost of capital, while 40% were deemed outright disasters.


The message is clear: without sales growth, there can be no earnings growth, ultimately translating to diminished shareholder value. The hard truth remains that mergers, more often than not, fail to create the anticipated value for stakeholders.


This serves as a stark reminder for companies considering mergers as a growth strategy. The road to creating value through mergers is rife with challenges, and careful consideration, strategic planning, and meticulous execution are imperative to avoid becoming another statistic in the long list of failed mergers.


As businesses navigate the complex landscape of mergers and acquisitions, it is crucial to prioritize sustainable growth, value creation, and the long-term interests of shareholders. Learning from past mistakes and industry insights can pave the way for successful mergers that truly deliver on their promises and enhance shareholder value.


Matt Slonaker

Founder & CEO of M. Allen 

Services to attack growth, operations, risk, and technology pains in the banking, lending, & financial sector




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