Startups

How to acquire customer research that shapes your go-to-market strategy

Comment

A white coffee mug on a white background that is overflowing with roasted coffee beans.
Image Credits: Xinzheng (opens in a new window) / Getty Images

Lucy Heskins

Contributor

Lucy Heskins is an early-stage startup marketing adviser and the creator of Oh, Blimey, a marketing resource for first-time founders and their teams. She focuses primarily on B2B SaaS as well as product-led startups in the HR and people tech spaces.

Before you can hire a full-time marketer, you must first get to know your potential customer and what is going on in their life that will ultimately trigger them into using you.

If you can get to grips with the below areas you’ll be much more prepared when deciding what type of marketing resource you want:

  • Why would a customer subscribe to your product?
  • What triggers your customer to decide your product is the one?
  • Who else are you competing against?

I’m going to introduce you to three frameworks that’ll help you get answers to the above, but more importantly, show you how to apply this to marketing and what it can help you unlock and learn. This topic is something I created a resource on: How to talk to people and land your first customer.

Why would a customer subscribe to your product?

You may have heard a marketer refer to Jobs to Be Done (JTBD). In essence, this is something that helps you to understand what your customer is looking to achieve when ‘hiring’ your product.

A basic example: You don’t hire a hammer to pop a nail in the wall, you hire a hammer to hang a picture to make your room look nice. The hammer is helping you make your room appear attractive, perhaps sellable, or stylish because you want to impress others.


Help TechCrunch find the best growth marketers for startups.

Provide a recommendation in this quick survey and we’ll share the results with everybody.


The same goes with a tech product. You need to work out what your product can help your customer achieve.

The process:

You want to interview the right customers and ask questions such as, ‘what are you ultimately trying to achieve? ‘What’s the first thing you’ll do’ or ‘Have you tried to fix this problem yourself, and if so, which products have you cobbled together?’

There’s certainly a science to the questions to ask, but the emphasis needs to be on what they are trying to accomplish. Take note, this can be a lengthy process because you have to really dig into interviews, but the rewards are totally worth it.

How to apply it to your startup’s marketing:

It can help you with targeting your customer base. There’s a chance you may identify a few potential jobs people wish to achieve. Use the findings to identify the group that will pay the most to get the ‘job’ done the best. This may help to speed up the sales cycle or identify more lucrative customer opportunities.

What triggers your customer to decide your product is the one?

Whilst there are many frameworks out there to help you navigate this customer research piece, the effective ones are broadly based on the work of Moesta. He suggests there are six stages a customer will go through when buying something: first thought, passive looking, active looking, deciding, onboarding and ongoing use.

The process:

Your customers don’t really care about you and your brand. In fact, when they first started exploring a potential solution, you may have not even come up on the list. The aim of this work is to talk with customers to learn what they did and where they went to research alternatives during the purchase process.

People don’t buy things randomly, there are a number of forces at play that will move you further along the buying process. Your aim is to interview customers documentary-style to learn what process, website, influencer and motivation kicked in and where.

How to apply it to your startup’s marketing:

Once you’ve learned your customers’ trigger points, you’re in a better position to understand where to place your brand, content and product – so in essence, you’re building the blocks of your go-to-market strategy. You want to understand how your customer looks for and buys a product like yours, and make sure you’re there at the right time.

These interviews will give you an idea of what emotions, motivations and feelings a customer had. This is all useful information that can also help you with the creative in your advertising and the copy you use throughout the customer experience.

You can also use this to explore whether a sales-led or product-led strategy is best to pursue. Asking about the details of the sign-up process, and the questions they may have, and the complexities they need are details to consider.

Who else are you competing against?

There are three types of competitors: direct, indirect and replacements.

  • A direct competitor is a business that offers the same/similar product in the same category as the one you operate in.
  • An indirect competitor is a business that offers the same/similar product but in a different category.
  • The replacement competitor is a business that sells a different product, but it still (kind of) gets the job done.

The process:

Your aim is to collect information about who else is competing with your product. You can collect this information from the interviews you may have run with customers, but also from pop-up surveys and interactive tools.

First off, list the direct and indirect competitors you may have. You can find this from lost deals but also who else is competing or bidding for certain keywords in search engines. To best understand who may be a replacement competitor, you need to understand what your customers’ jobs to be done is.

There’s a great example that helps to highlight the application of this: take the online video tool, Zoom. A direct competitor of Zoom could be MS Teams, an indirect competitor could be video calling on your smartphone. And a replacement competitor could be a flight to meet that person, face to face.

How to apply it to your startup’s marketing:

If you’re an early-stage startup with no real idea of what customer acquisition channels to pursue – look at what your competitors are doing. It’ll give you an indication of the way potential customers buy.

Positioning. Once you learn who you are really competing against, and for which customer segment, you’ve got the chance to work on your positioning. What’s the one thing you do really well? How will you use this against your competitors? This informs everything from strategy to the words on your website, to the marketing activity you choose to get involved in (and not get involved in!)

What happens after you’ve collected this information?

Once you’ve got the answers you need from these three core areas, you’ll then need to create a Voice of Customer document. This is a document that will help you see the gap between customer expectations and what actually happens. This can help form the basis of your startup’s customer-led growth strategy — a strategic approach by the founders of Forget the Funnel.

You can run this process on your own, with a consultant who is versed in extracting the right unbiased information and your team. But the important thing is to act upon it.

These are just a handful of frameworks and theories out there designed to help you really get to understand people and move you one step closer to securing your first customer.

I’ve written further about startup customer validation processes and what can go wrong, as well as ways to really learn who your startup is competing against.

It’s a process you have to take part in regularly. That’s because the way a customer derives value from a product changes over time. Their circumstances, their job, their living arrangement, their lifestyle can change at any moment and lead them to reassess the products they subscribe to. This approach will help you know what’s coming next.

More TechCrunch

AI models are always surprising us, not just in what they can do, but what they can’t, and why. An interesting new behavior is both superficial and revealing about these…

AI models have favorite numbers, because they think they’re people

On Friday, Pal Kovacs was listening to the long-awaited new album from rock and metal giants Bring Me The Horizon when he noticed a strange sound at the end of…

Rock band’s hidden hacking-themed website gets hacked

Jan Leike, a leading AI researcher who earlier this month resigned from OpenAI before publicly criticizing the company’s approach to AI safety, has joined OpenAI rival Anthropic to lead a…

Anthropic hires former OpenAI safety lead to head up new team

Welcome to TechCrunch Fintech! This week, we’re looking at the long-term implications of Synapse’s bankruptcy on the fintech sector, Majority’s impressive ARR milestone, and more!  To get a roundup of…

The demise of BaaS fintech Synapse could derail the funding prospects for other startups in the space

YouTube’s free Playables don’t directly challenge the app store model or break Apple’s rules. However, they do compete with the App Store’s free games.

YouTube’s free games catalog ‘Playables’ rolls out to all users

Featured Article

A comprehensive list of 2024 tech layoffs

The tech layoff wave is still going strong in 2024. Following significant workforce reductions in 2022 and 2023, this year has already seen 60,000 job cuts across 254 companies, according to independent layoffs tracker Layoffs.fyi. Companies like Tesla, Amazon, Google, TikTok, Snap and Microsoft have conducted sizable layoffs in the first months of 2024. Smaller-sized…

4 hours ago
A comprehensive list of 2024 tech layoffs

OpenAI has formed a new committee to oversee “critical” safety and security decisions related to the company’s projects and operations. But, in a move that’s sure to raise the ire…

OpenAI’s new safety committee is made up of all insiders

Time is running out for tech enthusiasts and entrepreneurs to secure their early-bird tickets for TechCrunch Disrupt 2024! With only four days left until the May 31 deadline, now is…

Early bird gets the savings — 4 days left for Disrupt sale

AI may not be up to the task of replacing Google Search just yet, but it can be useful in more specific contexts — including handling the drudgery that comes…

Skej’s AI meeting scheduling assistant works like adding an EA to your email

Faircado has built a browser extension that suggests pre-owned alternatives for ecommerce listings.

Faircado raises $3M to nudge people to buy pre-owned goods

Tumblr, the blogging site acquired twice, is launching its “Communities” feature in open beta, the Tumblr Labs division has announced. The feature offers a dedicated space for users to connect…

Tumblr launches its semi-private Communities in open beta

Remittances from workers in the U.S. to their families and friends in Latin America amounted to $155 billion in 2023. With such a huge opportunity, banks, money transfer companies, retailers,…

Félix Pago raises $15.5 million to help Latino workers send money home via WhatsApp

Google said today it’s adding new AI-powered features such as a writing assistant and a wallpaper creator and providing easy access to Gemini chatbot to its Chromebook Plus line of…

Google adds AI-powered features to Chromebook

The dynamic duo behind the Grammy Award–winning music group the Chainsmokers, Alex Pall and Drew Taggart, are set to bring their entrepreneurial expertise to TechCrunch Disrupt 2024. Known for their…

The Chainsmokers light up Disrupt 2024

The deal will give LumApps a big nest egg to make acquisitions and scale its business.

LumApps, the French ‘intranet super app,’ sells majority stake to Bridgepoint in a $650M deal

Featured Article

More neobanks are becoming mobile networks — and Nubank wants a piece of the action

Nubank is taking its first tentative steps into the mobile network realm, as the NYSE-traded Brazilian neobank rolls out an eSIM (embedded SIM) service for travelers. The service will give customers access to 10GB of free roaming internet in more than 40 countries without having to switch out their own existing physical SIM card or…

12 hours ago
More neobanks are becoming mobile networks — and Nubank wants a piece of the action

Infra.Market, an Indian startup that helps construction and real estate firms procure materials, has raised $50M from MARS Unicorn Fund.

MARS doubles down on India’s Infra.Market with new $50M investment

Small operations can lose customers by not offering financing, something the Berlin-based startup wants to change.

Cloover wants to speed solar adoption by helping installers finance new sales

India’s Adani Group is in discussions to venture into digital payments and e-commerce, according to a report.

Adani looks to battle Reliance, Walmart in India’s e-commerce, payments race, report says

Ledger, a French startup mostly known for its secure crypto hardware wallets, has started shipping new wallets nearly 18 months after announcing the latest Ledger Stax devices. The updated wallet…

Ledger starts shipping its high-end hardware crypto wallet

A data protection taskforce that’s spent over a year considering how the European Union’s data protection rulebook applies to OpenAI’s viral chatbot, ChatGPT, reported preliminary conclusions Friday. The top-line takeaway…

EU’s ChatGPT taskforce offers first look at detangling the AI chatbot’s privacy compliance

Here’s a shoutout to LatAm early-stage startup founders! We want YOU to apply for the Startup Battlefield 200 at TechCrunch Disrupt 2024. But you’d better hurry — time is running…

LatAm startups: Apply to Startup Battlefield 200

The countdown to early-bird savings for TechCrunch Disrupt, taking place October 28–30 in San Francisco, continues. You have just five days left to save up to $800 on the price…

5 days left to get your early-bird Disrupt passes

Venture investment into Spanish startups also held up quite well, with €2.2 billion raised across some 850 funding rounds.

Spanish startups reached €100 billion in aggregate value last year

Featured Article

Onyx Motorbikes was in trouble — and then its 37-year-old owner died

James Khatiblou, the owner and CEO of Onyx Motorbikes, was watching his e-bike startup fall apart.  Onyx was being evicted from its warehouse in El Segundo, near Los Angeles. The company’s unpaid bills were stacking up. Its chief operating officer had abruptly resigned. A shipment of around 100 CTY2 dirt bikes from Chinese supplier Suzhou…

1 day ago
Onyx Motorbikes was in trouble — and then its 37-year-old owner died

Featured Article

Iyo thinks its GenAI earbuds can succeed where Humane and Rabbit stumbled

Iyo represents a third form factor in the push to deliver standalone generative AI devices: Bluetooth earbuds.

1 day ago
Iyo thinks its GenAI earbuds can succeed where Humane and Rabbit stumbled

Arati Prabhakar, profiled as part of TechCrunch’s Women in AI series, is director of the White House Office of Science and Technology Policy.

Women in AI: Arati Prabhakar thinks it’s crucial to get AI ‘right’

AniML, the French startup behind a new 3D capture app called Doly, wants to create the PhotoRoom of product videos, sort of. If you’re selling sneakers on an online marketplace…

Doly lets you generate 3D product videos from your iPhone

Elon Musk’s AI startup, xAI, has raised $6 billion in a new funding round, it said today, as Musk shores up capital to aggressively compete with rivals including OpenAI, Microsoft,…

Elon Musk’s xAI raises $6B from Valor, a16z, and Sequoia

Indian startup Zypp Electric plans to use fresh investment from Japanese oil and energy conglomerate ENEOS to take its EV rental service into Southeast Asia early next year, TechCrunch has…

Indian EV startup Zypp Electric secures backing to fund expansion to Southeast Asia