Home Marketing strategy Finding GTM, the suppression of electronics technologies in China and how to...

Finding GTM, the suppression of electronics technologies in China and how to define growth – TechCrunch

1
0

Start-ups tend to claim that their go-to-market strategy is fully operational. In reality, GTM is a stark numbers game, and even with a solid plan in place, it can be easily foiled by common issues like turf battles and poor communication.

Finding the fit for GTM is a big step for any startup that includes everything from expanding the engineering team to launching your first media buy. But how do you know when you’ve reached that magical moment?

“There are three things you need to consider: gross churn, magic number, and gross margin,” says Tae Hea Nahm, co-founder and CEO of Storm Ventures.

High churn means customers aren’t happy, low gross margins mean poor unit economics, and that so-called magic number?

“You can calculate it by taking the new ARR divided by your marketing and sales expenses,” writes Nahm. “But keep in mind that the magic number is a lagging indicator, and it may take you a few quarters to see a positive result.”


Full Extra Crunch articles are only available to members
Use discount code Friday to save 20% on a one or two year subscription


If you are methodical in your approach to building a larger customer base, it is not difficult to foster steady growth.

Marketers who change direction, regardless of the direction of the wind, or who blindly follow someone else’s idea of ​​best practices, are less likely to be successful.

“The not-so-secret secret here is that the key to good retention is really simple,” Susan Su, growth expert, recently told TechCrunch Early Stage: Marketing and Fundraising. “It’s building a product that solves a real and most importantly persistent problem for people.”

In a conversation with Editor-in-Chief Eric Eldon, Su looked at several questions, including tips on how founders should discuss growth with investors, and her methods of developing a sample model. of qualitative growth.

“I firmly believe that every founder should try their hand at growth,” said Su.

Thanks so much for reading Extra Crunch this week!

Walter thompson
Editor-in-Chief, TechCrunch
@yourprotagonist

How we built an AI unicorn in 6 years

Image credits: Lucas Knappe / EyeEm (Opens in a new window)/ Getty Images

Few startups are entering the market with the exact product their founders initially envisioned.

Today, Tractable is known for developing technology that allows drivers to upload photos of their vehicles after a crash so its AI can assess the damage. However, its first paying customer used Tractable to inspect plastic pipe welds.

And as fate willed it, this client also fired them just as the founders lifted their first round.

“We found gold with auto insurance,” says co-founder Alex Dalyac, because it was “a huge and inefficient market that was in desperate need of modernization”.

In a guest post for Extra Crunch, he shares several takeaways from the past six years of scaling up a unicorn that’s valuable to founders of all stripes. The first step?

“Look for complementary co-founders who will become your best friends,” advises Dalyac.

The European venture capital market is so hot it can skip summer vacations

Image credits: Nigel sussman (Opens in a new window)

Alex Wilhelm and Anna Heim continued their exploration of the hot global venture capital market, this time taking a look at Europe.

To put it into perspective, they analyzed data from Dealroom and spoke to four VCs about the continent’s investment climate:

  • Diana Koziarska, SMOK Ventures
  • Vinoth Jayakumar, Spirit Draper
  • Simon Schmincke, Creandum
  • Javier Santiso, Mundi Ventures

“There is little indication that what we have seen so far in Europe in 2021 will slow down in the third or fourth quarter,” write Alex and Anna.

“Even though Europe is renowned for its long summer vacations, investors do not expect a significant slowdown, if any, in Europe during this sunny quarter.”

Startups and investors turn to micromobility subscriptions

Image credits: Bryce durbin

“Amid the chaos of the COVID-19 pandemic and the murky road to profitability of shared electric micromobility, a growing number of companies have turned to subscriptions,” Rebecca Bellan writes in a summary on the future of micromobility.

“It’s a business model that some founders and investors say hits the profit center – an approach that appeals to customers who are reluctant to share and pay up front to own a scooter or electric bike, while minimizing the costs. overhead and depreciation. actives.

What Robinhood’s Crypto Trading Warnings Say About Coinbase’s Short-Term Future

Image credits: Nigel sussman (Opens in a new window)

After noting that Robinhood was anticipating a drop in revenue in the third quarter due to the downturn in crypto trading, Alex Wilhelm began to think about what this forecast means for Coinbase.

“The now public unicorn has been through crypto ups and downs,” he writes. “A decline in consumer interest over the next few months or quarters is no big deal, assuming one keeps the outlook long enough and the crypto-infused future that its fans are waiting for comes true. “

But will he do it?

Dear Sophie, Should we look to Canada to retain international talent?

solitary figure at the entrance of a maze hedge that has an American flag in the center

Image credits: Bryce Durbin / TechCrunch

Dear Sophie,

I manage people operations as a consultant in several different tech startups. Many have employees on OPT or STEM OPT who were not selected for this year’s H-1B lottery.

Businesses want to keep these people, but they are running out of options. Some companies will try next year’s H-1B lottery again, even if they face long odds, especially if the H-1B lottery becomes a salary-based selection process next year.

Others are studying O-1A visas, but find that many employees do not yet have the experience to meet the qualifications. Should we be looking at Canada?

– Silicon Valley specialist

Silicon Valley communications expert Caryn Marooney on how to nail the narrative

Caryn Marooney, right, vice president of technology communications at Facebook, poses for a photo on the red carpet for the 6th Annual Revolutionary Awards 2018 at Moffett Federal Airfield, Hangar One in Mountain View, Calif., On Sunday 3 December 2017.  (NOT

Image credits: MediaNews Group / Bay Area News via Getty Images (Opens in a new window)/ Getty Images (Image has been modified)

Caryn Marooney, a Silicon Valley communications professional turned venture capitalist, spoke at length about storytelling at TechCrunch Early Stage: Marketing and Fundraising.

Throughout her time in Silicon Valley, she has helped companies like Salesforce, Amazon, Facebook and many more launch products and refine their messages. In 2019, she left Facebook, where she was vice president of technology communications, and joined Coatue Management as a general partner.

Marooney uses the acronym RIBS to describe its basic strategy for startup messaging: relevance, inevitability, credibility, and simplicity.

Canadian startup market explodes alongside global venture capital investments

Image credits: Nigel sussman (Opens in a new window)

For The Exchange, Alex Wilhelm and Anna Heim took a look at the Canadian VC market in the first half of 2021, and if you’ve read their work, you know what’s coming.

Canada, like the rest of the world, were absolutely scorching in the first half.

“Canada’s venture capital performance now rivals the Latin American region as a whole, with roughly equivalent second quarter exits and mega-deals and a similar number of venture capital rounds during the period, ”they write.

“It caught our attention.”

Mike Duboe from Greylock on How to Define Growth and Build Your Team

With more venture capital funds flowing into the startup ecosystem than ever before, there’s never been a better time to be a growth expert.

At TechCrunch Early Stage: Marketing and Fundraising earlier this month, Mike Duboe of Greylock Partners delved into a number of lessons and wisdom he has gained while leading the growth of a number of high-growth startups, including StitchFix. His advice spanned recruiting, structure, and analysis, with plenty of recommendations on where growth teams should focus their attention and resources.

Last mile delivery to Latin America is ready to take off

cardboard box flies through outer space powered by two rocket rockets

Image credits: Erlon Silva / Digital TRI (Opens in a new window) / Getty Images

Thanks to sprawling distribution centers, seamless logistics networks, and ubiquitous internet access, consumers in many areas can now order groceries and a new set of cookware during breakfast and wait. reasonably so that everything arrives in time for dinner.

In Latin America, the lack of technological infrastructure makes delivery operations complex, and these supply chains are often managed with spreadsheets, paper and pen.

Algorithms that manage delivery routes or automatically dispatch drivers “are almost unknown in the retail logistics industry in Latin America,” says Bob Ma, investor at WIND Ventures.

But thanks to growing consumer demand and increased investment in last mile delivery startups, Ma says the region is at a turning point.

Since the middle class in Latin America has grown by 50% over the past decade and e-commerce accounts for only 6% of all retail businesses, several unicorns have appeared in recent years, with more than waiting backstage.

China’s expected edtech crackdown could chill a key startup sector

Image credits: Nigel sussman (Opens in a new window)

China’s edtech industry is estimated at $ 100 billion, but its executives are reportedly considering a plan that would force these companies to operate as nonprofits.

“When it comes to control, the Chinese government is quick to wipe out tens of billions of dollars in market capitalization here and there,” writes Alex Wilhelm in this morning’s edition of The Exchange.

“It’s not a good system.



Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here