Good products alone are not sufficient. Only a perfectly planned and implemented market launch can ensure success.
The following issues are addressed by the go-to-market strategy: Which products and services do we offer? What is our positioning? Which customer segments do we want to address? How do we reach our customers, and where do we offer our products? A differentiated go-to-market strategy can often provide a decisive competitive advantage and, thus, should receive a corresponding level of attention.
Challenges and/ or objectives
The development of a successful go-to-market strategy requires a clear picture of the offer and the benefit it promises as well as strategic market segmentation with subsequent assessment and selection of attractive target segments. Consequently, implications for the choice of distribution channels and adequate marketing communications arise. With the help of a successful go-to-market strategy, added value is created for the customer, which in turn provides increased loyalty and, ideally, an enduring and intensive business relationship.
Appropriate marketing and sales instruments may differ significantly among various customer and product segments. Thus, an extensive analysis and clear differentiation of market segments is necessary as a first step. Segments can be assessed with regard to market attractiveness and product fit, and then prioritized by means of different criteria.
Individual portfolios of products and services can be defined, and the optimal distribution channel can be selected for every single target segment. For these purposes, there are a multitude of different options, from direct distribution through sales representatives or an internal online shop to multilevel distribution processes with interspersed wholesale and retail businesses. Various factors such as the size of the target segment, the complexity of the offer, and the brand image should be considered when choosing distribution channels.
A rigorous customer orientation and the integration of all market-oriented functions are decisive factors in the success of the strategy. Product management, pricing, marketing and communication, distribution, and after-sales support must follow common objectives, and their activities must be adjusted accordingly. Consistent measures can be taken and a successful implementation be ensured only through overlapping processes and the effective exchange of information.
Once the internal structures and processes are aligned to cooperate among the functions, prospective new-market requirements can be detected early on, the organization becomes more flexible, and entrance into adjacent markets is made easier.