The dirty little secret of enterprise software companies is that they make a lot of money off people who don't show up. However, the new era of product-led growth (PLG) is predicated on showing value before a purchase and then regularly showing value post-purchase to prevent churn. This plays out in the form of de-risked buying decisions, clearer ROI, and shorter contracts. Although this creates challenges for PLG businesses, it's ultimately a net positive for the industry long term.
Wednesday, May 1, 2024Joseph Lee, the founder of Supademo, an AI-powered product demo tool, shares growth tactics starting with a 4-step SaaS validation framework. The framework involves problem identification, focus definition, hypothesis development, and solution delivery. Supademo's initial growth relied on unscalable tactics, such as manual outreach and leveraging networks. Viral loops, accounting for 70% of Supademo's acquisition, and SEO, contributing 20-25% of signups, were crucial strategies. Sidecar products (complimentary free tools), co-marketing, and reverse trials also drove growth.