Lean Budget, Small Team, No Problem: GTM for Startups with Sahil Sethi
Sahil Sethi, VP of Global Product Marketing at Freshworks and author of the best-selling Product Marketing Level Up, has seen it all when it comes to launching products in competitive markets. If you're an early-stage startup, the go-to-market process can feel like trial by fire.
"You don’t have the luxury of endless trial and error," says Sahil. "With a small team and limited resources, every decision matters—especially in the early days when missteps can cost you growth or a well-timed entry." Sahil's go-to-market strategies have driven massive revenue growth and even led to Klaviyo and Qualtrics' IPOs. Here are common problems founders face when executing GTM, along with advice from Sahil on tackling them head-on:
Customer Churn: Catch It Early
The problem: Churn kills momentum. For startups, losing customers early can halt growth before it even starts. Worse, churn can sneak up on you, going unnoticed until it's too late. It's proven to be a major detractor from growth.
Sahil’s insight: Proactively understand customer needs. Sahil’s experience at Qualtrics, where he managed CoreXM’s massive install base and led successful rebrands and pricing modernizations, taught him that understanding customer pain points directly drives product success. "The biggest mistake is thinking you can chase churn after it starts,” he says. “You need to catch the warning signs early, or you’ll always be firefighting."
His message is simple: Stay close to your customers. Offer personalized onboarding and maintain consistent communication, even if it’s just you and a co-founder managing everything.
Not Enough Iteration on Product-Market Fit
The problem: Premature scaling. Many startups rush into growth without truly validating their product-market fit (PMF), which can lead to wasted resources and low-impact first steps. Unfortunately, the average B2B takes two years to approach a confident PMF.
Sahil’s insight: Get comfortable with iteration. At Klaviyo, Sahil built a launch engine that relied heavily on constant iteration based on customer insights, perfecting the PMF as the company shifted into a broader marketing automation platform. "In the beginning, speed doesn’t come from rushing into growth. It will come from refining your product based on real customer feedback. Winning is about getting your story straight before anything else."
Sahil advises startups to build early feedback loops with their users. "Your first customers are your biggest asset. Listen to their feedback, make changes, and iterate until you know you’ve hit the mark."
Lack of Clear Positioning
The problem: Confusing messaging. Startups often struggle with too many ideas, but if your audience can’t quickly understand how your product solves their problem, your GTM strategy won’t gain traction.
Sahil’s insight: Nail your messaging from the start. At BetterUp, Sahil led a complete overhaul of the company’s sales collateral, realigning its messaging to match customer expectations, tripling their logo win rate and leading to a $15 million pipeline in just two months. "In the early stages, focus on one key value proposition. Make it yours. Don’t try to be everything to everyone."
Startups often fall into the trap of trying to appeal to a wide audience. Sahil recommends narrowing your focus: "Find the one problem you solve better than anyone else and build your messaging around that."
Running Out of Cash Before Hitting Traction
The problem: Burning through cash. Launches are expensive, and without quick traction, you might run out of money before you gain momentum.
Sahil’s insight: Be realistic about your burn rate. "You don’t have the cashflow buffer of a large company," says Sahil, "so focus only on the activities that drive measurable results."
At Freshworks, Sahil oversees a $700 million product portfolio, managing strategic launches across multiple product lines—but each is planned with careful budget allocation. He suggests startups focus on cost-effective marketing channels, such as organic content or community-driven growth, until they have traction. "It's much easier to move between channels when your company still fits in a selfie. Use your agility and size to your advantage."
Slow Decision-Making
The problem: Too much deliberation. In startups, slow decision-making leads to missed opportunities.
Sahil’s insight: Fast, iterative decisions win. Sahil always stresses this point to marketers at his AMAs. In the early stages, startups can’t afford slow decision-making. "These aren't board meetings, and your stakeholders are you and your team. You won’t have all the data, and that’s okay—what matters is moving forward, learning, and course-correcting as you go."
Rather than waiting for perfect information, startups need to be able to test, learn, and pivot quickly. He advises focusing on quick wins that build momentum, even if they don’t immediately drive huge impact.
The Takeaway
Sahil offers this bottom line: "When you’re a startup, the GTM process is going to feel like sprinting a marathon. There’s little room for indecision or wasted resources, but it’s important to stay open-minded and empathetic to your team. They’ll need your support just as much as you need theirs. Listen to your customers, listen to your team, and don’t be afraid to course-correct. That’s the mindset that will carry you through those high-pressure early stages."
By watching out for these common GTM pitfalls and staying focused on execution, small teams can carve out their space and succeed, even in the face of intense market competition.
On slow decision-making, I recommend reading the book The Hard Thing About Hard Things by Ben Horowitz, it's about building a business when every decision is hard, helped me massively!