How to Drive Growth in Uncertain Times: Lessons from ZoomInfo CEO Henry Schuck

When navigating choppy waters, smart prioritization is essential.

The pandemic has brought unique challenges to different industries, and ZoomInfo has been no exception. When this data and software company planned to go public on March 26, 2020, how could it have known it would be just a day after COVID-19 shut down the entire world?

With businesses shuttering and unemployment soaring, ZoomInfo launched an initial public offering (IPO) and made the biggest IPO of a tech company in 2020. But how did they do it? ?

During the opening session of G2 Reach 2022, Henry Schuck, CEO and Founder of ZoomInfo, sat down with our CEO, Godard Abel, to discuss the company's journey, its leadership lessons and the possibility of growth, even in a downturn .

Reflecting on the early days

It's hard not to feel stuck when you have to plant the roots of your new business during a financial crisis. About 15 years ago, Schuck found himself in a similar situation that drastically changed his life.

Recalling the origins of ZoomInfo (established as DiscoverOrg at the time), Schuck recalls how starting out as a small company in the midst of a recession was more promising than being an established company accustomed to rapid growth .

In addition to being wise in their spending, two main factors fueled ZoomInfo's success from the start: incredible market fit and smart prioritization decisions. These two factors are still essential in today's business environment.

Choose a path where customers grow with you

When it began targeting audiences in 2007, ZoomInfo understood that its product served a specific niche: technology, sales, and marketing professionals. Management knew exactly which companies to target, what interested them, and how they correlated to Zoominfo's product.

As a result, there were no returns on the product. They had the right market and catered to the right people in the businesses that belonged to their ideal customer market. These marketers understood how the product would boost their business growth and efficiency. And ZoomInfo has continued to invest in these areas, both from a product and marketing perspective.

Schuck explained that in every crisis, some industries will be slightly less affected than others. Instead of pushing a boulder up a hill, it's wiser to target a nascent segment and put more effort into it. Ultimately, companies need to find products that drive efficiencies for customers during downturns and lead to mutual growth.

Build the product from scratch

$50,000 spread over two credit cards: that's what it took to fund a dream. In 2007, Schuck admitted that no one in Columbus, Ohio had any concept of a venture capital funding market. He had no choice but to aim to build a profitable and efficient business from day one.

When the $50,000 credit ran out, Schuck and his team focused on reinvesting their profits back into the business. And that's how ZoomInfo grew for the first seven years, to $30 million in annual recurring revenue.

Asked about the beginning of his product design, Schuck explained that his approach was simple: seek out decision makers. No platform like LinkedIn or ZoomInfo existed, and no place to find CEOs or VPs of different companies. Back then, who you knew was far more valuable than what you knew.

Over the years, this value has changed. Now it all depends on what you know. Your success is defined by how you market and position yourself. In today's industry, digital technology and data-driven culture are being implemented to level the playing field.

Manifesting the owner mentality

According to Nick Mehta, CEO of Gainsight, running an efficient software business is like learning a sport when you're young; once you learn the skill at an early stage, it will be easy for you for the rest of your life. Schuck thinks that was one of the benefits of the culture they created at ZoomInfo.

When you target efficiency and profitability from day one, you embed these values ​​into your company's DNA. Businesses that start out well will only continue to do well if they stay true to what they've built. Schuck calls it "manifesting the owner mentality."

Every ZoomInfo employee is empowered to think like the business owner, creating a healthy culture that celebrates...