The Growth Epidemic — Misleading Founders To Failure.

Unless You Understand What Your Growth Drivers Are, Your Growth Tactics Will Do Nothing For Sustainable Growth.

WRONG!

This misconception couldn’t be further from the truth and is the very reason that 74% — 95% of high growth startups fail. Source

Drink The Kool-Aid And Follow 74% Of All Other High Growth Startups Right Off A Cliff

Question: Are you skipping over the most important things for your company’s success as well… in favor of a fancy growth plan perhaps??

-Numbers from a study of 3,200 startups conducted by the Startup Genome:

“74% of high growth startups fail due to premature scaling.

93% of startups that scale prematurely never break the $100k revenue per month threshold.”

The percentage of startups that acquired specific amounts of users. Startups that do not scale prematurely (blue) almost entirety make up the success stories of companies that hit or pass the 1 million mark. Source

The lesson here is you can’t polish a turd.

So what is premature scaling and how do I avoid polishing a turd…?

“The only thing that matters is getting to product/market fit.” — Andy Rachleff via Pmarca

“All I need right now is some funding so I can put fuel in this engine and blast off!”

The Components Of The Cycle:

Steve Blank’s Lean Startup Process

Follow This Growth Path For Success (Pre-PMF)

In the Pre-P/MF stage you don’t run ads to grow customers. You run ads for customer feedback and begin to understand their behaviors, demographics, interests, where they are best reached, and their reactions to your products. You spend as little money as you can to gain the feedback you need to align your product best with your market.

Source

Life After Product Market Fit

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