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Why Your Go-to-Market Strategy Is Failing—and How to Fix It

24.11.2025By Marijan Mumdziev
Why Your Go-to-Market Strategy Is Failing—and How to Fix It
Struggling with slow growth? Discover why most startups miss revenue goals by neglecting GTM strategy and learn how to avoid common go-to-market mistakes.

Your eyes might glaze over when someone mentions "go-to-market strategy," but here's the truth: if growth is slowing and expenses climbing, this is likely where things went wrong. Over 70% of B2B startups that skip creating a solid GTM process miss their first revenue targets. How quickly you address GTM will determine your early-stage survival more than almost anything else.

Why founders overlook GTM

Founders (especially technical ones) often act like the product is everything. With constant startup pressure, planning how to get customers feels less urgent.

Here's why this happens:

  • Product-centric bias: Many believe their product is so amazing it will sell itself.
  • Resource constraints: Limited time pushes teams to focus on what feels urgent - like coding or investor meetings.
  • Iterative culture: The "test and learn" mindset can make thorough planning feel outdated.
  • Founder-led sales: Early wins through the founder create the illusion that a formal plan isn't needed.
  • Evolving targets: When you're still figuring out your ideal customer, detailed plans might seem premature.

What it costs you (money, growth, investor trust)

Poor GTM execution is a major reason startups fail. The consequences show up quickly:

The financial drain of a poor strategy

Without a GTM framework, you'll waste money. Over 72% of founders base ideal customer profiles on gut feeling rather than data:

  • Inflated CAC: Startups relying on hunches pay up to 40% more to acquire customers.
  • Wasted marketing spend: Nearly 7 out of 10 young SaaS companies waste over a quarter of their GTM budget on non-converting prospects.
  • Burn rate up: Inefficient campaigns burn through cash faster, shortening your runway.

Reason #1 why GTM is essential: It accelerates product-market fit

Startups that update their GTM strategy monthly find product-market fit 2.3 times more often within 18 months. This creates rapid feedback loops that help you learn quickly.

Reason #2 why GTM is essential: It provides data-backed customer clarity

Today's AI-driven tools analyze company characteristics and user behaviors to point you toward likely buyers. Early adopters see 50% more qualified leads in just months.

This technology helps you:

  1. Test new segments in days, not quarters.
  2. Shrink research time by up to 70%.
  3. Cut down on failed experiments by focusing on promising opportunities.
  4. Automatically rank leads so best prospects don't get lost.

Reason #3 why GTM is essential: It builds a predictable revenue engine

Companies with formal GTM processes report 31% faster revenue growth. A structured approach works like a GPS for your team: identifying markets, refining your message, and creating steps for finding loyal customers.

Adopting a data-driven GTM approach gives you a head start. By using smarter tools and clear processes, founders can reach product-market fit faster and build an engine that drives real growth.

References

  1. Approach - Initialized
  2. NFX - About
  3. First Round Review
  4. Gainsight Pulse Europe | 12-13 November 2025 in Dublin
  5. The Top 12 Reasons Startups Fail
  6. Home | First Round
  7. How We Work | First Round
  8. PMF Method | First Round
  9. News | First Round
  10. Team | First Round
  11. Home - Bessemer Venture Partners
  12. Philosophy - Bessemer Venture Partners
  13. Raving Fans + Gong = <3 | Gong
  14. Gong Forecast - AI Sales Forecasting Application
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