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I agree but I'd also add the question: is viral growth a right move for your product? what if the people your free users refer to are more free users? what if y
by curiously 12y ago
I agree but I'd also add the question: is viral growth a right move for your product? what if the people your free users refer to are more free users? what if you all the viral attention just end up bringing hoard of freeloaders instead of customers? You are not facebook, you are not dropbox, you need customers to survive and you know have an army of seathing, angry, picky, freeloaders now ready to blog and spread negative word on the first chance they see something they are receiving for absolute free?
Free has no value. Free isn't a competitive edge. So does viral growth that just magnifies that aspect really make sense?
- ulisesrmzroche 12y agoFree has value and competitive edge. Especially when the costs involve educating your market. The problem in your scenario is not that the word spread, but that the word that spread wasn't any good.
- curiously 12y agoI disagree. Free is not something you can compete on sustainable manner. Eventually you will need to start making cash. It's quite a bold gamble betting that educating your market will eventually lead into customers. Imagine if one guy looking for a free tool tells 10 other people about the free tool. you are going to end up with 11 people now using your tool. if it costs you to upkeep the tool for each customer, you've now mangified it by 10 fold. you start hoping that one of these customers one day will become a customer but are they really? you've sold them something free, it costs nothing therefore there's no reason to pay for it, ever.
- kamilszybalski 12y agoIf you build a small base of customers that absolutely love what you do, that's far more sustainable than building something that a lot of like what you do. Growth is more sustainable when you've built a product that can scale because it actually addressed a problem that is passionately shared by others. Think about the major successes that exist today...how did they start...then you'll have your answer.
- ulisesrmzroche 12y agoIt's not a bold gamble, educating your market is definitely taking into account as a cost of capital, from consumer electronics to, food, to tech startups. And it's definitely not about hope, there is a clear marketing strategy to get people to buy again. Just google free trials and samples, even supermarkets have been doing this forever, it's not a new concept. This is because it is ALWAYS more expensive to get a new customer than keep an older one. In software, the cost to onboard a new user is or should be insignificant. If you don't have this working for you, go back and try again.
- wildpeaks 12y ago> you need customers to survive Except if someone's plan to make money out of it is to sell the company while the hype is strong.