A truth about growth loops they never teach you in business school
You can create a growth loop for your product. But only on one condition
Every startup dreams about creating a growth loop. Hell, every small business owner wants the same thing (but perhaps they just don’t call then growth loops). If you don’t know why they are so desirable let me explain it to you.
Growth loops a technique used by marketers to create a loop of product-driven demand or a loop of references from customers to get more customers in. The best part of the growth loops is that, unlike traditional marketing funnel where you have to shove MORE resources IN to get better OUTPUT, it has non-linear dependencies that lad to faster growth.
Here’s a visual I created for the founders that I coach to explain the differences betweem traditional funnel and a growth loop.
Growth loops can be created by:
— the product (product-led growth) ⇒ when users want to pull more users in to get better experience with the product (think, Slack: if there’s no one in the channel, it feels like desert). Obviously, it is not…