Grow Your Security Company Series, Part 3: Create a Go to Market Strategy for your Security Company
Crafting a Robust Go-to-Market Plan for Security Companies: A Deep Dive
In the labyrinthine world of the security industry, the difference between survival and extinction often
boils down to strategy—specifically, your Go to Market (GTM) Strategy. The devil is in the details, and this article aims to dissect those details, shedding light on crafting a comprehensive GTM plan that can turn the tide in your favor. We won't sugarcoat it; this is a complex process and one that we at Redcoat Media specialize in, but we firmly believe that you cannot know where you need to go if you do not know where you are or have a map to get you there. So, grab your notepad, and let's dive in.
Why the Need for a Security-Specific GTM Strategy?
When it comes to the security industry in the U.S., general business strategies can fall flat. You're not selling consumer goods; you're selling peace of mind, trust, and oftentimes, a line of defense. Therefore, your GTM strategy must be as complex as the services you offer. It needs to account for compliance issues, competitive landscapes, and unique buyer personas that can range from large corporate enterprises to local homeowners’ associations and government institutions.
The Blueprint: Components of a Robust Go-to-Market Strategy
If you are reading this you have probably been in the security industry for a while and have a good understanding of our industry's complex landscape. However, you might still wonder, "How do I navigate it to market my services more effectively?"
The key lies in your Go-to-Market (GTM) Strategy or Plan—a specialized roadmap that goes beyond basic business plans to offer a tailored approach to entering or expanding in the market.
Unlike a one-size-fits-all model, this intricate plan accommodates the multifaceted variables unique to the security sector and your business. From understanding the nuanced roles of decision-makers to grappling with regulatory constraints you need to consider a multitude of information. Let's break down the essential components that construct this comprehensive Go to Market strategy.
Whether it's dissecting the psychographics of your customer personas or researching the competitive landscape, a powerful GTM strategy incorporates several vital elements. These elements range from Target Audience Analysis and Market Segmentation to the nitty-gritty details of Pricing and Sales Channels. Why does each component matter?
Because, in an industry as complex and critical as security, the margin for error is negligible and details matter.
Target Audience Analysis
Customer Personas:
Identify the decision-makers in your target businesses. Are you targeting the CTOs, Security Managers, or the CEOs? What keeps them up at night? Knowing this helps in crafting laser-focused marketing campaigns. For Further reading on this subject read our article “Grow Your Security Company Series, Part 1: 40+ Questions Every Security Company Must Answer”
Market Segmentation & Positioning
Verticals:
Do you specialize in retail security, commercial buildings, or residential properties? Each vertical has unique pain points and necessitates different solutions. What are they? How can your company position itself as a leader in that vertical?
Regulatory Landscape:
Understanding federal, state, and local laws that affect your target market is crucial for positioning.
Value Proposition
What sets you apart from your competitors? In the security industry, features alone won't cut it. You need to sell solutions, not just products. The amount of security companies we speak with each week has led us to believe the majority of them have not (until they speak with us) thought deeper than superficially about what sets them apart from their competitors.
Every security guard company says they have the best Training, officer selection process and criteria, HR team, Guard Tour Management System, and management team. If these are your go-to differentiators then you need to figure out some other things that set you apart that other companies are not doing.
When we were at GSX this year we spent a lot of time learning about companies and what they offered, the times I went to a booth that offered a product that had a competitor providing a similar product (Travel Monitoring Systems for Example) and the salesperson would say “we are the only one to do X” and I would be thinking “your competitor on the isle over just said the same thing”. Don't just know your own solutions, know your competitors and learn what you do better.
Pricing Strategy
This is not a 'one-size-fits-all' situation. Pricing may vary depending on the vertical, the complexity of the solution, Risk levels, or even geographical considerations. You may also encounter RFPs (Requests for Proposals) and need to be prepared to articulate your value in dollars and cents. You should be regularly monitoring what your competitors are paying and charging for their solutions.
Particularly so in the guard industry, over the last few years they have seen huge pay shifts in many states that have created the need to go back to customers to ask for higher rates to keep up with recruitment. As we write this California has just increased its “Fast Food Workers” pay to a minimum of $20 per hour which will surely create a need in the security industry to increase wages to compensate its officers and retain them. This isn't scheduled to go into effect until April 2024 but we can expect to see a ripple effect for security providers who operate in California.
Sales and Distribution Channels
Traditional sales models may not always apply here. Your sales force should be experts not just in selling but in understanding the nuances of various security solutions in the marketplace.
If you are a guarding company your sales team needs to understand how access control and other technologies can play into what your onsite team can do and how they can support each other as a force multiplayer.
If you are a tech company in the security space your sales team needs to understand how your products interact with cybersecurity and IT infrastructure as well as the team who will be using it.
Additionally, partnerships with other industry players could open up new channels and customers.
Marketing & Outreach
Given that you're operating in a highly trust-sensitive industry, your marketing strategies must go beyond mere promotions. Thought leadership is key, you need to demonstrate your company has the knowledge, expertise, and people that can solve your customers' pains. This can be shown with interviews, customer reviews, social media posts, blogs, whitepapers, and industry-specific articles.
As mentioned in a previous article we have been trialing various AI systems to actively market our services and are now starting to use it for our customers to drive brand awareness and growth. We live in very interesting times, do not be resistant to this new technology, embrace it, and use it to your advantage. If you can adopt it before your competition, you will have the edge. In fact, you might be reading this because one of our AI systems helped you find this article.
Step By Step Implementation Plan Checklist: Mapping It All Out
Step 1: Research & Discovery
Market Analysis: Consider the market size, growth trends, and specific pain points in various security verticals, such as retail, residential, or commercial security.
Competitor Intelligence: Deep-dive into not just who your competitors are, but also their strengths, weaknesses, and market positioning. Don't forget to assess their technological capabilities.
Regulatory Assessments: It’s vital to understand federal, state, and local regulations affecting security services and products. Compliance could be a significant competitive advantage.
Partner Identification: Scour the market for potential partnerships, whether it’s for joint solutions or distribution channels.
Customer Personas: As covered earlier, understanding the customer personas specific to your target market is crucial at this stage.
Step 2: Tactical Planning
Sales Playbook Development: Create a detailed playbook outlining sales procedures, script, objection handling, and FAQs specific to the security industry.
Content Marketing Strategy: Develop a content calendar focusing on the pain points and challenges specific to your target verticals. This may include webinars, whitepapers, blog posts, and industry reports.
Channel Partner Strategy: If you're working with third-party vendors or distributors, formulate a strategy that accounts for their strengths and weaknesses, and how you can mutually benefit.
Financial Modeling: Forecast expected revenues, costs, and other financial metrics to ensure your GTM strategy is both feasible and profitable.
Pricing Strategy: Develop a detailed pricing strategy taking into consideration RFPs (Requests for Proposals), bulk pricing, and other variable factors.
Step 3: Roll-Out
Sales Training: This should be focused on not just your products but also on the complex security landscape, so your sales force can consultatively sell.
Channel Partner Onboarding: Prepare a streamlined onboarding process for new partners, including training modules specific to your products and services.
Marketing Campaign Initiation: Launch your campaigns, both online and offline, with specific focus areas for each of your customer personas.
Legal Compliance: Ensure all your marketing materials and contracts are compliant with relevant regulations.
Step 4: Evaluation & Iteration
Key Performance Indicators (KPIs) to Track: Apart from sales and revenue metrics, consider tracking customer satisfaction, churn rate, and the effectiveness of your partnerships.
Monthly/Quarterly Reviews: Regularly assess the effectiveness of your GTM strategy, ideally through a cross-departmental meeting involving Sales, Marketing, and Product Development.
A/B Testing: Continuously test different sales approaches, marketing messages, and pricing strategies to refine your GTM plan.
Feedback Loop: Create a system to gather feedback from both customers and channel partners and use this to iterate on your product and strategy.
Regulatory Updates: Regularly review any changes in regulations and update your GTM strategy accordingly.
This step-by-step checklist is designed to be comprehensive but also dynamic. The security industry is always evolving, and your GTM strategy should be capable of adapting to new challenges and opportunities as they arise. Following these steps with a focus on the unique aspects of the security industry will position your company not just as a vendor but as a trusted partner in providing top-notch security solutions.
Let’s Wrap This Up In a Bow
Creating a Go to Market Strategy in the security sector is akin to solving a multi-dimensional puzzle. It demands an intimate understanding of various factors, from regulations and compliance to customer pain points and effective pricing strategies. Given the intricacies involved, this is often a resource-intensive task that many companies find overwhelming.
At Redcoat Media, we specialize in helping security businesses navigate this complex landscape, from market research to strategic planning and implementation. We're not just service providers; we're your strategic partners in achieving long-term success.
