What is Product-Market Fit?
Product-market fit is the holy grail of startups. It's that magical moment when your product resonates so deeply with customers that growth becomes almost effortless.
Signs You've Found It
You'll know you have product-market fit when customers are actively seeking you out, retention rates are high, and word-of-mouth referrals are driving significant growth.
- High customer retention (>40% monthly)
- Strong organic growth
- Customers would be very disappointed if your product disappeared
- Clear value proposition that resonates
The Journey to PMF
Finding product-market fit is an iterative process. It requires constant customer feedback, rapid experimentation, and willingness to pivot when necessary.
Measuring Progress
Use the Sean Ellis test: Ask customers how they would feel if they could no longer use your product. If 40% or more say "very disappointed," you're on the right track.
Scaling After PMF
Once you've found product-market fit, focus on scaling your go-to-market strategy. This is when you should step on the gas and invest heavily in growth.