Scaling SaaS from $4M to $20M ARR: Matt Lattanzio on Building Efficient Inbound Engines and Transitioning to CRO
In this episode of Knocking to 10, Matt Lattanzio shares the real GTM playbooks that helped scale 7shifts from $4M to $20M ARR in just over two years — all while leading marketing and go-to-market through Series A to Series C. Now CRO at Notch, Matt opens up about:
- How to build a high-efficiency inbound engine
- Why SMB SaaS marketing demands ruthless efficiency
- What most startups get wrong about BDRs, CAC, and outbound
- How marketing leaders can earn their way into CRO roles #SaaS #CRO #MarketingLeadership #InboundMarketing #StartupGrowth #KnockingTo10
- And why 3–5 month CAC payback is now the new normal
🔑 5 Key Takeaways from Matt Lattanzio
1. Build Inbound First — But Make It Efficient
“When I joined 7shifts, our CAC was $150 for a $46/month product. That math doesn’t work.”
Matt’s first move was to slash cost per lead from $150 to $50. He scaled the paid engine from $30K/month to nearly $1M/month by relentlessly tracking CPL, close rate, and lead quality. Inbound accounted for 90% of lead flow early on, but only because the funnel was ruthlessly optimized for cost and conversion.
🛠 Pro Tip: Not all channels are created equal. Capterra had a higher CPL, but 3x better conversion than other sources — making it a dark horse for SMB SaaS.
2. Let Your Product-Led Funnel Do Its Job
“If someone is a high-quality lead — don’t touch them. Let them convert on their own.”
Counterintuitively, Matt found that sales-assisted motion hurt conversion in some cases. Instead, the best path for many leads was a clean product-led experience with zero sales interference. Sales was reserved for those needing help — not for pushing every lead through.
📊 Framework: Use PQL (product-qualified lead) scoring based on behavioral data — e.g., “Did they add employees during the free trial?”
3. Treat BDRs Like Paid Channels
“If I can get a better return by spending $70K on paid, why would I hire a BDR who doesn’t beat that?”
Matt built the outbound team from scratch and made every BDR justify their seat based on efficiency metrics. The BDR team was pointed at net-new accounts — not leads marketing had already paid for.
📈 Channel Split Goal: Outbound and partnerships eventually drove ~30% of total pipeline, reducing dependency on paid.
4. Marketing to CRO: How to Make the Leap
“Make sales your best friend. And don’t wait for ‘healthy friction’ — it doesn’t exist.”
Matt’s rise from VP of Marketing to CRO wasn’t about owning a number — it was about owning alignment. He pushed for feedback loops, transparency, and joint asset creation (pitch decks, battle cards, etc.). And he taught sales how demand gen actually works.
💡 Advice for VPs of Marketing:
- Understand and own pipeline coverage
- Learn the revenue math (CAC, payback, win rates, sales velocity)
- Don’t hide behind “brand” — lead with results
5. Don’t Confuse Volume with Efficiency
“I’ll probably never again spend $12M/year on paid ads. We hit a wall.”
Even with massive spend, Matt constantly revisited unit economics — not just volume. His goal? Durable, not just scalable, growth. Today at Notch, he focuses on long-cycle B2B enterprise deals — and emphasizes how account-based marketing and content have replaced Meta-style spray tactics.
📉 Modern Benchmarks:
- 3–5 month CAC payback
- LinkedIn > Meta for enterprise
- ABM + outbound > brute force inbound
💬 Best Quote
“Marketing leaders need to wear a revenue hat at all times. Be scrappy. Be dangerous. And always row in the same direction as sales.”
🧠 Who This Episode Is For
This episode is a must-listen for:
- VPs of Marketing looking to scale pipeline and prove GTM efficiency
- Early-stage CROs navigating product-led vs sales-led motions
- Founders prepping for Series B/C raises and looking to benchmark CAC, payback, and funnel velocity
- Growth operators trying to build multi-channel engines without overhiring or overcomplicating
📌 Final Thought
Matt Lattanzio is part of a new breed of CROs: revenue leaders who cut their teeth in marketing, who understand funnel economics, and who can scale capital-efficient growth without burning millions. If you’re navigating SaaS scale in 2025, this episode is a masterclass.