GTM decomposes into the entire business—it all must work in concert to be effective.
- Value proposition is clear and people want this (messaging, pricing, marketing)
- Product delivers on promises (solves target users, low churn)
- Find renewable sources of customers
The overall objective is to increase growth rate. In order to do that, there needs to be a quick feedback loop to figure out what works. When you find something that works, double down. That means there are two modes—experimentation and doubling down.
(This note is a work in progress)
Links to this note
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Net magic number is a measurement of go-to-market (GTM) efficiency for SaaS businesses. A magic number less than 1.0 indicates the business will lose money on each customer. Top SaaS businesses making less than $25MM in revenue per year have a magic number of 1.7 according to benchmarks from Iconiq Capital as in their business returns 1.7x for every sales and marketing dollar they spent to acquire customers.
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How to Set up an Inbound Sales Motion
It should be repeatable, measurable, and profitable. Every product and business is different. This will focus on a B2B SaaS product.