Avoid These Five Common Mistakes That Can Sabotage Your Go-To-Market Strategy
A common question we receive here at tandemROI, from companies who are early on in their marketing efforts, is what preventative steps can I take to ensure long term brand success for my product in the marketplace? As with any go-to-market strategy, you need a well planned, well thought out roadmap and a thorough understanding of your customer and product category. But a little insider’s knowledge will go a long way, too.
Here are five common pitfalls you can avoid when developing, and executing, your go-to-market strategy.
Price to Value Miscalculation
A PTV miscalculation is also known, unceremoniously, as underpricing your product. Price is rarely the key consideration for a consumer purchase, especially in the considered purchase environment. Consumers will determine the value of your product in their lives, and in doing so very well may be willing to pay more if it resolves their problem. In controlled, measured price testing scenarios we have seen higher sell prices consistently convert at the same or higher rate than a lower price.
Under Estimating Consumer Pain Point for Your Product
Certain consumer categories (Home Improvement, Wellness for example) are positioned perfectly for facilitating immediate engagement and transactions. As such, does your sales infrastructure support expedited delivery to customers, or immediate download of material, or immediate contact with a company representative? How about immediate add-ons that increase your average order value? It’s imperative you understand the mindset of your target audience and not just demographics.
Over Estimating Online Contribution
While the allure of immediate online marketing gratification is strong – it takes just minutes to put up a paid search campaign and get some data rolling in – keep in mind that true brand scale seldom occurs from online marketing alone. In most scenarios, you will need a catalyst to drive the web, so traditional mass media must be considered. Long term success will require a balanced channel approach, particularly early on in your go-to-market execution.
Going to Retail Too Soon Without Support
Eagerness and enthusiasm to secure quick retail distribution, of any kind, seems like a good idea. After all, your product will be in stores. But, without the required advertising support, sales can and typically will languish at the store level. This can lead to a variety of woes, including putting your price integrity in jeopardy if units are marked for reduction too early in your market launch.
Too Many Distributors Too Quickly
Again, eagerness to get something – anything - going quickly sales-wise commonly leads to engaging in too many distributor deals - too quickly. There will be no shortage of promises of robust sales from product distributors. So it can be attractive to give up sales channels contractually early on in your business. However, this many times will create headaches later once your program takes off and you look to consolidate distribution to a few, or even one, group.
Questions on getting to market the right way? Contact us today.