How to Use Product-Led Growth to Take Your Business to the Next Level

How should product-driven development help B2B startups succeed in their current industry? How is online selling driven? How do I go about it?

What is sales-led growth?

Sales-led growth is more commonly used in software selling. However, it is still relevant and extremely valuable for long sales cycles, complex product development, or when you have a target audience. Although product-driven means potential buyers have no contact with sales to use their product or product, sales-led growth focuses entirely on human interactions. Your potential customers will purchase your product only if they are personally connected to your business (often through your sales team). While in product-led ventures, ‘free trials’ or ‘get going’ are dominant calls to action, sales-driven organizations ‘require a demo’ or talk about sales’ are dominant.

A brief history of B2B SaaS and product-led growth

B2B software and services we have now been developed are derived from Concur and Salesforce in early 2000. Software that users could try for free has an even more extended history. 1983 is arguably the birth year for product-driven growth. These ideas were revolutionary at the time and inspired an entire era of engineers and builders. In the ’90s, the same developers began joining SaaS firms. In the early 2000s, B2C software firms adopted these ideas. ‘

Product-led or sales-led SaaS growth — or both?

Most SaaS businesses follow traditional sales and growth strategies during the early stages of SaaS development. By 2022, product-driven growth is expected by most startups. Both strategies are helpful and do not need to exclude one another. Typically, a successful business relies on both. Implementing SaaS can increase your business growth. The difference between product-driven growth and selling-driven development in the hybrid model is mainly determined by the nature of the product. The more complex the product is, the longer the selling cycle and the more expensive your product is.

Hybrid model

To start a company, it is recommended to concentrate mainly on implementing a strategy and finding an e-Commerce partner to help drive sales. However, as the market matures, the idea becomes more feasible to invest in the two strategies. In hybrid models, both methods use parallel strategies. As previously noted, the product and the business model do not exclude one another. It’ll make more sense if you start to gain market share in an up or down market.

3 Strategic Modes of Product-Led Growth

3 Strategic Modes of Product-Led Growth

Over 30 publicly traded companies operate product-driven growth strategies. The company is also very well managed with a solid sales and marketing department. Although both companies are self-serving products and have a similar experience with free plans/tests, the details of the implementation of the PLG strategy vary wildly depending on the commitment and number of stakeholders involved with the buying decisions.

Habit-forming products must drive group behavior change

It can also be an essential mistake. While implementing an application for multiple users may appear complicated, your account may remain active with more organic retention and upsells. In habit-forming devices, consumers must change their default behavior to help them make their purchases. The product could be less helpful to people when adopting it, so the need for referrals is paramount. This should be embedded in the development and available at the always-free level. Zoom Slack, Dropbox, or Zoom are examples of habit-forming software.

The number of stakeholders that influence the decision to buy

All software within a company depends on many stakeholders, and a good salesperson can tell you this. Software acquisitions typically only involve an operational decision-maker, but adoptions can be broader. Website flow shows an excellent instance of one single-stakeholder purchasing decision. While websites matter to all team members, marketing heads tend to decide on the single-function Webflow solution. The decision is made using input from multiple people, including content designers, engineers, and agencies, and is managed by one function.

Fast-working products must deliver immediate value

In the low-risk quadrant, your customers can quickly start a test. However, you have very little attention, so your product should work soon. For fast-paced products, the customer takes part in a free trial. Many companies successfully implement checklists for a successful user experience. Typically these lend themselves to a good credit card/credit check-in experience in paid plans. Calendly/Docusign is an excellent example of a fast-running product.

Amplitude’s growth model

For a clearer view of how product-oriented growth works at Amplitude. First, people are registering for free Amplitude Plans. The application uses a series of events that are recorded by its website or app to track the way its user is using that service.

6 Steps of Product-Led Growth

6 Steps of Product-Led Growth

#1 Add sales if you’re product-led

If you have started to focus purely on product-led growth, then gradually add sales activity to the strategy, particularly for expanding upmarket. Add a new first-sale activity to your channel. Increase the number of out-of-the-office purchases you have.

#2 Add product-led if you’re sales-led

Consider ways your potential buyers can discover and experience value early in their purchase journey. Never master a strategy a second time before adding the next.

#3 Focus on a smooth and value-focused activation

Using product-driven Self-Service, you should aim at getting customers to adopt a new behavior as quickly as possible. It is, therefore, necessary to know first what aha moment your product is about. Having an understanding of this aha moment is an excellent starting point.

#4 Reduce the information you ask potential customers to get started with

Long signup forms and lengthy steps for your product can kill sales. How can I ask for an e-mail? Reduce information requested during signing up and eliminate long forms of signup. Try collecting data from your potential client during their customer service journey.

#5 Offer step-by-step product tours, checklists, and progress bars

Bring attention to the product and motivate the user to perform the desired actions. An excellent method to accomplish this includes a product tour checklist and a progress bar. The customer loves seeing what they are doing with the product.

#6 Give enough support and answers if questions arise

If a user doesn’t understand a particular feature or simply can’t learn to use it, offer them a simple way to answer their queries. Chatbots support chats.


Product-led growth is a business strategy where a company focuses on developing and selling products rather than marketing and advertising them. This approach can be used in both online and offline businesses.

Product-led growth has several benefits, including increased profits, reduced customer acquisition costs, and more engaged customers.

There are three steps to using product-led growth:

  • develop an innovative product;
  • market the product effectively;
  • continually improve the

Product-led growth is a powerful business strategy that can help you take your company to the next level. By developing innovative products and marketing them effectively, you can see increased profits, reduced customer acquisition costs, and more engaged customers. Follow these three simple steps to use product-led growth in your business today!

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