Product-led growth is focused on the ultimate user: their acquisition, and retention. Product features help drive the decision within an enterprise. It is the ultimate goal for many product companies as it is not only sustainable but also scalable. However, being product-led does require companies to rethink entire processes, including sales, operations, and customer success with an impact on decision-making and priorities. It requires Product managers with empathy, with an ownership mindset.

Product-led growth (PLG) is a business model and go-to-market strategy that relies on a company’s product itself to drive customer acquisition, expansion, and retention. In a product-led growth strategy, the product is the primary vehicle for driving growth, rather than traditional sales and marketing efforts.

Product-led growth is often associated with software companies that offer a freemium model, where a basic version of the product is offered for free, and users can upgrade to a paid version with additional features. The goal is to get as many users as possible using the product, and then monetize them through upgrades or additional services.

In a product-led growth model, the focus is on creating a product that is so valuable and easy to use that it drives word-of-mouth marketing and organic growth. The product itself becomes the primary marketing channel, and traditional sales and marketing efforts are used to supplement and accelerate growth.

Product-led growth can be a successful strategy for companies that offer a highly differentiated product that addresses a specific pain point or need in the market. It is important for the product to be easy to use and have a low barrier to entry, as this encourages more people to try it out and potentially upgrade to a paid version.