In software, product risk is decreasing fast while distribution risk is increasing at least equally as fast.
Let me explain ??
With recent advancements in AI / coding co-pilots, it’s become easier and faster to build (software) products than ever before. And with English quickly becoming the #1 coding language, this trend will continue.
Historically, simply being able to build a good product was often enough to differentiate.
This isn’t the case anymore. Which, from an investor’s point of view, means that product risk has decreased significantly across the board.
While this is great for the ecosystem overall - especially for end users - it’s not all good news (depending on who you ask) as this is making other things harder and more important. Most notably, being able to nail distribution (aka go-to-market) from the start.
Most (at least application layer) companies use similar / the same underlying technology stack and can build great products fast than ever before.
Thus, to be able to build differentiated products, founders and product teams need to gain access to proprietary customer data and workflows to train their models as soon as possible.
This?further?increases the urgency to nail distribution even earlier in the life of a startup.
On top, with so many smart and driven people able to build great products and bring them to market increasingly efficiently (thanks to the growing number of AI sales tools), it’s now also harder than ever to break through the noise—no matter how great your product is.
As a result, an increasing number of founders and operators argue that nailing go-to-market is now?the most critical aspect of early startup success.
Recognizing this, we (focal) made the decision two years ago to lean even further into our focus of helping the strong technical founding teams we seek to back nail their (B2B) GTM from the start.
That’s why we publicly launched?The GTM Circle?a year ago today - a highly curated and facilitated network of GTM executives at Seed through Series D startups.
Since launch,?The GTM Circle?has become the most relevant peer network for 175+ of the brightest minds in early stage Go-To-Market.
It’s been incredible to see the level of collaboration, support and connection not just amongst members, but also between members and the founders we get to back.
Thank you to all the members that make this such a vibrant and high impact community for everyone involved.
Including Basile Senesi, Leah Cohen-Shohet, Lucas Piazza, Sean Hiss, Robert Williams, Andrew Shoaff, Austin Ward, Brian Shealey, Colby Morgan, Darcey Harrison, Halle Kaplan-Allen, George Cerny, Jay Filiatrault, Joe Rizzo, Mark Fisher, Guillaume Jacquet, Timothy L., Tim Huang, Nick Mandelstein, Michelle Mckinley Ultimo, Max Feider, and so many more!
It's been an incredible year with you all. Here’s to many more years of The GTM Circle!
Plus a special thank you to Sydney who's doing such an incredible job behind the scenes ?? !