A big top of funnel doesn't mean you have product-market fit. You create your own false narrative with the big bang launch. Think Viddy with their Facebook open graph integration. Or Jelly when it launched to compete with Quora. Both big bangs but didn't have PMF...
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The "white-hot coal" approach advises the opposite: intentionally constrain growth until PMF is clear and the only thing holding it back is more oxygen i.e. public launch. Quora and Instagram spent 1-2 years iterating on the product + hand-selecting the first 1k - 5k users...
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Taking this slow but steady approach gives you time to understand WHY it works, and for WHO it works, before opening up adoption. It requires an uncomfortable level of patience. In return, you gain the insights necessary to make quality decisions when scaling it from 1 to N...
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Marketplaces commonly make this mistake when launching in more cities before they establish repeatable playbooks for supply and demand acquisition. Social products make this mistake by opening up for broad adoption before understanding the core engagement mechanic/loop...
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Once you've established the white-hot coal of a deeply engaged but small customer base, opening it up must also be done at the "right" pace. Too broad/quick of a launch can create a backdraft i.e. quick inflow of oxygen leading to a super-heated fire that burns out quickly...
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The startup equivalent of backdraft is rapid expansion followed by contraction (eg Lime pulling out of some cities). It's incredibly difficult to know what the "right" growth rate (i.e. "oxygen") is. It's case-dependent. But I do know that all else is futile w/o white-hot coal.
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So, at first, think small. Very, very small. In the words of
@paulg: "Do things that don't scale" for as long as possible and only consider a big bang launch after the white-hot coal is established. Hand-pick your first users. Know all of them by name and listen to them daily.Prikaži ovu nit
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There is some nuance here that I would as an addendum: (1) most startups are often paranoid there’s no demand for their product so launching big helps cast a wide net to test the waters (2) YCs advice to launch fast & many times is better compromise
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(3) once you’ve de-risked: “does anybody want the promise of this thing?” I agree, scaling while chasing product market fit is distracting but you may need to still play the game of getting to the next round with some traction—a pragmatic reality with fundraising.
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Much easier said than done because you need runway (potentially a ton of it) to be confident in this strategy You can raise pre-seed, seed, series A even if you don’t have PMF, have shit CAC, but still manage meaningful user / top line growth
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I have a company doing this right now at $50k monthly burn. $1.5M raise at that burn gives lots of runway. It’s doable.
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