Launching Sales and Marketing for Early-Stage Israeli Startups: Why You Need to Start Now

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For many Israeli startups, the journey from an idea to a market-ready product is exhilarating. However, while the spotlight often shines on technical innovation, the real challenge lies in translating that innovation into market success. Startups frequently prioritize developing their MVP (Minimum Viable Product) but underestimate the time and effort needed to establish their sales and marketing frameworks.

In Israel’s vibrant startup ecosystem—often referred to as the “Startup Nation”—delaying sales and marketing until the product is fully developed can hinder growth and funding opportunities. In this blog, we’ll examine why sales and marketing should run parallel to product development, provide actionable steps to get started, and draw lessons from successful Israeli startups.

Why Early-Stage Startups Delay Sales and Marketing

The MVP Obsession

A common pitfall for early-stage startups is an intense focus on perfecting the product. Founders, often engineers or developers, are understandably passionate about solving complex problems. However, this obsession with the MVP can blind startups to the fact that a great product is only as good as its ability to find users.

For example, many startups emerging from Israel’s deep-tech ecosystem spend years refining their technology without ever testing its appeal to potential customers. This can lead to products that are technically brilliant but misaligned with market needs.

Misconceptions About Timing

Many founders believe that sales and marketing come into play only after the product is fully functional. In reality, these efforts require months—sometimes years—to generate momentum. A well-known example is Waze, the Israeli navigation app acquired by Google. Waze didn’t wait for perfection; instead, it built an early community of users who provided critical feedback to refine the product while simultaneously creating buzz in the market.

Resource Constraints

Startups often operate on shoestring budgets, with every shekel accounted for. Allocating resources to sales and marketing can feel like a luxury. However, failing to invest early can lead to higher costs down the line, as a late launch may require a scramble to catch up.

Why Sales and Marketing Should Start in Parallel with MVP Development

Building Awareness While Building the Product

Launching sales and marketing early allows startups to create brand awareness before their product is fully operational. This approach ensures that when the product is ready, potential customers are already aware of it. For example, Monday.com, the Israeli work operating system, began aggressively marketing their platform during its early stages. This strategy helped them secure a strong foothold in a competitive market even before their product was fully mature.

Feedback-Driven Product Refinement

Engaging with customers early on not only builds relationships but also provides invaluable feedback. These insights can guide product iterations, ensuring the final version better meets market needs. Startups like Lightricks, the creators of photo and video editing apps like Facetune, attribute their success to early beta testing with users to fine-tune their offerings.

Establishing the Sales and Marketing Engine Early

Developing a sales funnel, creating content, and building a marketing strategy all take time. Startups that delay these efforts often face a time lag when they’re finally ready to launch. For instance, cybersecurity firm SentinelOne, now a NASDAQ-listed company, credited its early sales groundwork for allowing it to scale rapidly once the product launched.

Steps to Kickstart the Sales and Marketing Engine

Step 1: Define Your Target Market

One of the first steps for any startup is to pinpoint its Ideal Customer Profile (ICP). This involves identifying the specific industries, demographics, and behaviors of the customers who will benefit most from the product.

For example, Playtika, an Israeli gaming company, succeeded by focusing on casual gamers in regions with high smartphone penetration. By narrowing its target, Playtika was able to design marketing campaigns that resonated deeply with its audience, resulting in explosive user growth.

Step 2: Develop a Clear Value Proposition

Your value proposition answers the crucial question: “Why should someone choose your product over the competition?” It’s not about features—it’s about how your solution solves a specific pain point better than anyone else.

Take IronSource, another Israeli tech giant. The company revolutionized app monetization by clearly articulating how its platform allowed developers to generate revenue without compromising user experience. This messaging helped IronSource attract app developers globally and secure a leadership position in the market.

Step 3: Establish an Initial Go-to-Market (GTM) Plan

An effective GTM plan sets clear goals for customer acquisition, timelines, and resource allocation. It also defines channels for outreach—be it direct sales, partnerships, or digital marketing.

For instance, Taboola, the content recommendation engine, focused on forming early partnerships with major publishers. This targeted approach allowed them to scale their presence globally and establish credibility within their niche.

Real-Life Example: Israeli Startup Success Stories

Playtika’s $700 Million Acquisition of SuperPlay in November 2024

Playtika, a global leader in mobile gaming, made headlines recently with its $700 million acquisition of SuperPlay. This acquisition showcases how strategic growth, backed by early-stage marketing and sales efforts, creates opportunities to expand portfolios and strengthen market positions.

Playtika’s journey from a startup to an acquisition powerhouse illustrates the importance of prioritizing customer engagement and refining market strategies early. Their ability to scale efficiently was not just about having a great product but also about implementing a strong go-to-market plan.

Waze’s Community-Led Growth

Waze, the Israeli navigation app, provides another excellent example. Rather than waiting for a perfect product, they built a community of users who tested and refined the app while simultaneously generating buzz. This dual approach helped them secure their place as a leader in navigation technology, eventually leading to their $1.1 billion acquisition by Google.

IronSource’s Market-Centric Messaging

IronSource demonstrated the power of early-stage sales strategies by focusing its messaging on solving key pain points for app developers. Their tailored approach enabled them to capture a significant share of the app monetization market, solidifying their reputation as a top player in their industry.

How to Start Today

Conducting a Sales and Marketing Audit

Start by evaluating your current readiness:

• Do you have a clear understanding of your target market?

• Are your value propositions aligned with customer pain points?

• Is there a plan for customer acquisition and retention?

This audit can highlight gaps and provide a roadmap for immediate action.

Taking Small but Impactful Steps

Launching doesn’t have to mean full-scale campaigns. Small steps, such as creating a professional LinkedIn profile, starting a blog, or running test campaigns, can generate valuable early insights.

Partnering with Experts for Faster Results

Engaging with advisors like MarketFit can significantly shorten the time it takes to achieve market traction. With expertise in GTM strategies and scalable sales models, such partnerships can provide the competitive edge startups need to succeed.

Building a great product is just one part of the equation. To truly thrive, early-stage Israeli startups must recognize the importance of launching sales and marketing efforts alongside MVP development. By defining your target market, crafting a compelling value proposition, and taking strategic early steps, you can accelerate your path to success.

The stories of startups like Playtika, Waze, and IronSource demonstrate how early investment in sales and marketing can pay off immensely. Don’t wait—start building your sales and marketing engine today, and position your startup for long-term growth.