Strategy Pairs: [Mutualism] & [GTM]
When you are building product here’s how factoring in mutualism towards crafting your GTM could prove to be THE difference…
Indeed! It is true that the world today is a gigantic interconnected web that makes information accessible at one’s convenience (pun intended) without even moving as much a muscle.
There was a speculation that data is going to match (if not travel faster than) the speed of light. Well! Given how even the remotest corners of the world are connected to the internet today owing to the alarming rate of inclusion of mobile devices, information sharing, propagation & accessibility has witnessed this mammoth surge. And there could be a lot more upside to these numbers with the internet service providers battling constantly for market share by upgrading the very definition of “HIGH SPEED INTERNET”.
So, when it is agreed that geographical boundaries are virtually inexistent today, why are businesses (at least some of them) still thinking & functioning like they were in the late 90’s?
The most common question I face over my engagements with Cofounders of Startups, both early & growth stage is, “We have this next (x) million target for the quarter & we find ourselves at crossroads over the optimal route to get there. How do I choose? How do I grow this thing?”
The most trivial of thought processes & a common route that any advisor would propose in such cases is to identify a market segment that could top the charts as for relevance (& of course projections) & then craft GTM strategies around getting the product out there to those designated user groups. That’s only fair but for one slight problem. A GTM could be easily replicated by the competition as well. Can one really feel safe around it then?
Think about it. If you see a sports gear manufacturer taking an exorbitant amount of interest to a sport that’s local to a geography & decides to promote an upcoming event, how much time would it take for a competitor to realize the rationale behind that move & then sponsor something similar / find something that’s much larger in scale to promote around the same game elsewhere?
Not much. Well! The first Advert that’s floated on the internet towards getting the masses aware could itself prove to be enough to provoke the competition to think on similar lines.
“So, that the trouble with a GTM. There’s usually very less one can do to protect it / make it hard to copy, unless one’s factored that in already & has curated some plans to combat it over building product itself”
The solution / workaround to this could be “MUTUALISM”.
Definition:
Mutualism describes a business relationship that could bring together two entities within an ecosystem, operating / catering to different market segments towards adding value to the users in such a fashion that both stand to benefit from the engagement, mutually.
OK, I know what you’re thinking. Isn’t this what a PARTNERSHIP is?
It won’t be wrong to say Partnership is a subsect of Mutualism when one of the prime differences is the way the entities come together, the terms & conditions defining the whole deal. When Partnership essentially & mandatorily involves some tangible exchange, Mutualism is more of an understanding at a conceptual / strategic level defining how the entities in question would come together & combine to add value to the users when individually owning & being accountable for the respective shares of the operations / businesses.
Mutualism could run into many forms & sizes. It could range from simple interaction between some small-scale organizations to large corporate juggernauts coming together to create something of a pathbreaking movement proving to be economically advantageous to all of them involved, not to mention the users standing to reap the best of it all.
But given the way the world works today & how integrated an ecosystem it is, one may have to look beyond just a plain vanilla GTM. It becomes quintessential to understand the ecosystem, the players in the markets given the table-stakes they own & how an orgs can stitch strategies focused on their own growth but also give the other entities / orgs more than an opportunity to grow along.
As a basic rule that’s a prerequisite in cementing any major / minor business presentation one ought to find the answer to the value question, which is - “how is this going to be beneficial for me?”
CASE STUDY: AI Styling App
Let’s take the example of an AI product that merely suggests people the best options towards styling them by smartly matching against their features & personalities.
And, the workflow of such an App could be pretty simple:
1. Download the App & Register
2. Upload a full-size photograph (portrait / landscape)
3. Select an occasion
4. Choose a few favorite colors
5. Click on “SURPRISE ME”
6. Browse listing & choose the best of the lot
7. Finalize the look
Now, there could be no doubt about the popularity of such a product amongst the Millennials / Gen-Z, Alpha & Beta. And INSTA could be the frontrunner (if not Go-To) as for a product like this, when it comes to pinning on one social channel for all the marketing activities, whilst TikTok, Snapchat & YouTube may not be a far second.
Yes. One could build all the engagement one wants over such Apps, but what about monetization?
If one is looking to get to a million-dollar revenue by maintaining status quo / mere spending on marketing here, that may not really yield richly.
So, can one think of a GTM around this? And how can MUTUALISM fit into the strategy there?
As for GTM one could think of solving for one of those last mile problems. And it could lead to a few additional steps in the workflow there.
So, the workflow would now have these steps in addition to the previous ones:
8. Browse shopping options
9. Add to Cart
10. Place Order
But if one had to bring MUTUALISM into the equation here, one could think of collaborating with a brand like say, Adidas. Now, every time someone shops with Adidas as a final step on the App they could be entitled to exclusive offers / discounts. Running such exclusive online deals would then obviously bring more orders to Adidas alright, but that would also help the App make handsome revenues.
Can’t some other apparel maker replicate this strategy? Well. They certainly could without a shadow of doubt. But, if 2 of the major players are bound under the mutualism strategy, such a deal could just rub off on their respective user bases & they could be a run away hit transforming both their businesses, one feeding off the other. Replicating that success (fast follower) may no longer be a question of possibility as it could then be down to replicating the success the competition is currently witnessing.
To conclude…
There here is absolutely no doubt that Mutualism could strategically serve as an impeccable platform for all business entities who would get involved. But it could come with a few pitfalls which one ought to be aware of & factor in before they look to speed away with it.