How do you measure product-market fit?

Good question, reading a lot about discussions across different platforms. but reviews and feedback that are not scripted. If they have suggestions and bad comments that you can change Competitors insights If you can sustain the customer journey Use Cases and proper demo (short, clear and direct)

Organic growth rate, and Customer Retention are the two key metrics to measure PMF.

“The customers are buying the product just as fast as you can make it — or usage is growing just as fast as you can add more servers.” https://a16z.com/2017/02/18/12-t... ✌️

Customer Acquisition, Usage Metrics, Feedback, and Retention Rate are the key metrics to measure PMF.

My team took an interview about this here - https://www.reskript.com/post/ac...

Product-market fit can be measured by tracking metrics such as customer satisfaction, usage rates, and sales. Additionally, qualitative feedback from customers can be used to measure product-market fit. Surveys, interviews, focus groups and other research methods are often employed to understand how well a product meets the needs of its target market.

Product-market fit is a challenging concept to measure, but the most effective way is to look at whether the product adds value to its users and solves problems they are experiencing. Achieving this requires conducting customer research to figure out whether customers will be satisfied with your offering and bring them competitive advantages. The key is achieving a level of customer satisfaction that leads to user loyalty, word-of-mouth marketing, repeat purchases, and an increase in customer lifetime value. Ultimately, product-market fit is about understanding clearly what you are selling and if it actually satisfies what’s important for your users — then you have found the secret sauce!

We do it with surveys and feedback, user engagement, customer retention and sales growth.

ORGANIC growth rate is the key

Product Market Fit is about understanding 3 parameters in your offer: - The killer feature: which feature/service brings value to your users - Ideal Customer Profile (ICP): who is you ideal customer profile - Distribution channel: which channel is the best for distributing your feature to your customer. ===> setting up your business model and your pricing will be a direct consequence of understanding these 3 parameters.

You just know you hit it :) On a more serious note it's a mix of product, ICP (ideal customer profile), distribution channel that makes hypervelocity adoption.

Good Question. A product-market fit can be measured in a variety of ways, including customer surveys, customer interviews, usage metrics, and revenue growth. Customer surveys can provide insight into how well customers perceive the product and how it meets their needs. Customer interviews can provide more in-depth feedback on the product and its features. Usage metrics can provide insight into how often customers are using the product and how they are using it. Finally, revenue growth can provide an indication of how well the product is resonating with customers.

I would say we look at the social flare that it is creating. After all, the market is social now, isn't it>

When you feel like you have achieved Product Market fit is when you have reached the low-hanging fruit, there is a lot more for you to work towards and that just is the start to see if you are on the right path at this point in time.

Two things I think are the best tests of product-market-fit: 1. Customers who will stand on a soap box and tell the world about how the product changed their life, and 2. Paying customers. Parting with hard earned cash to use a product is the ultimate test of PMF

Wrote a whole thread about how we learned we have PMF here: https://www.linkedin.com/feed/up... Here are the first 3 signs we found: 1. Selling like crazy with limited reach. 2. Close to zero refunds 3. Working with large companies early on. I go a bit more in-depth on each one in the thread.

Maybe an unpopular opinion, but I find that many makers/founders see product-market fit as binary (you either have it or you don't) while in reality, it's rather dynamic. Markets are constantly changing, and products (competitors) are constantly evolving — this means that p/m fit at best is something you can accomplish for a limited time. Venture-backed early stage founders are especially obsessed over p/m fit because it's a box we need to tick to be able to raise more capital. In those situations, investors have pretty clear benchmarks and frameworks to define it. But when you're creating something truly new, or building a product in a nascent market, it's really up to you to define it.

Look at server usage and support needs. If you need more rack space because of traffic and you need to hire to keep up with support requests. Two simple ways to tell if your product has value in the market. Remember support request shows an interest in continuous usage. If they aren't requesting help then they don't care to keep using your solution.

if you have to ask your self if you have product market fit. you probably not have it

Good question! I think in the world of positivity it makes this quite difficult to get true sense. Competitiveness in sw space doesn't help. You almost need a viable channel and GTM plan in place as well just to get above noise floor. I'm sure there are generic responses, but its more complicated than that. Engagement of organic users may be purest form.