Glossary:
Lead Management & Qualification
Master the essential revenue and financial metrics that drive B2B SaaS success. From ARR and MRR to retention metrics and customer economics, these terms are critical for understanding pipeline health, forecasting growth, and making data-driven decisions.
MEDDPICC
Short Definition
Definition
MEDDPICC evaluates nine criteria to de-risk massive enterprise opportunities. Metrics quantify ROI. The Economic Buyer holds budget authority. Decision Criteria define selection factors. The Decision Process maps human approvals. The Paper Process charts legal/contract steps. Identifying Pain uncovers business problems. The Implications of Pain reveal consequences. A Compelling Event drives urgency. The Champion advocates internally.
Why MEDDPICC Matters
- MEDDPICC maps person buying committees before competitive displacement.
- It quantifies business impact for C-suite Economic Buyers.
- It uncovers hidden Paper Process delays.
- It creates internal Champions who reframe Implications of Pain.
- It identifies Compelling Events driving Q1 budget approvals.
How to Use MEDDPICC
Execute progressively through multi-threaded discovery:
1. Metrics
"What $X business outcome gets you promoted?"
Target: $3M+ ROI.
2. Economic Buyer
"Who approves $1M+ without board review?"
Target: CCO/CRO by week 4.
3. Decision Criteria
"What technical gaps eliminate competitors?"
Target: Your differentiators rank #1-2.
4. Decision Process
"Walk through VP/CRO/legal sequence?"
Target: <75 days total
5. Paper Process
"Who negotiates MSA? Standard terms?"
Target: Legal review <45 days
6. Identify Pain
"What KPI failure risks your bonus?"
Target: 8+/10 severity.
7. Implications of Pain
"How does missing Q2 targets hit comp?"
Target: Personal career risk.
8. Compelling Event
"What would force a decision by March 31?"
Target: Budget deadline, competitor threat
9. Champion
"Who convinces CRO over dinner?"
Target: SVP-level, 9.5+/10 commitment.
MEDDPICC Score = 8-9 -> Forecast as Committed
Example: $8M churn risk (IP), Q1 budget cut-off (CE), VP Engineering champion.
MEDDPICC Qualification Matrix
MEDDPICC Scoring Thresholds
Key Metrics
- MEDDPICC Coverage: 90%+ of $500K+ opportunities scored.
- Economic Buyer Touch: 85% by discovery week 4.
- Paper Process Velocity: <45 days legal review.
- Champion Strength: 9+/10 average score.
- Win Rate Correlation: 9/9 deals close 55% vs. 5% for <6/9.
Common Mistakes
Frequently Asked Questions
MEDDPICC vs MEDDIC?
MEDDPICC adds Paper Process, Implications, and Compelling Event for $500K+ deals with legal review. MEDDIC is good enough for $100K-$500K deals.
When does Paper Process discovery happen?
Make sure it happens by Week 5 at the latest. It should come after Decision Process mapping but before architecture validation.
How do you verify the Economic Buyer for $2M deals?
They mention board approval thresholds and reference past $1M+ purchases they owned.
What's a strong Compelling Event?
Strong CEs include Q1 budget expiration, competitor RFP response, C-suite mandate, and a regulatory deadline.
How do I test Champion commitment level?
Ask them to arrange Economic Buyer dinner meeting citing specific Implications of Pain.