5 Essential Go-to-Market Lessons from Modulate’s Journey to Category Leadership

Discover key go-to-market lessons from Modulate’s CEO Mike Pappas on pivoting, customer feedback, and building a category in voice intelligence. Learn how technical founders can better navigate market signals and build lasting customer relationships.

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5 Essential Go-to-Market Lessons from Modulate’s Journey to Category Leadership

5 Essential Go-to-Market Lessons from Modulate’s Journey to Category Leadership

Technical founders often struggle to balance their product vision with market reality. In a recent episode of Category Visionaries, Modulate CEO Mike Pappas shared candid insights about his journey from MIT physicist to category-defining CEO, revealing crucial go-to-market lessons that challenge conventional startup wisdom.

  1. When Customers Are “Confused,” They’re Actually Telling You Something Important

The most striking lesson from Modulate’s journey came from their pivot from voice-changing technology to voice moderation. Mike recalls his early response to customer feedback: “I, being a technologist, would say, ‘hey, that’s a totally different product. You’ve clearly misunderstood what I’m presenting. Let me explain it more clearly so you stop asking silly questions.'”

This resistance to pivoting nearly cost them their market opportunity. The breakthrough came when they finally recognized that customer “confusion” was actually market intelligence. “Our first customers found us and banged down the door and made us understand that this was a thing that they deeply needed,” Mike explains.

  1. Build Your Go-to-Market Strategy Around Customer Education

Modulate discovered that their true value proposition wasn’t just in their technology, but in helping customers navigate complex regulatory landscapes. “There’s a huge amount of activity these days in safety and privacy regulation,” Mike notes. While giants like “Facebook or Roblox have the resources to read thousands and thousands of pages of regulations,” most gaming companies lack these resources.

This insight shaped their go-to-market approach, positioning them as strategic advisors rather than just software vendors.

  1. Partner-First Marketing Drives Better Results Than Product-First Marketing

Instead of pursuing quick sales, Modulate prioritizes long-term partnerships. “First and foremost, we want to tell the truth,” Mike emphasizes. “We see ourselves not just as a vendor to a platform. We really want to be a partner.” This approach sometimes means turning down business that isn’t a good fit, but it builds stronger, more sustainable customer relationships.

  1. Your Vision Should Evolve With Market Understanding

Rather than staying wedded to their initial vision, Modulate allowed their understanding of the market to shape their long-term strategy. Mike articulates their evolved vision: “We want to be the prosocial voice intelligence company. We want to be the organization that enables everyone across the globe to have more meaningful, richer, deeper conversations with each other.”

  1. Technical Founders Need to Unlearn Their Problem-Solving Instincts

Perhaps the most counterintuitive lesson is that the problem-solving mindset that makes technical founders successful can actually hinder go-to-market success. Mike’s advice is clear: “When you’re getting that consistent message, even if it’s just as it seemed to me, a message of them being confused about what you’re building – pause. Stop trying to hammer in your vision and really go back to saying where is the customer coming from.”

The results speak for themselves. Modulate has “more than forexed” their annual recurring revenue in the past year, partnering with major gaming studios including Call of Duty. Their success demonstrates that sometimes the best go-to-market strategy isn’t about better explaining your vision – it’s about better understanding what the market is trying to tell you.

For technical founders navigating their own go-to-market journeys, these lessons offer a valuable framework: prioritize understanding over explanation, build partnerships over transactions, and let market insights shape your vision rather than the other way around.

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