In sales, defining your Ideal Customer Profile (ICP) is a foundational step. An ICP is a detailed description of the types of companies—specific accounts—that your team should target for the best possible results. Think of it as a blueprint that defines who’s most likely to benefit from your product or service and bring value back to your business in return.
A strong ICP considers factors like company size, industry, pain points, and growth stage. It’s less about casting a wide net and more about laser-focusing on the highest-potential clients.
To dive deeper, we asked four of our top sales coaches here at MySalesCoach, five crucial questions about ICPs, exploring everything from what makes them effective to mistakes to avoid. Here’s what they shared, infused with actionable tips and real-world insights to help you build or refine your ICP and optimise your sales strategy.
The coaches providing the insight on building your ICP in this post are Csaba Balogh, Steve Myers, Emily Bair and Alan Clark.
1. What is the Most Critical Element in Creating an Effective ICP, and Why?
When defining an ICP, the coaches all agree: specificity and focus are key.
For Alan Clark, success lies in honing in on the precise problem you’re solving rather than just relying on broad factors like industry or company size.
“An ICP that’s focused on solving a specific problem can often transcend categories like geography or industry,” Alan says.
He suggests looking for accounts that are in “growth mode” or facing a particular challenge.
“If you can dominate a small subcategory, you can leverage that foothold to expand into adjacent spaces with similar needs.”
Steve Myers adds that understanding why your best customers actually do business with you is the cornerstone of a strong ICP.
“Ask what pain points they had before, the business impact of those issues, and how they felt about it,” he suggests. “This emotional insight helps you connect on a deeper level, moving you from a vendor to a trusted advisor.”
Csaba Balogh points out that an effective ICP must clearly differentiate between the customer account and the persona.
“An ICP defines the company you’re targeting, while personas define the individuals within that account who will be involved in the buying process,” he says.
Csaba highlights the importance of establishing this clarity from the start so that the ICP is strategically aligned with the company level, allowing the team to focus on the account holistically before tailoring messaging to individual roles.
Emily Bair stresses the importance of understanding how your product fits into the business objectives and professional goals of your ideal customer.
“It’s not just about finding accounts that would be good for us as a company; it’s about determining why our solution is ideal for them and their growth,” Emily explains.
Top Tips:
- Get specific with your ICP. Focus on unique challenges and business needs, not just demographics.
- Understand the “why” behind current customers choosing you—it provides a blueprint for finding more.
- Think about your ICP from the customer’s perspective: why is your solution the best fit for their goals?
- Differentiate between the account-level ICP and individual personas to ensure alignment across teams.
2. What Common Mistakes Do Companies Make When Defining or Not Defining Their ICP?
The coaches agree that when ICPs are poorly defined, or missing altogether, resources are often wasted. According to Steve, failing to define an ICP is like throwing darts in the dark.
“Without an ICP, there’s no clear direction for sales or marketing, and teams end up targeting everyone and anyone,” he emphasises.
Even when teams do attempt to build an ICP, Steve observes they often focus too narrowly on the business itself and overlook the human side.
“What’s keeping the decision-makers up at night? What are their professional fears and aspirations? Without that, you’re just throwing mud at the wall.”
Alan points out another common pitfall: relying too heavily on basic demographics like size, industry, or geography.
“This broad approach often dilutes focus,” he says. “Instead, look for nuanced qualifiers like the stage of growth or a unique operational challenge. This specificity separates the high-potential accounts from the rest.”
Csaba and Emily both note that companies can often be overly inward-focused when building ICPs, designing them around what’s best for the business rather than what’s best for the customer.
“A true ICP should reflect why the solution is ideal for the client and not just for your revenue goals,” Emily says.
Csaba adds that some companies confuse ICP with persona profiles, focusing on job titles rather than account needs.
“This can create a lead-based, persona-focused approach rather than an account-based strategy,” he warns.
Top Tips:
- Avoid casting too wide a net—go beyond broad demographics and target based on specific challenges.
- Don’t make ICPs about just what’s best for your business; think from the customer’s perspective.
- Recognise the difference between account-level ICP and individual personas to avoid scattered targeting.
3. How Does Having a Clear ICP Influence Sales Strategy and Team Performance?
A well-defined ICP brings clarity and consistency across the sales team. Alan notes that with an ICP, reps can tailor their messaging more precisely, addressing detailed problems rather than speaking in generalities.
“It allows the team to dive deep into specific issues, which makes for more relevant, impactful conversations,” he explains.
When reps know exactly who they’re speaking to and what issues they’re addressing, they become more effective.
For Steve, a clear ICP means that strategy becomes scalable and measurable.
“When everyone knows the ICP, you can build playbooks and other resources that are directly relevant to it,” he suggests.
This shared focus also enables better training and coaching, making it easier to onboard new reps and continuously improve team performance.
Csaba highlights the confidence boost that comes from a clear ICP.
“With an ICP, reps aren’t second-guessing who to target, which increases activity levels and makes reps feel more empowered,” he says.
Emily agrees with this stance, comparing a targeted ICP to offering steak to a room of meat-lovers rather than vegetarians.
“Even with the best playbooks, if you’re in the wrong room, it won’t matter. With the right ICP, you’re putting your resources in the room that wants what you’re offering,” she explains.
Top Tips:
- A clear ICP streamlines messaging, leading to more focused and impactful sales conversations.
- It allows for repeatable, scalable strategies and effective onboarding for new reps.
- ICP clarity improves rep confidence, empowering them to approach each prospect with focus and intent.
4. What Tactical Steps Should Sales Teams Take to Identify and Refine Their ICP?
When it comes to identifying and refining an ICP, the coaches emphasise listening to your customers and looking at data. Alan recommends spending time with existing clients to understand the specific benefits they experience.
“By learning directly from your clients, you can better define what your next ideal client looks like,” he says.
Steve suggests client interviews as an essential step.
“Ask customers what issues led them to your company, the impact of those issues, and how they felt about the solution’s benefits,” he advises.
This not only refines the ICP but also provides insights into potential objections or additional pain points to address in future sales.
Csaba believes the RevOps or Enablement teams should take charge of defining the ICP. In cases where those teams don’t exist, sales leaders can help by segmenting the ICP by tiers, such as Enterprise, Mid-Market, and SME.
“Having tiered ICPs helps teams to target more effectively based on company characteristics like size, revenue, or specific challenges,” he says.
Emily advocates for a data-driven approach by analysing CRM records, especially close-won and close-lost data.
“Look at what’s working and what isn’t. Be brave enough to pivot based on the results” is her advice.
Top Tips:
- Dive into customer feedback to refine the ICP based on real-world benefits and success stories.
- Conduct customer interviews to identify patterns in challenges, benefits, and responses.
- Use data analysis to validate and adjust your ICP over time, keeping it relevant as markets evolve.
5. Can You Share an Example Where Redefining the ICP Led to Significant Sales Growth?
The coaches had several examples where refining the ICP directly led to increased sales success.
Alan shared a story about his HR tech team, which originally targeted a broad market. They later found that companies with international teams had a stronger need for their currency-handling features.
“After adjusting our ICP to focus on companies with cross-country teams, we saw an increase in win rates,” he says. “Initially, we handled fewer leads, but those we engaged were higher quality, leading to more predictable results.”
Steve recalls a time when his team worked with gas turbine engines and initially included oil and gas clients in their ICP. However, after interviewing customers, they found that oil and gas clients had less need for their services due to redundant systems.
“By removing that segment from our ICP, we saved time and refocused resources on clients who truly needed us, driving meaningful growth.”
Emily’s consulting work with a major health website demonstrated the value of targeting the right vertical. Her client’s new division was underperforming, and her ICP analysis revealed they were targeting the wrong market.
“After shifting focus, they went from a struggling pipeline to tens of millions in new business,” she says.
Csaba adds that redefining ICP often means going to where prospects are—in his case, trade shows for enterprise clients.
“When we refined our ICP and met clients where they were, we saw deal sizes rise and a steady growth in high-value opportunities.”
Top Tips:
- Refine your ICP based on real results; sometimes, adding specific qualifiers like international reach can make all the difference.
- Don’t be afraid to remove unqualified segments from your ICP to focus on higher-value prospects.
- Align your ICP with market opportunities—attending industry events or exhibitions can be a powerful tactic for high-value ICPs.
Wrapping Up: The Power of a Well-Crafted ICP
Creating a strong ICP is a strategic move that helps teams focus on accounts with the highest potential, reducing wasted efforts and increasing the likelihood of success.
As the coaches shared, building or refining your ICP is an ongoing process that requires insight into customer needs, an openness to test new criteria, and a commitment to evolve. With a well-defined ICP, you’ll save resources, improve engagement, and build a foundation for sustainable sales growth.
TL;DR: How to Build a Winning ICP for Sales Growth:
Define a Clear ICP: Target high-value accounts that best benefit from your product/service, focusing on pain points and growth stages.
Avoid Common Pitfalls: Steer clear of broad demographics and focus on challenges that align with your ideal customers’ needs.
Boost Sales Strategy: A well-defined ICP streamlines targeting, messaging, and boosts sales team confidence.
Use Data & Feedback: Continuously refine your ICP with customer feedback, CRM data, and analysis of close-won/lost deals.
Drive Growth: Align ICP with market opportunities, focusing on accounts likely to yield consistent, impactful results.
Looking for further Sales Leadership tips?
Why not check out some of our guides around: Sales coaching techniques, sales team building activities and how to master sales team leadership!
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