When a company has a new or early-stage product with few deployed customers, large prospects frequently raise a "how many do you have in the field?" objection. A low answer (e.g., two units) signals unproven technology and kills deals before they start.
Penetration marketing is a deliberate strategy to break this cycle: offer a discounted rate to a cohort of smaller, non-target clients in exchange for feedback, testimonials, and a larger deployment count. The goal is not immediate revenue — it is credibility and process refinement.
This strategy was discussed explicitly with [1] during their year-end review, where the "deployed units" objection was identified as a primary barrier to closing mid-market and enterprise accounts.
| Symptom | Root Cause |
|---|---|
| Prospects hesitate or disengage | Low deployment count signals risk |
| High-value targets won't be guinea pigs | No track record to justify trust |
| Sales cycle stalls at credibility check | No social proof (testimonials, case studies) |
The penetration marketing approach addresses all three simultaneously.
Select a cohort of smaller clients who are similar to your target market but not your target market. These clients:
"You want to make a mistake with a client like that, not with something like the NFL or the NBA."
— Mark Hope, BluePoint ATM year-end call
The discount must be large enough to make the risk/reward trade-off obvious to the pilot client. Common approaches include half-price or heavily subsidized rates. The client understands they are an early adopter.
Both sides should understand what they are getting:
| Client Gets | You Get |
|---|---|
| Discounted pricing | Real-world deployment data |
| Early access / influence on product | Testimonials and case studies |
| Dedicated attention | A higher deployed-unit count |
| Process refinement before high-stakes accounts |
Define a specific number of pilot deployments to achieve within a fixed window (e.g., "50 units in 60 days"). This creates urgency and a measurable milestone that directly addresses the objection.
Do not use enterprise or flagship targets as guinea pigs. Reserve those accounts for after the pilot cohort has validated the product and generated social proof.
This strategy mirrors how software companies handle new product launches. Early customers find bugs, stress-test the product, and provide the feedback loop needed to stabilize before scaling. The key difference in hardware/physical deployments (like reverse ATMs) is that the cost of errors is higher — making the "smaller client first" principle even more important.
| Risk | Mitigation |
|---|---|
| Pilot clients expect permanent discounts | Set clear terms upfront; discount is time-limited and tied to pilot status |
| Operational strain from managing many small accounts | Batch onboarding; treat the pilot cohort as a program, not individual deals |
| Negative feedback damages brand | Pilot clients should be selected for tolerance and communication willingness |
| Dilutes focus from target accounts | Run pilot as a parallel track with dedicated resources, not a replacement |
This strategy was introduced by Mark Hope (Asymmetric) during the [5]. BluePoint ATM had two reverse ATMs deployed and was encountering the credibility objection with mid-market prospects. Wade Zirkle and Mike Stebbins were directed to discuss the pilot program internally with their sales coach Chuck before committing.