Product-led growth strategies are mostly known to be applied to SaaS ( software as a service) or tech-based companies because the software itself is the one and only product the business has to sell.
But can the same approach be applied to non-tech companies that sell consumer goods, property/spaces, classes, or a service? The answer is YES. However traditional companies have more aspects of the business that need to be considered.
Looking through the lens of product, we can find a great number of products that come into play:
1. The actual product/service itself: for example an e-commerce store that sells health food, the variety of health food in the store are products; or a company offer workshop/classes,
the class itself is the product.
2. The digital means you have to deliver those products to your end customer. For example your website, an e-commerce store, or an app.
3. The operational process around your business, ie to deliver those products/services to your end consumer. This often involves your staff and the tools they use to carry out their
job. Those tools are also considered to be products.
Product-led growth approach can be applied in all three areas. To keep this article simple, let's focus on the 2nd point above: ie the digital means.
Digital means provide a lot of efficiency. If it is something customers can do themselves, let's build those features in your website, and app to facilitate users to carry out those tasks by themselves.
For example:
1. An e-commerce store provides users the ability to track the delivery parcel status in your online store. Or a one-click button to generate refund return requests instead of having a customer support agent address the query over the phone. This will significantly reduce your customer support call inquiries.
2. When consumers buy online, they need information to make that purchase decision. The more information you can provide, in a concise and easy to under manner the better is for them to make that decision. Apart from the product description, one may think of an explainer video or a product demo video. Traditionally these roles will be carried out by a salesperson. In a product-led company, a lot of those tasks are done by digital means.
Having that in mind, one simple exercise to take away to become a product-led company is to ask ourselves:
1. Which tasks currently performed by our customers, sales agents, or customer care can be replaced by digital means?
2. What features will we embed in our website and app to make that happen?
At Tango Studio we aim to break down Silicon Valley startup jargon into everyday common language, so more businesses can thrive. If you have any more questions, feel free to comment below or connect with me on Linkedin for a chat. You can also book an appointment via the button below.