Community-Led Growth: The Product-Led Growth Expansion Pack

Community-Led Growth: The Product-Led Growth Expansion Pack

In today's world, people are constantly seeking advice and input from others. Whether it's about what to eat, how to dress, or where to live, we rely on the opinions and experiences of those around us. This is also true when it comes to buying software. Before even considering a particular tool, people seek external input from friends, colleagues, and even strangers on the internet. This is where Community-Led Growth comes into play.

Community-Led Growth is a powerful strategy that complements product-led growth. By actively facilitating user interactions and providing value beyond the product itself, companies can have a stronger understanding of their customer pipeline, receive feature requests, and provide real-time support. This not only allows users to get the most out of their product but also turns them into champions who strengthen the community. COVID-19 has only accelerated the importance of Community-Led Growth as people increasingly seek a sense of belonging online.

In a world of SaaS fragmentation, users are overwhelmed by choice and often turn to influencers for guidance. Additionally, the number of communication and sharing channels has also increased. In this Community-Led Growth era, buyers rely on their community of friends and peers for recommendations and advice. However, it's important to note that simply creating a Slack group chat is not enough to build a successful community. The person running the community must foster a sense of belonging and actively engage with members.

One significant change in Community-Led Growth is the role that users play in creating and participating in content. This presents an opportunity for companies to educate their users about the market they operate in or the various use cases for their tool. Additionally, expanding the circle of 'creators' through user-generated content creates a network effect that benefits the community as a whole. If users are posting DIY YouTube videos on how to use a product, it's a clear sign that a community should be built around it.

However, with great community comes great responsibility. Companies must actively make community engagement a part of their culture and identity. It's not enough to simply create a community and expect it to thrive on its own. Companies must invest time and effort into fostering a sense of belonging and facilitating valuable interactions among community members.

Now, let's shift our focus to another topic: how to choose your next book. The Lindy Effect, a concept that states that what has been around for a long time will continue to be around, can be a useful tool in filtering out high-quality information. Books from thousands of years ago are still applicable and insightful today, thanks to the Lindy Effect. Therefore, it's important to carefully choose the books you read to improve your Reading Return on Invested Time (RROIT).

One way to improve RROIT is by getting back to basics. Understanding the fundamentals of a subject may seem boring, but it builds a solid foundation for complex ideas later on. People who understand the basics are better equipped to understand second and subsequent order consequences. This allows us to predict what truly matters and make more informed decisions.

The Lindy Effect also applies to non-perishable things, such as books. The longer a book has been around, the longer we can expect it to continue to be relevant and insightful. Older isn't necessarily better, but it does indicate that a book has stood the test of time and has valuable knowledge to offer.

In conclusion, both Community-Led Growth and the Lindy Effect offer valuable insights and strategies for growth and decision-making. To apply these concepts in practice, here are three actionable pieces of advice:

• 1. Foster a sense of community: Actively engage with your users and provide value beyond your product. Encourage user interactions and user-generated content to create a strong and active community.

• 2. Invest in the basics: Understand the fundamentals of your field or industry. This will help you make better predictions and understand the consequences of your decisions.

• 3. Choose wisely: When it comes to books (or any source of information), consider the Lindy Effect. Look for books that have stood the test of time and have been recommended by trusted sources. This will ensure that you are investing your time in valuable knowledge.

By combining the power of Community-Led Growth and the principles of the Lindy Effect, you can create a strong and engaged community while making informed decisions that stand the test of time.