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Go-to-Market Strategy for Physical Products: What the SaaS Playbooks Leave Out

Oct 13
5 min read

Updated: 18 hours ago

Most go to market strategy advice online was written for software. It talks about ideal customer profiles, pipeline velocity and product-led growth, and it assumes that a new customer can start using the product the same afternoon. A physical product does not work like that. Before anyone in Canada can buy it, the goods have to be landed, labelled, priced, stored and placed somewhere a customer will actually find them.

I have spent 25 years in international trade and distribution, across industrial and premium consumer brands, and the GTM strategy failures I see in physical goods rarely come from weak messaging. They come from decisions about ownership, shelf, price and stock that were never made on purpose. This piece covers the parts the SaaS playbooks skip.

Go to market strategy starts with who owns the goods

In software, the vendor owns the customer from day one. In physical products, someone has to own the inventory, carry the import responsibility and absorb the cost of stock that does not move. That decision shapes your margin, your control over price and how fast you can react, so it comes before any campaign.

For a brand entering Canada, the realistic options are a Canadian importer, a distributor that buys and resells, an agent paid on commission, or your own Canadian entity. I compare them in detail in Canadian importer, distributor or agent, and the wider sequence of decisions is in my guide to selling into Canada. The short version: whoever holds the goods holds most of the power, so choose that party before you choose a channel.

Regulation is part of the plan, not the paperwork at the end

A software launch rarely depends on a border. A physical launch does. Consumer packaging in Canada generally needs to carry its mandatory information in both English and French, and food has its own layer on top. Commercial importers of many foods need a Safe Food for Canadians licence from the CFIA before the shipment reaches the border, and the CBSA can delay or refuse goods that arrive without one (CBSA Customs Notice 21-04).

The practical lesson is about timing. Labels, licences and the identity of the responsible Canadian party affect packaging runs, lead times and who signs the import declaration. If those are settled after the launch date is set, the launch date moves. Rules change, so confirm the current requirements for your category with the agencies themselves before you print a single carton.

Choose the shelf before you choose the message

This is where physical products and software part ways most sharply. A software buyer can find you anywhere. A shopper finds a physical product in a specific place, and that place tells them what the product is worth before they read a word of your copy.

When I led the coffee and hot chocolate business for Tonino Lamborghini in North America, as Director of Sales & Marketing, we made a deliberate choice to stay out of mass chain retail. The product was luxury-priced, and a large chain had no reason to invest behind it without local sales history. Placing it there would also have told customers the wrong story about the price. Instead we built three routes: direct to consumer online, B2B sales to hospitality and trade accounts, and a selected network of more than 15 Italian premium retailers whose customers already understood the category and the price. Those routes took the brand to $1.3M in revenue in under two years. The full story is in the Tonino Lamborghini case study.

The point is selection, not coverage. For a premium physical product, the wrong doors cost more than they earn, in freight, in markdowns and in what they do to the brand.

Price for the whole chain, not the end customer

SaaS pricing has one buyer. A physical product passes through several hands, and each one needs a reason to carry it. Freight, duty, warehousing, the distributor's margin, the retailer's margin and the cost of promotions all sit between your factory price and the shelf price. If the plan only states a retail price, it has not been priced yet.

Work backwards from the shelf. Decide what the product must sell for to hold its position, then check that every party in between earns enough to keep reordering. If the numbers only work when nobody makes money, the answer is a different route to market, not a smaller margin for everyone. Canadian freight distances and a market of around 40 million people spread across a very wide country make this arithmetic tighter than many US brands expect.

Measure reorders, not launches

Software teams watch retention closely because churn is visible in the dashboard. Physical product teams often celebrate the opening order and stop looking. The opening order tells you a buyer was persuaded. The reorder tells you the product sold through.

In our direct channel, the number I watched most was the share of customers who came back. It reached a 35.57% repeat customer rate. I did not get there by adding budget. We restructured the paid accounts across Meta, Google and Microsoft: branded search separated out, non-branded campaigns doing the growth work, and placements that burned money filtered away. Live store data fed fresh customer segments into the ad platforms. Blended return on ad spend reached 5.59x. For a luxury-priced product that people drink every day, the repeat rate was the evidence that we were reaching the right customers, and it told us more than any launch metric did.

For trade accounts the same logic applies. Track sell-through and the second order by account, and treat an account that never reorders as information about fit, rather than simply a lost sale.

Plan inventory as part of the strategy

The final difference is stock. A software company can serve its ten-thousandth customer at almost no extra cost. A physical brand has to decide how much to land, where to hold it and how long it can afford to wait for it to sell. Too little and you lose the accounts you worked hardest to open. Too much and cash sits in a warehouse while the market tells you which products it actually wants.

Start narrow. Land the products with the clearest reason to exist in the market, prove sell-through, then widen the range. It is slower on paper and faster in practice.

Frequently asked questions

What is a go to market strategy for a physical product?

It is the plan for how a product reaches its buyer: who imports and holds the stock, which channels and doors it is sold through, how it is priced across every party in the chain, and how success is measured. Messaging matters, but it sits on top of those decisions rather than replacing them.

How is a GTM strategy for physical products different from SaaS?

Physical products carry inventory, freight, duty, labelling and margins for each party between the factory and the customer. The shelf also shapes how buyers judge the product before they read anything. Those factors decide more of the outcome than the funnel metrics most SaaS frameworks focus on.

Do I need a Canadian company to sell physical products in Canada?

Not necessarily, but the answer depends on the product. Food is the strictest case, because commercial importers of many foods need a Safe Food for Canadians licence before goods reach the border. Many brands use a Canadian importer or distributor to carry that responsibility at first, then set up their own entity once volume justifies it.

Working through this for your brand

I take on advisor, interim and executive roles built around this kind of work. If you are planning a physical product launch in Canada and want a second view on the route, I am glad to compare notes.


For premium and luxury houses, this is the work my company, Tehrani International Trading, does day to day: luxury brand representation in Canada, agent first, with your price and presentation protected.

 
 
 

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