Achieving Product/Market Fit is a milestone every business strives for. One common benchmark for success: if 40% of your users consider your product a “must-have,” you’ve hit Product/Market Fit. That’s when you know you’re on the right track.
But what if your survey shows less than 40%? Does that mean your product is doomed? Absolutely not. In fact, this is where strategic changes can make all the difference.
The Sean Ellis Case Study: Turning 7% Into 40%
Sean Ellis, a renowned growth expert, worked with a company that initially had only 7% of users considering the product a must-have. At first glance, this might seem like a failure. However, a deeper analysis revealed something crucial: the 7% who loved the product were all using it for a very specific use case.
Instead of trying to cater to a broad audience, the company made bold changes to focus on this niche group of loyal users. Here’s what they did:
- Refined Their Targeting
They identified the specific segment that found their product indispensable and doubled down on targeting similar users. This meant prioritizing marketing efforts to attract a well-defined audience instead of trying to appeal to everyone. - Adjusted Their Value Proposition
The team redefined their promise to align with the needs of their niche audience. By clearly communicating how the product solved this particular group’s pain points, they strengthened their appeal. - Improved Onboarding
They tailored their onboarding experience to emphasize the features most valuable to their core users. This helped new users immediately understand the product’s relevance and how it could solve their problems.
The Result? A Massive Turnaround
Within just a few weeks of implementing these changes, the next cohort they surveyed showed a dramatic improvement: over 40% considered the product a must-have.
Fast forward to today, and that company is worth billions of dollars—all because they listened to their most loyal users and made strategic adjustments to serve them better.
Key Takeaways for Businesses Struggling with Product/Market Fit
- Find Your Advocates
Even if your overall numbers are low, pay close attention to the users who already love your product. What do they have in common? What problems does your product solve for them? - Narrow Your Focus
It’s better to resonate deeply with a smaller audience than to appeal weakly to a broader one. Refine your targeting, messaging, and product features to serve your core audience first. - Iterate Quickly
Don’t wait for perfect solutions. Experiment with changes in targeting, messaging, and onboarding, and measure the results. Small, fast iterations can lead to big breakthroughs. - Leverage Feedback
Use surveys, interviews, and data to continuously learn about your users. Understanding their needs and behaviors is key to aligning your product with their expectations.
Final Thought
Struggling with Product/Market Fit is not the end of the road—it’s an opportunity to pivot and focus. By identifying your core audience and tailoring your product and messaging to their specific needs, you can turn a mediocre product into a “must-have.” Just like Sean Ellis’s client, your business could be the next billion-dollar success story.