Intercom's Des Traynor: True AI Transformation Is Brutal

Why SaaS Companies Claiming AI-First Aren't Really There

This session starts at 1:37:19 in the SaaStr AI London GTM Stage recording.

Des Traynor's presentation is the most honest account you'll hear of what SaaS-to-AI transformation actually feels like. His thesis is stark: "A lot of SaaS companies I think are saying that they're AI companies, but they're not really AI companies. They're not true deep AI companies."

The context makes this powerful. Intercom, founded in 2011, was a breakout success - $1M to $50M ARR in three years, "which back then was really impressive." But they hit five quarters of declining revenue growth. The IPO journey "changed how we think, changed how we work." They were in a bad spot when Owen, the co-founder, came back as CEO.

Then ChatGPT arrived three months later.

Intercom had an ML team since 2015-2016. That team told leadership: "This is the moment. This is a one-way door for humanity. This is the real deal, the iPhone moment, the next technology cycle." They had personal experience to validate it - many had started their careers when the internet emerged and recognized a similar inflection.

The transformation's severity is the point. Traynor says if you took Intercom three years ago versus today, "they are entirely different companies. It's unrecognizable." And crucially: "If you're a SaaS company who thinks you're an AI company and you've not gone through brutal transformation, you're not there yet."

His advice on go-to-market is practical: AI changes who you're selling to. "A CEO and a customer service leader live in different universes. They care about different things, speak a different language, operate at different zoom levels." He's doing CEO dinners and also trade shows for customer service leaders - AI product development requires engaging both simultaneously.

4 Insights From Des Traynor on SaaS-to-AI Transformation

• True AI transformation is brutal and makes your company unrecognizable - if it wasn't painful, you're not there yet
• Having an ML team pre-GPT was crucial - they could validate this wasn't hype but "a one-way door for humanity"
• AI products often change your buyer - you may need to sell to both executives AND practitioners simultaneously
• The IPO mindset can slow transformation - founders returning to operator roles may be necessary to drive urgency