For SaaS startups, one of the biggest mistakes isn't about missing out on the latest shiny object. It's about not considering your client's buying process when building your GTM strategy. Skipping this crucial step means:
It’s like casting a wide net without first checking if you’re fishing in the right pond. By investing in the wrong programs and tactics, you’re not just wasting money; you’re wasting time and energy. Let’s dive deeper into how to fix this common mistake and optimize your GTM strategy.
Before jumping into any new GTM approach, the first step is understanding how your buyers make decisions. This means putting yourself in their shoes and asking key questions about their buying process.
One of the first things to assess is how complex or simple your buyers’ decision-making is. Does your product require a lot of back-and-forth, custom demos, or maybe a long approval chain? Or is it something that decision-makers can purchase after a quick demo or a free trial?
For example, products that are high in complexity, such as enterprise software with a large ticket price, often have longer sales cycles. You’ll need to invest in strategies that match this complexity. A personalized Account-Based Marketing (ABM) strategy would work well for complex sales. ABM requires understanding that decision-making involves multiple people, each requiring different touchpoints.
On the flip side, if you're selling a straightforward, low-cost SaaS product, a Product-Led Growth (PLG) approach may be a better fit. In PLG, the product sells itself, often with little involvement from sales or support.
How long does it take your customers to make a decision? Does it take weeks, months, or even longer? Different companies have varying levels of urgency, and your GTM strategy needs to align with this.
Quick Sales Cycles: A tool like SEMRush or Canva is often sold with short buying cycles, where a simple online demo or free trial may be enough to seal the deal. In this case, inbound and lead-generation strategies will be effective, such as optimizing your website, running PPC campaigns, and using retargeting ads.
Long Sales Cycles: If you’re targeting large enterprise customers, expect a more extended, complex sales cycle. Companies like Snowflake use Account-Based Marketing (ABM) strategies because these longer buying processes need personalized nurturing. You’re talking about multiple decision-makers, extended proof of concepts (PoCs), and careful budget considerations.
The diagram you see above illustrates different B2B Go-to-Market strategies in action. ABM is for companies with small Total Addressable Markets (TAM) and high Annual Contract Value (ACV). Meanwhile, PLG strategies, like those used by Zoom, are better suited for large TAM with low ACV. Knowing where you fall in this spectrum can guide your next steps.
A great GTM strategy isn’t just about the right ideas—it’s about execution. And execution costs money, time, and resources.
As you zero in on your GTM strategy, consider how many resources you'll need to see it through successfully. This could be headcount, marketing spend, or even new technologies. Ask yourself:
How many people do I need? Implementing an ABM strategy, for example, often requires dedicated marketing and sales teams to work together seamlessly. You may need additional hires or outsourced help.
What’s my budget? ABM strategies tend to be more expensive than PLG because they involve multiple touchpoints, personalized content, and tailored outreach. But they also lead to higher returns with bigger contract values.
Do I need to upskill my team? Your current team may need training to implement new strategies. Perhaps you’ll need to bring in a CRM expert or someone skilled in demand generation. Alternatively, it might make sense to work with external experts to fast-track the learning curve.
By answering these questions upfront, you avoid spreading your resources too thin. Remember, it's better to execute a few strategies exceptionally well than to stretch your team across too many mediocre efforts.
One size doesn’t fit all in B2B marketing. Let’s look at some companies that have successfully aligned their GTM strategies with their customers' buying processes.
Snowflake targets large enterprises, so their buying process is long, complex, and involves multiple stakeholders. An Account-Based Marketing (ABM) strategy fits well here. Their team focuses on high-value clients, using tailored outreach, personalized content, and strategic nurturing.
HubSpot is known for its inbound marketing approach. The platform offers free tools that draw in leads, who then engage with content and resources that educate them on how to get the most out of the software. HubSpot’s target customers—mostly SMBs—benefit from a simple, fast sales process. This makes inbound marketing ideal for capturing a large, yet relatively simple customer base.
Canva follows a Product-Led Growth (PLG) strategy. The product itself is the main driver of sales, meaning users can try it for free, become comfortable with the tool, and then upgrade when they need advanced features. The buying process is self-service, fast, and efficient, which aligns perfectly with Canva’s large, low-ACV customer base.
Each of these companies designed their GTM strategies to align perfectly with how their customers buy. The result? Higher conversion rates, better ROI, and more efficient use of resources.
When aligning your GTM strategy with the buying process, avoid these common mistakes:
Trying to appeal to everyone. If your product only serves a niche market, don’t waste time chasing after a broad audience. Stick to high-value customers and personalize your outreach.
Spreading resources too thin. It’s better to focus your budget on a few channels that work than to try every marketing channel and deliver subpar results.
Ignoring data. Use tools like Google Analytics or HubSpot CRM to track what’s working and what’s not. Data will guide you in tweaking your GTM strategy for better results.
Marketing for B2B SaaS isn’t about following the latest trend or copying what another company does. The key is aligning your Go-to-Market strategy with your client's buying process. Are they making quick, simple decisions? In that case, an inbound or PLG strategy may work best. Is their buying process long and complex, involving multiple decision-makers? Then you may need to explore ABM strategies to target key accounts effectively.
By understanding how your clients buy and what resources you'll need to support your GTM strategy, you can build a smarter, more sustainable approach to growth. Don’t fall into the trap of spreading yourself thin or jumping on the latest trend without careful analysis.