Product-led growth
Product-led growth gives away a metered slice of a digital Product, a free tool or templates, and prompts the upgrade on a usage event.
Product-led growth gives away a metered slice of a digital Product, a free tool or ready templates. The upgrade prompt fires on a usage event, once the Customer has felt the value.
Ratings
| Dimension | Rating | Reads |
|---|---|---|
| Scalability | 5 of 5 | very high: higher grows further with spend or automation |
| Cost | 2 of 5 | low: lower costs less per Customer |
| Latency | 3 of 5 | medium: lower answers sooner |
Budget
| Property | Value |
|---|---|
| Tier | $0 |
| Minimum effective budget | $0 a month |
How it runs
The free slice is bounded by Limits and costs only serving cost. The prompt appears when usage crosses the line that predicted payment among past Customers.
Processes
Runs as Onboarding, accountable to the Marketing Team.
Fits
| Fits | Value |
|---|---|
| Family | demand |
| Shelf | Compound: builds an engine that keeps growing (Grow) |
| Moves | Activation rate |
| Motions | b2c, b2d, b2b, b2a |
| Venues | Google Search, GitHub, Chrome Web Store |
| States | Live, Repeatable, Scale |
Loop
| Step | Value |
|---|---|
| Hypothesis | Prompting the upgrade on a usage event turns more free accounts into paying Customers than a time-based prompt. |
| Measure | Activation rate over 30d, at least 100 observations |
| Learn | The learn step reads the Readout, records Evidence and a Decision, and drafts the next Variant. |
Example
A Startup selling a document-to-spreadsheet converter gives 20 pages a month free. Users who convert a second document within a week upgrade at five times the base rate, so the prompt fires on that event.