The Power of Product-Led Growth and Building Trust through Recommendations


Hatched by Glasp

Sep 06, 2023

3 min read


The Power of Product-Led Growth and Building Trust through Recommendations


In today's competitive business landscape, companies are constantly looking for effective strategies to acquire and retain customers. One such strategy is product-led growth (PLG), which relies on using the product itself as the main tool to attract, activate, and retain users. In this article, we will explore the success story of Loom, a billion-dollar company that leveraged PLG to acquire millions of users. Additionally, we will discuss the importance of building trust through recommendations and the value of offering a focused alternative in a crowded market.

Fast Time to Value: The First Step towards Viral Success:

Loom's journey to attracting and converting 14 million users at 200,000 organizations began with their focus on providing fast or instant time to value. By building a product that allowed prospects to experience its benefits firsthand, Loom generated thousands of signups within just two weeks of its launch. This approach not only gained initial trust but also created a buzz around the product.

Caring about Users' Needs: A Key to Earning Loyalty:

Gaining loyal users who become evangelists for your product is crucial for sustainable growth. To earn their loyalty, you must demonstrate a genuine concern for their needs. Loom achieved this by prioritizing user feedback and incorporating it into their product development process. They notified users when someone watched their video, keeping them engaged and involved. Additionally, Loom's transparent feature request system, with tabs indicating the status of each request, made users feel included in the development process. This approach showcased Loom's dedication to meeting user needs and building a loyal user base.

Expanding into New Markets: The Slack and Loom Connection:

Similar to Slack, Loom's go-to-market (GTM) strategy involved launching an existing product in a relatively new market. Loom targeted business and enterprise teams, offering a video communication solution tailored to their specific needs. By creating a dedicated landing page for each use case, Loom demonstrated how their product could solve different problems faced by diverse teams. This approach not only attracted prospects but also showcased Loom's understanding of their needs and willingness to cater to them.

Creating Authority through Thought Leadership and SEO-Focused Content:

To establish themselves as the go-to resource hub for remote and hybrid work video communication, Loom's marketing team invested in creating content that aligned with search intent. By focusing on keywords related to remote and hybrid teams, Loom could offer valuable guides and case studies to help these teams improve their communication. This blend of thought leadership, SEO-focused articles, and case studies not only satisfied search intent but also positioned Loom as an authority in the field.

Lessons from Shutdown Startups: The Power of Recommendations:

In the world of noise, the power of a solid recommendation should never be underestimated. Rdio, a now-defunct music streaming service, understood this well. Instead of relying on recommendations from store clerks, Rdio offered recommendations from people users knew. This personalized approach built trust and led to increased word-of-mouth promotion. Recommendations from trusted sources have the potential to drive significant growth and establish credibility for a product or service.


Incorporating a product-led growth strategy, prioritizing user needs, expanding into new markets, and leveraging recommendations can significantly contribute to a company's success. To apply these learnings to your own business, consider the following actionable advice:

  • 1. Focus on providing fast time to value for your users to generate initial trust and create a buzz around your product.
  • 2. Prioritize user feedback and involve users in the product development process to earn their loyalty and turn them into evangelists.
  • 3. Leverage personalized recommendations from trusted sources to build trust and encourage word-of-mouth promotion.

By implementing these strategies, you can pave the way for sustainable growth and establish your company as a leader in your industry.

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