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GTMfund has redefined how distribution works in the age of AI

GTMfund has redefined how distribution works in the age of AI

101 finance101 finance2026/01/08 19:39
By:101 finance

Why Many Startups Struggle Despite Great Products

Launching software has become more accessible than ever, yet numerous startups with ample funding still fail to gain traction—even when their products are impressive. In the season finale of Build Mode, guest Paul Irving, partner and COO at GTMfund, shares his perspective: many startups prioritize product creation over mastering distribution. According to Irving, in today’s AI-driven landscape, the true competitive edge lies in how companies bring their products to market.

Rethinking Go-to-Market Strategies for the AI Era

The conventional approach to scaling—standardized hiring and growth tactics—may have worked for traditional enterprise SaaS, but it falls short in the fast-paced, AI-powered startup world of 2025. With innovation cycles accelerating, what once took years can now be accomplished in months. That’s why Irving and his team encourage their portfolio companies to focus on standing out through their distribution methods rather than just their products.

“There have never been more distinct and tailored ways to build your revenue engine and make go-to-market decisions, all depending on your company’s unique situation,” Irving explains.

Key Lessons for Startup Success

  • AI empowers small teams to use data-driven strategies and discover innovative ways to connect with customers.
  • Founders should avoid spreading themselves too thin by trying to manage every distribution channel from the start.
  • Recruitment should be approached with fresh thinking, not just traditional models.
  • Assembling a trusted group of advisors is essential for early-stage growth.

Creative Customer Acquisition Over Traditional Tactics

At GTMfund, early-stage investors aren’t impressed by startups that pour half their budget into ads or immediately build out large sales teams. Instead, they look for founders who find inventive ways to reach their audience. Irving cites an example of a startup that actively engaged in targeted Facebook groups. “Imagine a group of a thousand people, where 700 are your ideal customers because of the specific communities you participate in or create. This can become a powerful channel if your goal is to acquire 40 to 60 new customers in a year,” he notes.

The Power of Networks and Community

Irving emphasizes that the range of go-to-market options has never been wider, making it vital for founders to develop original strategies for reaching their audience. However, he cautions that founders shouldn’t attempt this journey alone. Building a strong network is a recurring theme in the discussion. GTMfund supports its portfolio companies by connecting them with a broad network of experienced operators, but instead of simply providing a list of contacts, they carefully match founders with the right advisors to ensure meaningful connections.

“One of the great things about the venture ecosystem is people’s willingness to help. They understand the challenges of building a company and know how rare success can be. If you approach them with curiosity and share your own insights, they’re often happy to open doors for you,” says Irving.

Be First in Line for Disrupt 2026

Sign up for the Disrupt 2026 waitlist to secure your spot when Early Bird tickets become available. Previous Disrupt events have featured industry giants like Google Cloud, Netflix, Microsoft, Box, Phia, a16z, ElevenLabs, Wayve, Hugging Face, Elad Gil, and Vinod Khosla—among more than 250 leaders and over 200 sessions designed to accelerate your growth. Plus, connect with hundreds of startups breaking new ground across every sector.

  • Location: San Francisco
  • Dates: October 13-15, 2026

Hosted by Isabelle Johannessen. Build Mode is produced and edited by Maggie Nye, with audience development led by Morgan Little. Special thanks to the Foundry and Cheddar video teams.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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