What is a Go-to-Market Strategy & How to Create One

What is a Go-to-Market Strategy & How to Create One?

Tom Evans

CompellingPM

@compellingpm

Copyright 2013. The Lûcrum Group, Inc. 1

Poll Question 1

Does your company create a formal Go-to-Market Strategy for each product?

a) Yes, all products have a Go-to-Market Strategy.

b) Sometimes we create Go-to-Market Strategy, but this is not a standard.

c) No, we never create Go-to-Market Strategy.

d) What is a Go-to-Market Strategy?


What is a Go-to-Market Strategy

• A Go-To-Market strategy is how a company delivers their unique value proposition to their target market and creates a competitive advantage.

– How do you create value?

– How do you deliver the value?

– How do you capture the value?


GTM Strategy Helps You Succeed

• Improves time-to-market

• Reduces risks of failure and brand damage

• Enhances customer experience

• Avoid the wrong path

• Establishes path for growth

• Clarifies plan and direction for all


What’s Included in the GTM Strategy

• WHOM will we actively target within the market?

• WHAT will be our product portfolio for target customers?

• HOW MUCH will we charge for our products for different customers?

• HOW will we promote our products to target customers?

• WHERE will we promote and sell our products to target customers?


Source: http://en.wikipedia.org/wiki/Go_to_market

Poll Question 2

When do you typically create the Go-to-Market Strategy?

a) Once the product is ready to launch.

b) During product development.

c) When planning the product.

d) When an executive asks for it.


The Wrong Way to GTM


Build Product

Define Channels

Define Price

Define Promotions

Ready – Fire

Slightly Better Way to GTM


Build Product Define Target

Markets & Positioning

Define Channels

Define Price

Define Promotions

Ready – Aim - Fire

The Best Way to GTM


Define Product

Define Target Markets &

Market Problems to

Solve

Define Channels

Define Price

Define Promotions

Define Positioning

Aim - Ready - Fire

When to Define GTM


Source: AIPMM & 280 Group

Building Your GTM Strategy


Needs, Wants, Demands

• Need - is state of felt deprivation of some basic satisfaction.

• Wants – are desires for a specific satisfier of these deeper needs.

• Demands – are wants for specific products that are backed up by an ability and willingness to buy them.

Source: Kotler – Marketing Management

12 Copyright 2013. The Lûcrum Group, Inc.

Our Levers of Influence

• We don’t create “Needs”.

• We influence “Wants” & “Demands” with our Go-to-Market Strategy

– Positioning

– Product

– Price

– Place

– Promotion


Target Markets

• Select most attractive market segments – Alignment with corporate strategy – Has biggest and most urgent pain – Gaps in the market – Core competencies best support – Ability to reach – Leverages strengths – Least competition – Largest market size

• Roll-out plan – Order to enter each market segment


Strategy Drives Marketing Mix

• Unique for each target market

• Starts with positioning

• Create competitive advantages

• Marketing objectives and strategy changes through product lifecycle


Key Strategy Decisions

• Positioning –designing the company’s offer so that it occupies a distinct and valued place in the target customer’s minds. (Kotler)

• Competitive Advantage - developing a combination of attributes that allows a company to distinguish itself and outperform its competitors.


Key GTM Strategic Objectives

• Create awareness, first customers

• Maximize market share – Attack competitors

– New markets/users

– Increase usage

• Defend market share – Against competitors

– Defend a position

• Harvest product for maximum profitability


Poll Question 3

Who typically owns the Positioning decision in your organization?

a) Product Management.

b) Product Marketing.

c) Product Management & Product Marketing.

d) Senior Executives.

e) Never thought about it.


Product

• What needs does customer need to solve?

• Which features best meet these needs?

• How will customer use it?

• What are important attributes?

• How is it differentiated?

• What is necessary for the whole product?

• What should Product Line look like?


Whole Product


Core

• Benefits

• Features

• Quality

• Packaging

• Brand

• Style

• Color

• Fashion

• Standards

• Installation

• Integration

• Services

• Warranties

• Finance

• Additional Software & Hardware

• Customer Care

• Delivery

Actual Product

Augmented

Source: AIPMM & 280 Group

Price

• What is the pricing strategy?

• What is the value of product to customers?

• Are there existing price expectations?

• How do we price relative to competitors?

• Can you create competitive advantage with pricing model?

• What are price points for product line?


Place

• Where do buyers want to purchase your product?

• What is the right distribution model?

• How do you develop the right distribution channels?

• What types of support and services are required?

• Can you create a competitive advantage?


Promotion

• How do you reach the buyers & influencers of your target market?

• What messages will motive them to awareness, consideration, purchase?

• These decision drive marketing programs!


Poll Question 4

Which is the most important driver in creating your Go-to-Market Strategy?

a) Clear understanding of your target markets.

b) Aligning with your corporate strategy and strengths.

c) Knowing how to compete against your competitors.


Key Drivers for GTM

• Customers

– Intimate Understanding of Target Markets

• Company

– Mission, Strategy, Strengths, Weaknesses

• Competitors

– Strategy, Strengths, Weaknesses


Understanding of Target Markets

• Who they are

– Personas

• Why they buy

– Problems they want to solve

• How they buy

– What is their buying process

– Where do they look


June 21 Webinar

http://www.aipmm.com/aipmm_webinars/2013/05/how-to-develop-a-deep-

understanding-of-your-target-markets---the-starting-point-for-great-product-ma.php

http://www.aipmm.com/aipmm_webinars/2013/05/how-to-develop-a-deep-understanding-of-your-target-markets---the-starting-point-for-great-product-ma.php

































GTM Process


Source: http://www.strategyhub.net/2011/01/framework-of-week-45-strategic.html

GTM Summary


My Next Webinar

How to Create Effective Sales & Marketing Tools That Actually Get Used By Sales and Prospects!

Friday, Oct 4, 2013

http://bit.ly/192JLpd


http://bit.ly/192JLpd

Upcoming Training

• Optimal Product Management & Product Marketing

– Sep 9 – 11 (Austin)

– Oct 14 – 16 (Dallas)

• AIPMM Certifications

– Nov 5 – 6 (CPM – Austin)

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More dates/locations - www.280group.com


Free 1 Hour PM/PMM Consult

• First ten to submit information on form

• http://compellingpm.com/freeonehour/

• Please include background on topic or issue

• Must include company info (no Gmail)


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Thank You!

Tom Evans

CompellingPM

[email protected]

@compellingpm

www.compellingpm.com


mailto:[email protected]

What is a Go-to-Market Strategy & How to Create One

Business

competitive

target market

market strategy

lcrum group

corporate

target customers

aipmm amp

target markets