A naukri.com initiative
Leah’s ProducTea
2M
402
Image Credit: Leah’s ProducTea
Should you Product-led Growth?
- Product-led Growth (PLG) can be a survival strategy, but it's a nuanced one and requires consideration of where you are now and where you're headed. You don’t simply decide 'Yes, we’ll do PLG' or 'No, we won’t do PLG'.
- Understand where your Ideal customer profiles stand with your product. Consider the lifetime value (LTV) of your users and the human activation energy needed to onboard them.
- Five activation levers are at your disposal for engagement models, which include: Gary the Sales Guy (High-Touch Sales), Interactive Demos, Trials, Freemiums, and Ungated Freemiums. The ideal customer prefers an activation journey for different ICPs.
- In order to get ahead of the competition, you need to recognize the 'Dangerous Gap' and take action before it's too late as it leaves customers room to go to more frictionless competitors.
- The key difference in outcomes between HubSpot and Salesforce lies in their ability to adapt their product and organizational structure to the demands of PLG.
- When should you NOT do too much self-serve? If your product's interface is only slightly optimal for the use case it covers or differentiation factors are outside of self-serve value. Freemiums may undersell your product's true strengths in those cases.
- Your distribution model is not a tactic, it's a strategy. The decision to use PLG must be carefully considered, especially when certain conditions suggest that other models, such as trials or high-touch sales, may be more effective.
- Deciding when to adopt a PLG strategy is not just a tactical decision; it's a strategic one that requires careful consideration of your product's position, your customers' needs, and the overall market dynamics.
- By shifting to a PLG model, you can enhance customer experiences and drive growth. By continuously reassessing and adjusting as needed, you can confidently answer the question, 'When do I do PLG?'
- Freemium models can be powerful tools in a PLG strategy, but they are not always the right choice. Trial periods with some level of guided support should be considered when excellent customer support or a high level of service is a key differentiator for your ICP.
Read Full Article
20 Likes
For uninterrupted reading, download the app