How to grow with product-led growth

In this episode of Datadrivet, Joni Lindgren and Jasmin Yaya look at how companies grow. They also ask why leaders pick different routes to get there.

Marketing-led growth means the company expands mainly through marketing and advertising. Sales-led growth means building a sales team to drive expansion. Product-led growth means treating the product itself as the main growth driver. The product is good enough that users keep using it and recommend it to others.

The difference, as the hosts see it, is where retention sits. Product-led growth weighs keeping users as heavily as winning new ones.

They point to Plick and Slack as examples of products that grow this way.

Growth loops are built into the product. Normal usage feeds more usage, and the product expands organically. Experimentation is the other half. Test your assumptions about what solves the problem, and build only what shows promise. Let data settle the call rather than opinion.

To see how your own retention compares to companies in your model, use the benchmark tool: https://benchmark.scilla.studio

Listen to the full episode of Datadrivet for the full discussion of product-led growth.