Irrespective of the business model you pursue, you have two very important high growth levers: efficient customer acquisition and strong customer retention.
Conducting a thorough cohort analysis process can help you achieve both and ignite explosive sustainable growth. In this article, I explain why and how.
Founders often underestimate the complexity that comes with (additionally) targeting the long tail of small business customers.
While there are very often many small business customers, their willingness to pay is likewise often significantly reduced. Their needs may differ too. And most of the times, small business customers can only be acquired through different channels.
In this article, we explain how to sell to the long tail of small business customers.
Generating product/market fit is not only relevant when you start a venture. It remains relevant at any and all times, particularly if you want to accelerate growth.
Growth acceleration often comes hand in hand with expanding your product offering, penetrating new markets, or selling to new customer segments.
In all these situations, you need to generate product/market fit before you invest heavily in the distribution of your products and services.
My book FastScaling has been launched.
It is supposed to help founders and aspiring founders get through the growth valley of death and from initial traction to sustainable high growth.
This growth handbook for founders shows a smart path to building massively valuable businesses.
The unit economics concept is a powerful tool that helps you better understand whether you pursue a viable business model. By deconstructing the unit economics and focusing on improving all underlying variables, you can also steer your business towards high growth readiness. Have the patience to develop strong unit economics. It will eventually pay off and pave the path to sustainable high growth.
As Marc Andreesen once put it: "The only thing that matters is product/market fit". Fuelling the growth engine and entering the high growth phase does not make sense if a company has not yet found product/market fit.
But as product/market fit is not binary the question arises how to measure product/market fit?
Founders may gather and analyse quantitative and qualitative information and need to use their intuition in order to assess whether they can start scaling heavily.