3 examples of GTM micro-tests

Sweta Govani
July 18, 2024

In the last issue, I wrote about go-to-market (GTM) micro-testing (the hypotheses-driven GTM process I use with founders to get more Happy Paying Customers for their startups). This issue is a story with two examples of GTM micro-tests in practice, and one example of a founder who hit $350K ARR using this process.

GTM micro-testing with customer 1

A founder, we’ll call her L, said to me in confidence: “My business priority is to invalidate my go-to-market hypotheses. I want to be in an environment with peers where I feel it's not me as a person who is wrong. Instead it is just my business that this [test] is a wrong fit for."

This is a relatively new member of the Founder-Led Marketing Club (FLMC). She said this to me during our office hours last month. She was responding to my question about how I can be more helpful to founders like her who are at the 0-to-1 stage.

L is brilliant. She’s got just the mix of vision and grit that you need to build successful startups. She’s figured out a way to 100% automate a DREADED task in a specific industry that she has experience in. Brilliant, truly.
This is a task that is necessary for her target customers. They either outsource it to off-shore talent, or spend their nights / weekends doing it themselves. Perfect use case of AI? I’d say so! But, here’s the kicker: she’s not actually built the ‘product’. Instead, she’s taking the service-as-a-software route (more on this in a later issue).
L has one Happy Paying Customer so far. It was after closing the deal with them that she figured out the automation. She’s got a great price per month for this customer. And her operations cost is negligible right now. With under 200 customers she could hit a comfortable $1M ARR. She’s just getting started, and all signs point in the right direction.

This is what I mean by go-to-market (GTM) micro-testing. We look at the business holistically and think about the customer segment, positioning, pricing, sales cycle, marketing, and product. We develop our hypotheses for all of these that appear to ‘fit together’. Then, we execute a micro-test focused on the riskiest hypotheses. In L’s case the riskiest hypotheses are getting right fit customers to pay, and delivering value in a cost efficient way. Check and check.

During the FLMC office hour, we chatted about what’s working for her. L told me how she landed the customer, what their pain points are, how she’s solving the problem for them, why they chose to work with her over their current status quo and alternatives. Then, we brainstormed specific ideas for what micro-tests to run next.

GTM micro-testing to nail positioning

I asked L what else I could be doing to support her. To my surprise, she broke down EXACTLY what she needs:

A group of peers also on their journey to 10 Happy Paying Customers.
A 6-week program to (in)validate her go-to-market (GTM) hypotheses.
Weekly structure, tutorials and templates for what to do.
Accountability and gamification to get it done.
Peer check-ins for when I am blocked.
Focus on GTM micro-testing.

She did not stop there. After the call, she sent me a 3-page document with this bootcamp concept. She gave me specific programs she’s considered. And, exactly why none of them are a fit for her.

Who doesn’t want their ideal customer to pitch you on what to do for them? It was a dream come true. L is not the first one to request this cohort concept. Many other founders have asked for the same. But L is the first one who created 80% of the concept for me. She even named it: 6-Week Founder GTM Bootcamp (more on that below).

This is GTM micro-testing in action for my own business. I’ve been running a variety of different pricing and positioning tests for the last 2 years. L told me that she really liked the concept of GTM micro-tests and pitched me a program centered around it.

This is a relatively new term I introduced to describe the work I have been doing with startups for years. Its just words, yes. But, if you’re a founder who has struggled to figure out how to position your business, you know this is not a small achievement. And, I discovered a new product along the way!

GTM micro-testing to $350K ARR

Recently, another FLMC member, Ashley Chang’s bootstrapped business, Sunday’s, hit $350K ARR. Last week, Ashley shared on LinkedIn that ‘experiments’ have been an important part of her routine since she joined FLMC (pictured below).

Imagine GTM micro-testing your way to $350K+ ARR!
It is possible, and Ashley has done it. Here are 3 options for you:

Want your first 1-10 Happy Paying Customers? Apply for the upcoming cohort of the 6-Week Founder GTM Bootcamp that L helped me design.
- For transparency, spots are limited. 2 founders have booked their seats. 2 more gave me verbal commitments. All within a week of soft-launching it via my LinkedIn.
Have early traction? Join a Founder GTM Peer Group with structured sessions for accountability on your experiments, and learn from your peers’ GTM micro-tests. 5 spots available.
Need help designing your GTM micro-tests? Work with me via weekly 1:1s to prioritize ideas, design micro-tests, and execute. Only 2 spots available.

Apply and book a free consultation here for any of these options.

Or, hit reply with any questions you have right now.

If you read till here, truly thank you! I am grateful for your time.

I am committed to making this newsletter a helpful and inspiring resource for founders on their 0 to $1M journey. What else would you want to hear about? Reply with your requests. I read and respond to every email.

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