ADPList Product-led Growth: What is the right growth loop for you?
Takeaways:
- why do we need loops over funnel? Funnels create silos and in linear behaviour. Every department is only interested in chasing targets (eg, more money) and do not talk to each other. There is no feedback.
- Growth loops -> The way you get a new user what they do with the product, the output it generates leads to new users -> which then again leads to loops. Which growth loop you should be going for depends on the core user problem that your product is trying to solve. who are we building for? the context?
- Viral loops: a user comes in -> they take action they take leads to new user sign up. Slack invite new colleagues -> invite to channel for relevant discussion -> they give invitation to other colleagues -> lead to more sign up. Other examples on ride sharing apps
- Content loop: user create content leads to more content. Your content gets indexed
- Habit loop -> depends on what the product is solving. Important to know the frequency of usage and that lets you know what triggers. Habit loop works by trigger and reward. Trigger -> channel (medium through which trigger is delivered. ) -> action -> reward -> continues to loop
- So there is product channel fit depending on the product and the context which then leads to actions. Emails are overused and they are becoming less effective.
- At one point, the growth loop will not give the same returns. So it is essential to find other opportunities to sustain the growth of the product.
- Key ingredient of Growth loop -> Being true to users, in-depth studies and tailoring channel and message. Blindly copying features will not work