[ad_1]
Product led growth (PLG) is a business methodology and strategy which is shaped around the product as a primary driver that moves the business forward. This means that businesses using this method build their acquisition, expansion, and conversion capabilities around the product itself.
As a most important resource for sustainable and scalable business growth and development, the product is the point where all teams across the company, including engineering, sales, and marketing departments, align and rally around a common goal – product led growth.
So, the successful application of PLG requires not only making the product the core of the business, but also full company-wide alignment around that product.
The product led growth can only be achieved when the company emphasises with the end user and fully understands their needs, expectations, and problems. If a business is able to solve those consumer issues through a self-serve product, natural growth will most likely follow. Basically, when applying PLG, the focus of the organisation is on the product, while the focus of the product and its features is on the customer.
When the business is organised like this, customers will be able to easily access and use the product, quickly discover the values it brings, return to find more features, and, in the best case scenario, spread the word among their friends about the great experience they’re having with the product. Therefore, the product on its own becomes the driver and source of revenue and retention
Unlike sales or marketing-led growth strategies which rely on communicating to the customer what the product can do and investing heavily in marketing and sales process, product-led growth implies a more direct product-customer relationship that can be established quicker and with significantly less spending. Therefore, this method works best for companies whose business revolves around everyday services, includes social interaction, and has fairly simple objectives.
[ad_2]
