Northstar Commerce is a mid-market B2B SaaS company that sells workflow and analytics software to retail brands and distributors. The company generates $180M ARR, grows at 18% YoY, and serves 4,200 customers across North America and Europe. Its products are profitable, but growth has slowed versus newer AI-native competitors. Over the last 12 months, internal teams have proposed more than 20 technology initiatives—including generative AI copilots, workflow automation, vector search, low-code integrations, and real-time analytics—but leadership believes the company lacks a disciplined way to stay current on emerging technologies and decide what is actually worth adopting.
You are the newly hired Head of Strategy. The CEO wants a repeatable process for scanning emerging technologies, prioritizing which ones matter, and deciding whether Northstar should build, buy, partner, or ignore. The decision matters now because competitors are launching AI features quickly, customers increasingly expect automation, and the board has approved a limited innovation budget for the next fiscal year. Leadership is concerned that reacting to every trend will waste capital, but moving too slowly could weaken Northstar's market position.
| Metric | Value |
|---|---|
| Current ARR | $180M |
| YoY growth | 18% |
| Gross margin | 74% |
| Net revenue retention | 108% |
| Annual R&D budget | $42M |
| Incremental innovation budget available | $8M |
| Top 3 competitors' AI-related feature launches in last 12 months | 17 total |
| Enterprise customer survey: % expecting AI/automation in next renewal cycle | 61% |
| Average product development cycle | 7 months |
| Target payback period for new initiatives | < 24 months |
Additional facts: