Decoding Product-Market Fit for your Product
No matter how great your team or product it, your company can never take off until you find Product-Market Fit.
“The customers are buying the product just as fast as you can make it — or usage is growing just as fast as you can add more servers. Money from customers is piling up in your company checking account. You’re hiring sales and customer support staff as fast as you can.” – Marc Andreessen, billionaire entrepreneur and co-found of VC firm Andreessen Horowitz, on what Product-Market Fit looks like.
Customers should be your KPI’s
Many young companies demonstrate growth through the number of employees or the amount of funding they’ve secured. When in fact the only factor that truly demonstrates your success is the rate of customers that come flocking to you for your product.
If you have a band of customers that absolutely love your product and are telling all their friends about it, that means you’ve found the right market. But if instead, you spend all your time figuring out sales and inventing ways to get new customers, you might not have product-market fit.
Focus on the problem
Every company or business is essentially trying to solve a problem or fill a need. If you don’t have product-market fit, reassess your solution. View the problem from a different angle or perspective and try to find ways to offer better solutions than what you currently offer.
Survey product-market fit
Talk to your customers or users. Ask them how likely they would be to recommend to a friend and what benefits are lacking in your product. Keep working on ways to increase your recommendations score and work on benefits that are missing to create the complete package.