Go to Market Strategy by Microsoft Product Leader

Summary

In this Product School webinar, Gopi Sundar Asen, a Product Manager at Microsoft, dives into Go-to-Market (GTM) strategies. He outlines a classical approach to GTM, covering the three key pillars: product marketing, pricing, and sales strategy. Gopi emphasizes the importance of understanding customer personas and crafting messages that resonate with them. He discusses various pricing strategies like price skimming, penetration, and neutral pricing, advocating for value-based pricing. Gopi also touches on different sales models, from self-service to channel sales, and uses the Apple Watch as a case study to illustrate how a well-planned GTM strategy can be executed effectively. The webinar is a valuable resource for product managers and aspiring PMs looking to refine their GTM strategies.

Takeaways

• 😀 Go-to-market (GTM) strategy is crucial for launching a product into the market and is applicable to both B2B and B2C products.
• 📈 GTM strategy consists of three main pillars: product marketing plan, pricing plan, and sales and strategy plan.
• 🧑‍💼 Understanding the customer is the first step in product marketing; it involves identifying buyer personas for B2C and the buying center for B2B.
• 📊 A value matrix helps in structuring marketing messages by identifying problems, differentiators, and focusing on benefits and value.
• 💡 Pricing is a key lever for product managers and requires deep market understanding; value-based pricing is a common approach in the tech industry.
• 🕊️ Price segmentation can be done based on various factors like time of purchase, time of use, product bundling, volume, place of purchase, product design, and rental or lease agreements.
• 📈 Sales strategy involves planning for different sales models like self-service, inside sales, field sales, and channel sales, depending on the product type and market.
• 🎯 Objectives and Key Results (OKRs) are essential for defining sales goals, time periods, and measurable outcomes to drive sales efforts.
• 💼 The Apple Watch example illustrates a successful GTM strategy by targeting luxury customers, focusing on premium features in messaging, using value-based pricing, and employing a channel-based sales model.
• 🚀 For aspiring product managers, analyzing and presenting a GTM strategy for a chosen product can demonstrate understanding and capability in product management.
• 🗣️ Feedback and suggestions for future webinar topics are welcome to continue the discussion and learning around product management and GTM strategies.

Q & A

What is the main focus of the webinar presented by Gopi?

The main focus of the webinar is on 'Go-to-Market (GTM) Strategy', discussing classical approaches and providing examples from both B2C and B2B perspectives.

What is Gopi's role at Microsoft?

Gopi is a Product Manager at Microsoft, where he is part of the specialized workloads team at Azure, leading emerging technology and solutions from concept to pilot and private preview.

How does Gopi's career progression relate to the topic of the webinar?

Gopi's career progression from engineering to technical marketing and then to product management gives him a diverse perspective and expertise to discuss best practices in GTM strategies across different organizations.

What are the three pillars of Go-to-Market strategy as mentioned in the script?

The three pillars of Go-to-Market strategy are the Product Marketing Plan, the Pricing Plan, and the Sales and Strategy Plan.

Why is understanding the customer so crucial in product marketing?

Understanding the customer is crucial because it allows for the creation of a marketing message that resonates with the target audience, influences their buying decision, and clearly communicates the product's value proposition.

What are the different types of stakeholders typically involved in a B2B buying center?

In a B2B buying center, there are typically stakeholders such as initiators, users, influencers, decision makers, and gatekeepers.

How does the concept of a 'customer persona' apply to B2C products?

For B2C products, a customer persona represents a group of users with similar buying patterns and preferences. It helps in tailoring marketing messages and strategies to appeal to the needs and desires of these specific groups.

Can you provide an example of how a B2C company might segment its market for pricing?

An example of market segmentation in B2C could be based on time of purchase, such as offering Black Friday deals, or by time of use, like airlines charging different prices for flights on weekdays versus weekends.

What is the significance of a value matrix in building a product marketing message?

A value matrix helps in identifying the problems faced by the customer persona, differentiating the product from competitors, and focusing the marketing message on the benefits and value the product offers.

How does the Robinhood trading app example illustrate a successful GTM strategy?

Robinhood's GTM strategy was successful because they targeted a clear audience (Millennials), created a unique customer experience, and focused on a distinct messaging strategy ('democratize finance for all') which resonated with their target market.

What are some common sales models mentioned in the script?

Some common sales models mentioned are self-service, inside sales, field sales, and channel sales, each suitable for different types of products and customer engagement levels.

How did Apple approach the launch of the Apple Watch in terms of GTM strategy?

Apple focused on a luxury-oriented customer base for the initial launch, used high-end marketing channels, employed a value-based pricing strategy with price skimming, and utilized a channel-based sales model that included high-end boutiques and eventually expanded to broader retail.

What is the purpose of setting OKRs (Objectives and Key Results) in a sales strategy?

OKRs help define the qualitative outcomes or goals for the sales team, set a time period for achievement, establish measurable results as milestones, and outline specific actions or initiatives needed to progress towards those results.

What advice does Gopi give to product managers or aspiring PMs regarding GTM strategy?

Gopi suggests that product managers should analyze and understand the GTM strategy framework, apply it to their own products, and communicate their insights and strategies to internal teams. For aspiring PMs, he recommends dissecting a GTM strategy and presenting it as a way to demonstrate understanding and capability in product management.