Let’s talk about ICP analysis (Ideal Customer Profile) for a second. If you’ve ever Googled “how to build an ICP,” you know what happens: you get a bunch of high-level fluff that basically says, “Figure out who your customers are and interview them.”. Super helpful.
So, after not finding a real guide online, I decided to write one myself. This is how I actually build out an ICP analysis that doesn’t suck—and one that maybe a bit too analytical (but atleast you can actually use it).
Start With What You’ve Got
Let’s not overthink this. You don’t need to reinvent the wheel; you need to work with the data you already have. Dig into your CRM, pull reports, and look at
Who’s Closing? look at deal sizes and sales cycle (whatever you're trying to optimize for)
Who’s Sticking Around? Which customers are renewing and expanding
Who’s Driving the most Revenue?
Export this data and throw it into a google sheet, i am always partial to the Salesforce Data connector in sheetz to make my life easier.
Segment It
Now, take that data and start grouping it. Break it down into segments that make sense for your business:
Firmographics: Industry, company size, revenue, location.
Demographics: Who was your buyer? Title, seniority, department
Behavioral Data: Usage patterns, time-to-close.
Pain Points: Common challenges or use-cases
This is the “Aha!” moment where you start to see patterns. Maybe 80% of your best customers are mid-sized SaaS companies with tech-savvy CFOs. Or maybe it’s enterprise healthcare orgs with compliance headaches. Whatever it is, this grouping will be a bulk of your time and will be the foundation of your ICP.
Don’t Forget the Bad
It’s just as important to know who your non-ideal customers are. These are the deals that churn, the customers who can’t afford your product, or the ones who drain your resources without contributing much revenue(think volume of support tickets).
Make a list of:
Churn Triggers: What traits do high-churn customers share?(think back to grouping)
Mismatch Signals: Are there industries or personas that always struggle with adoption?
Add these to your “Do Not Chase” list. Sales teams will thank you for it later, SDRs will thank you immediately though.
Validate It With the Field
Here’s the thing: your data is only half the story. Sales reps, account managers, and customer success teams are out there living and breathing this every day. They know the real deal.
Schedule sessions or put together a survey for each team to ask:
Who are your easiest customers to work with?
Which deals close fastest?
Who’s getting the most value from our product?
Build the ICP Profile
Now it’s time to pull it all together into a usable document. Keep it simple and actionable. Here's what i included:
Firmographic Snapshot:
Industry
Company size (employee count, revenue)
Geographic location (if relevant)
Key Personas:
Primary decision-maker?
Champions
Challenges & Pain Points:
What problems are you solving for these customers?
Triggers:
What signals show they’re ready to buy? (e.g., hiring patterns, product launches)
Red Flags:
Traits that suggest a poor fit.(its always easier to flag who NOT to chase and why)
Real Examples:
Name Names, nothing helps build trust than a look behind the curtain
Use It (Seriously)
An ICP is useless if no one looks at it. Make sure every team knows how to use it:
Marketing: Target campaigns and content toward your ICP.
Sales: Qualify leads based on how well they match the ICP.
Customer Success: Tailor onboarding and retention strategies to fit ICP customers.
And here’s the kicker: review it regularly. Businesses evolve, markets change, and so should your ICP. Set a calendar reminder to revisit it quarterly or biannually.
Final Rant: Stop Overcomplicating It
ICP analysis doesn’t have to be a PhD-level exercise. It’s just about knowing who your best customers are and focusing your energy on finding more of them. Keep it practical, keep it actionable, and for the love of RevOps, share it with the people who actually need it.
And if you ever find a better guide, send it my way so I can stop writing these rants. 😊
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