Updated:
3 min read
Product-Led Growth (PLG) is a strategy where the product itself drives customer acquisition, conversion, and expansion. Users try the product for free (freemium or trial), experience value, then upgrade. Examples: Slack, Zoom, Notion, Dropbox. Key elements: Self-service signup, quick time-to-value (<5 minutes), viral loops, usage-based pricing. PLG reduces CAC by 50-80% vs sales-led. Best for: Intuitive products, broad market appeal, low price points ($10-100/month). Not suitable for: Complex enterprise software requiring implementation.
Key Product Led Growth Takeaways
- PLG: Product drives acquisition and growth, not sales teams
- Freemium or free trial: Users experience value before paying
- Self-service: No sales calls required, instant signup to value
- Viral loops: Product encourages inviting others (Slack, Loom, Notion)
- Examples: Slack (1M+ paid customers), Zoom, Dropbox, Calendly
- Reduces CAC 50-80% compared to sales-led growth
Related concepts: PLG strategy, product led, freemium model, self-service SaaS, viral loops, usage-based pricing, time to value, customer acquisition, expansion revenue, product-led sales.