5. Go-to-market: how to sell your product?
[Throughout this series of articles to explain how to build an investors deck we are using the example of Pant Station, an imaginary company that sells panties for men, to illustrate the different parts. If you want to read this series of articles, I advise you to start with this one.]
Now that you have identified what problem you are addressing with your product, who your target market and your competitors are it's time to think about your distribution. How are you going to sell your product and raise awareness around it? That's your go-to-market plan!
How will you sell your product?
You need to decide whether you are going to go through sales or marketing or maybe both. It's quite simple and depends on your product price, your market size, its complexity, and your customers.
Let's use this model for Pant Station:
Product price: 20 euros
Market Size: In France, there are 9 843 021 men over 50 years old according to INSEE. That's a pretty broad market even if we are several players.
Since one man owns on average 10 pairs of briefs and they have to buy new ones every year we could have a potential market of 98 million briefs per year.
Complexity: Very basic product used by everyone, self-explanatory.
Customer: People not companies.
We can then say without a doubt it would be quite expensive to hire a salesperson to sell underwear. Imagine someone knocking on your door the old fashioned way urging you to try underwear. Very ineffective and time-consuming. Instead, we'll go through marketing to sell to more customers, faster and at a more reasonable cost.
On the contrary, if we were selling a solution like Salesforce which is quite complex and targets only companies, it would make a lot more sense to have someone to explain and sell the solution.
Mind your customers’ ecosystem
To succeed in growing your audience as a brand, the best you can do is be where your customers are in every step of the marketing funnel:
Discovery (“oh nice, Pant Station, it is a new brand I just discovered on TV”)
Consideration (“it seems to fit exactly what I am looking for and some friends have them”)
Conversion (“ok, let’s by some!”)
Retention (“I need some more briefs, let’s buy again some Pant Station”)
It is essential to know your customers' ecosystem. You need to put yourself in their shoes to give them the best experience with your product. You already know who your target is and you've probably already mapped their ecosystem which should include for example:
Media | Events | Networks | Education | Shops | Advertisers | Social influencers
For Pant Station, our target customer is a 50 years old or + male who is daily influenced by traditional media. He's new on Facebook and trusts only his friends' reviews when it comes to buying new products. He listens to the radio, watches TV and reads the newspaper. He buys mostly offline, on a yearly shopping trip wherever he can find the most items in one go.
Find your path (short term and long term)
Now that you have everything you need, let's come up with a plan. You basically need to think about where you want to sell and how you want people to learn about your product. You can include both short term and long term vision.
To introduce our customers to our product we will work with print and TV adverts (yes this strategy is not very up to date but we are targeting +50 years old and they do not shop yet online).
Since our customer mostly shops offline we will begin with a few selling points where they can shop daily: most mass distribution channels like supermarkets. Our website will be more of a window for shoppers to browse and look for reviews. The long term plan will be to move to a online sales the more the population evolves.