/gəʊ tuː ˈmɑːkɪt/
Go-to market (GTM) is a step-by-step plan or a strategy where businesses use their resources (both inside and outside) to deliver their unique value proposition and gain competitive advantage.
It is applicable to both launching a new product, as well as services. It outlines the necessary steps to succeed in a new market or with gaining a new customer.
The first step to success is to properly define the target market and decide on what the value proposition should be.
Once the prospective customer is defined, we can move on to market segmentation that gives us insight into what industry our customers are in, their location, size and sales potential, behaviour, and so much more.
Apart from defining a customer, we need to make sure we achieve a product-market fit and that our product solves customers problems and caters to their needs. Product positioning and messaging is crucial so think about what you are selling and what unique value it has compared to other, similar products that are already in the market.
Also, distribution plays an important role in go-to market strategy. A few factors to think about before distributing the product are:
- the price of the product
- whether it caters to B2B or B2C clients
- market size and how complex a product is (if the use of it is self-explanatory or do customers need guidance from a sales person to be able to use it)
To summarize, in order for your go-to market strategy to be effective, focus on defining the market, the customer within your market, distribution model for your product, product messaging and positioning and the price of the product.