Product-led growth (PLG) in SaaS sounds simple, but it’s much harder than it looks to succeed and grow faster with the product doing most of the GTM work. Product-led growth is not new in software, but PLG is new. There have always been business apps that created viral spreading with freemium products or free trials. But PLG is now the well-documented try-before-you-buy approach in which the product itself drives awareness, engagement, and conversion in a deliberate and strategic way. Classic PLG winners include Slack, Dropbox, Zoom, Canva, Github, and Calendly. These are typically simpler software that provides users with value quickly. It’s the opposite of sales-led growth when salespeople drag you through a demo before you get to play with the product. Wes Bush is CEO of ProductLed, a coaching and education company that has helped almost 500 serious SaaS founders to succeed with product-led growth strategies and tactics such as freemium products and free trials. Wes has written two successful books, including "Product-Led Growth" and "The Product-Led Playbook," which describe key concepts, frameworks, approaches, and useful examples for SaaS founders. Wes shared the most common pitfalls and misperceptions that prevent PLG success this week on the Practical Founders Podcast. He also puts his finger on the real goal of PLG for the user: "The PLG model you choose doesn't matter. Not a bit. Freemium, free trial, credit card up front, whatever. You can make any of those work. That's not the question. What matters in PLG is the actual outcome that we hope somebody will get from our product-led experience. "Does your free motion actually have a transformation in it where they can feel they will grow bigger, save time, and do cool stuff? Because if you don't have that, it's literally just, 'Hey, look around, see for yourself, see what you can do in this product.' That's not real value. "There has to be tangible value for the user before they ever consider buying. What is your PLG outcome that creates that transformation for the user? “That's what customers want when they buy software now--Show me value first before I think about buying from you." PLG is working for more and more SaaS companies every year, but it isn't for every software company. In this expert episode, Wes shares his expertise for SaaS founders on these important topics: - Defining product-led growth - Transitioning from sales-led to product-led - Common mistakes in product-led growth - Identifying challenges and solutions for user experience - Pricing strategies in product-led growth - The future of product-led growth in SaaS Check out this informative interview with Wes Bush of ProductLed on the Practical Founders Podcast at https://lnkd.in/gxKfYCHa. #practicalfounders
Product Management Insights
Explore top LinkedIn content from expert professionals.
-
-
"We’re a product-led company... so the product team should decide." I recently heard this in a conversation - and it got me thinking.. What does 𝘱𝘳𝘰𝘥𝘶𝘤𝘵-𝘭𝘦𝘥 actually mean? It's one of the most overused and misunderstood phrases in tech today. To some, it means the product org sets the strategy. To others, it’s all about go-to-market. And for many, it’s just a buzzword. So let’s unpack it. ✅ 𝗣𝗿𝗼𝗱𝘂𝗰𝘁-𝗹𝗲𝗱 𝗶𝘀 𝗻𝗼𝘁: – Product teams making all the decisions – An excuse to skip collaboration – The opposite of being customer-led, sales-led, or growth-led ✅ 𝗣𝗿𝗼𝗱𝘂𝗰𝘁-𝗹𝗲𝗱 𝙘𝙖𝙣 𝗺𝗲𝗮𝗻: – Your product experience is the primary driver of acquisition, retention, and expansion – Product insights shape strategic company direction – The product is not just what you sell - it’s 𝘩𝘰𝘸 you sell Being product-led is as much about mindset and cross-functional collaboration as it is about tactics. It doesn’t mean that product org leads and everyone else follows. In fact, true product-led companies thrive when 𝗰𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝘀𝘂𝗰𝗰𝗲𝘀𝘀, 𝘀𝗮𝗹𝗲𝘀, 𝗺𝗮𝗿𝗸𝗲𝘁𝗶𝗻𝗴, 𝗽𝗮𝗿𝘁𝗻𝗲𝗿𝘀𝗵𝗶𝗽𝘀, 𝗮𝗻𝗱 𝗽𝗿𝗼𝗱𝘂𝗰𝘁 𝗮𝗹𝗹 𝗮𝗹𝗶𝗴𝗻 around delivering value 𝘵𝘩𝘳𝘰𝘶𝘨𝘩 the product. If you’re trying to figure out whether your company is truly product-led, ask: – Is the product experience central to how we acquire and retain customers? – Are product insights informing our roadmap 𝘢𝘯𝘥 our go-to-market strategy? – Are GTM teams empowered with product data to drive growth? – Are we organized to continuously learn from our users -together? And here’s the best part: being product-led isn’t the only way to succeed. But if you say you are - make sure everyone’s aligned on what that really means. So let’s open the floor – What does 𝘱𝘳𝘰𝘥𝘶𝘤𝘵-𝘭𝘦𝘥 mean to you in practice? #ProductLed #
-
As an advisor, I get to peek under the hood of 4 PLG companies every week. Here's the 3 biggest PLG misconceptions I see over and over: 1. PLG can be owned by marketing. Product-led growth isn't a marketing strategy. It's a company strategy. And it doesn't work without product resources & investment - along with alignment and buy in from sales, cs, and marketing. See a lot of marketing teams trying to own this in a silo. That doesn't work. 2. PLG = no sales team PLG is all about balancing your 1:1 & self-serve funnels. Most companies are good at optimizing for sales OR self-service. Balancing both is tough. Finding the right segments, process, and handoffs is hard. And many teams are incentivized to grow their number instead of helping the customer. Get it right and watch your revenue grow. Get it wrong - and you'll just move frustrated customers from one funnel to the other. 3. PLG needs a lot of tools to work. This one drives me crazy. PLG isn't about the tools. The reason why some companies end up with so many tools is because they screw up number 1 on this list and don't properly resource their product-led team. The most effective way to do PLG is to: - get clear who you're serving - understand their jobs-to-be done - help them experience value in your product, as fast as possible - design the product so they use more over time - price it, so the cost scales as they use more - create upgrade triggers so they can unlock features & receive more value - use qual & quant data to see how well you're doing each of those - experiment to improve each step of the process Get the approach right. Then it won't matter which tools you use. These are the three I see most often. What did I miss?
-
I keep hearing companies say they want to be product-led. But then I look at how decisions actually get made. "Product-led" gets used a lot. Some folks think it means product managers make all the decisions, but that is wrong. Being product-led isn't about who makes the call. It's about how your company decides what to build and why. What PLG actually means is this: The product itself drives growth, retention, and value. Not a pitch deck. Not a salesperson. Not a hunch from leadership. The product. Here's what I keep seeing at companies that say they're product-led: 1. Sales is still driving the roadmap 2. PMs are on the hook for "results", but no one else is 3. The product team "owns" things, but can't say no 4. Marketing is focused on clicks, not long-term value 5. Engineering isn't included early enough If your product doesn't directly influence company growth, you're not product-led. You might be product-aware. Or product-involved. But not product-led. What works instead? Teams that are truly product-led tend to: 1. Start with the user problem 2. Define success by outcomes, not output 3. Involve marketing, sales, and engineering early 4. Align incentives across teams 5. Let the product communicate the company's value Being product-led doesn't mean product teams get more authority. It means the product earns its place at the center by delivering value clearly and consistently, at scale. When that happens, alignment isn't forced. It happens because everyone can see the impact. The work speaks for itself.
-
Every startup dreams of being the next PLG (product-led growth) success story. No sales team, just pure viral expansion. But here’s the ugly truth: PLG is NOT for every product. 🚩 If your product requires an implementation team to succeed? Not PLG. 🚩 If your customers need hand-holding to get value? Not PLG. 🚩 If your pricing model doesn’t encourage expansion? Not PLG. Trying to force self-serve growth when your customers expect guidance is like trying to make jazz out of a metronome. Instead, align your GTM motion with customer behavior. If buyers need high-touch, invest in sales. If they can self-onboard, THEN optimize for viral loops. If you’re stuck in between? Pick a side, because hybrid motions rarely win. PLG isn’t a strategy. It’s a fit. Either your product works that way, or it doesn’t.
-
Google Ads is possibly the most successful PLG product in history. And yet, it created a $230B human-powered industry around it. Wait, what? I thought PLG was supposed to eliminate humans? Here's what Google Ads actually did: • No onboarding • No hand-holding • No sales call Just log in and launch. And then? • Tons of agencies formed, just to “help” you use it • Millions of freelancers built careers around it • An entire revenue ecosystem emerged on top of it That’s not a failure of product-led growth. That’s the hidden strength. When a product is accessible enough to start, it creates room for an entire economy to grow around mastery. You see this with Google Ads. You see it with Shopify. And yes -- at Adobe, we’ve seen it too. The most common myth about PLG? If you need services, you didn’t build it right. But when a product is open and accessible enough for anyone to start, it doesn't kill services. It creates them. And that's a helluva moat.
Explore categories
- Hospitality & Tourism
- Productivity
- Finance
- Soft Skills & Emotional Intelligence
- Education
- Technology
- Leadership
- Ecommerce
- User Experience
- Recruitment & HR
- Customer Experience
- Real Estate
- Marketing
- Sales
- Retail & Merchandising
- Science
- Supply Chain Management
- Future Of Work
- Consulting
- Writing
- Economics
- Artificial Intelligence
- Employee Experience
- Healthcare
- Workplace Trends
- Fundraising
- Networking
- Corporate Social Responsibility
- Negotiation
- Communication
- Engineering
- Career
- Business Strategy
- Change Management
- Organizational Culture
- Design
- Innovation
- Event Planning
- Training & Development