What is a Go-To-Market Strategy?  

A go-to-market strategy plays a vital role for any product-based company. It is a detailed, step-by-step plan for introducing a new product or establishing a brand-new market that is referred to as a go-to-market (GTM) strategy. Thus, it assists in the proper launch of a product to the appropriate market and with relevant messaging. In simpler terms, a GTM strategy helps answer questions such as; What, Why, How, When and Where in the overall strategy.

A GTM strategy and a business plan are similar in some terms. However, a business plan focuses on aspects such as finance and has a greater reach. Therefore, businesses need a comprehensive GTM strategy that helps them communicate with stakeholders on why they are introducing a particular product or service, who it is for, and how they plan to interact with customers to generate and increase sales revenue.  

Data shows that marketers who proactively plan projects are 356% more likely to report success. 

By creating a proper GTM strategy, a business is more likely to be successful.  

Components of GTM Strategy 

Market Analysis

When creating a GTM strategy, a thorough market analysis needs to be done. You should know who you are selling to, and how big the market you are launching your product in is. Moreover, you need to understand what kind of problems your customers are facing while launching a product. Building up an ideal market for your product is necessary. Likewise, you should determine if this launch is targeted at business-to-business (B2B) or business-to-consumer (B2C) clients. The core of your strategy is a specific, defined market. 

Identifying Customers

Looking at potential customers is necessary as they are the ones buying your product. Therefore, you should be focusing on several aspects such as demographics, locations, interests, buying habits, etc. You can quickly and effectively identify customers by creating an ICP (Ideal Customer Profile) and by building buyer personas. Thus, buyer personas and ICP work together to narrow down customers. Personas help you understand your clients by dividing your ICP into more distinct categories. 

Competition and Demand

In addition to doing market research, you should also know how your competitors will react to your product. Knowing if the product is in demand or has no value in the market helps determine if the product launch will fail or be successful. Learning the strengths and weaknesses of your competition also helps. Ask yourself the following questions before launching the product:  

• Does someone already offer a similar version of your product? 
• How is your product different from the rest of the competition?  
• Is the product in demand? 

Distribution

Deciding how and where you want to reach the clients you’ve identified as being your primary audience is the key to developing your business strategy for distribution. Hence, an indirect distribution strategy or a direct distribution strategy will probably be your choice, based on the nature of your business. Consider the most successful channels for your sales and marketing strategies.

Specialized Content and Messaging

Through content and messaging, you can easily stand out with your product. Likewise, the message you wish to convey to your target audience is regarded as messaging. Moreover, a convincing overview of the product being launched, its benefits, and the problems it resolves are all included in the customized material for the launch. 

When to create a Go-To-Market Strategy?  

A Go-To-Market Strategy is needed for any product, helping entrepreneurs, start-ups, or fortune 500 companies. It is usually best to plan a go-to-market strategy well in advance before the launch of the new product or feature.

Examples of when a GTM Strategy is needed: 

• Introducing a brand-new service or product. 
• Selling an already-existing product into a brand-new market. 
• Adding a new element or feature to an existing product. 
• Establishing a new firm branch or business.
• Relaunching your brand. 

Go-To-Market Strategy Template 

A GTM template is a document that usually consists of vital information and findings, as well as details on the target market, sales approach, and marketing strategy. It helps visualize the principal components of a GTM strategy. 

Every Go-To-Market Strategy Template is different in its way. However, a template should answer the following questions.  

• What are your buyer personas? 

The first step in creating a GTM Strategy is identifying potential customers and coming up with their personas. Now, what exactly is a buyer persona? Based on facts about existing customers and market research, a buyer’s persona is the representation of an ideal customer. A buyer’s persona usually includes gender, age, income, profession, frustrations, goals, and many more. 

• What is your value matrix? 

A value matrix breaks down each buyer’s persona, their business issues, and how beneficial your product is in overcoming those issues. Moreover, it consists of an appropriate marketing message. Through a value matrix, you can easily map out your product according to the needs of the buyer personas. It focuses on the pain points and product value. To fully understand the buyer’s journey, a value matrix is a crucial tool. Here’s an example, 

Persona Name	Pain Points	Product Value	Message
Example Eddy	A process he uses costs too much time and money	The service costs less time and money.	This service does ____, which saves companies time and money.

•  What is your sales strategy? 

You can either use a single sales strategy or a mix of them. There are four sales strategies to choose from, 

• Inside Sales Model: Commonly used by B2B sellers with products and services that are neither very sophisticated nor pricey but are prone to a good deal of competition. 
• Field Sales Model: This strategy is used by B2B businesses that have expensive, complex products. To implement this strategy, an entire sales department is often needed. 
• Channel Model: This model is ideal for both B2C and B2B products/services. It is a business strategy in which you hire partners or third-party businesses to sell your products on your behalf.  
• Self-Service Model: A self-service model usually means customers make their purchases. Most B2C businesses make use of this model, for instance, e-commerce companies, consumer-grade software developers, or SaaS providers. 

• Understanding your buyer’s journey 

A buyer’s persona and value matrix help you fully comprehend a buyer’s journey. Three stages make up the buyer’s journey: awareness, consideration, and decision. The usual buyer’s journey is as follows: 

• Identifying problems 
• Looking into the solutions 
• Shortlisting potential solutions 
• Making contacts and choosing the best solution 

A buyer’s journey looks like this:  

Go-To-Market Strategies 

There are two main types of GTM Strategy:  

1. Product-led GTM Strategy

In a product-led GTM approach, consumers are attracted and retained by the product itself. With this strategy, the product acts as a salesperson by offering the customer so much value that they are driven to upgrade their package. Preferably, the product should contain all the information a potential buyer may need, from the features and technical specifications of the solution to the price alternatives and contract conditions. Two great examples of product-led growth in action are Calendly and Slack.  

2. Sales-led GTM Strategy

An interest in a product is generated by marketing in a sales-led GTM strategy, and this interest is then captured in content and demo forms. As a result, sales representatives then approach those individuals to turn them into clients. Sales-led go-to-market strategies are influenced by individuals rather than the product. To increase sales, renewals, and upgrades, a salesperson is in charge of emphasizing the advantages of the product to a certain audience. Cognism and numerous other B2B SaaS startups follow this strategy. 

Product-led growth is a “pull” strategy that uses the product as a customer magnet as compared to sales-led growth, which uses salespeople to promote the product. 

Conclusion 

To sum up, developing a successful go-to-market strategy isn’t as difficult as it seems if you execute it properly. A GTM Strategy plays a vital role in the success of a product launch. Therefore, with the help of this blog, you may as well launch a product that satisfies your potential customers and brings you profit. At Exerge, we strive to provide the best solutions for your business, helping it grow. Need assistance while developing a successful GTM Strategy? Work closely with our digital marketing team and easily boost your company’s bottom line. Explore our services for more information.