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Why You May Not Need a Sales Team - PostHog docs


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The New York Times
SOURCE: https://posthog.com/blog/product-led-growth
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Summary

This can be done in a variety of ways, from cold calls to leveraging leads. Essentially, the assumption is that there are people out there who are willing to pay for your product, so you need to do your best to find them and get them to pay you.There are various benefits to Sales-led and Marketing-led growth strategies, and they are still widely used today. However, a new approach has been gaining traction in the past few years, called Product-led Growth (PLG).With Product-led Growth, the idea is that rather than bringing users through an active sales team or aggressive marketing campaigns, you just focus on building your product - and ensure you make it great.The concept is based on the assumption that if you build something that is useful and works well, the users will eventually come to you as result.As such, your primary objective should be to make something truly amazing, rather than portray your product as amazing (which is what great Sales and Marketing people can do).While this "strategy" sounds more like common sense than a methodical approach, there's more to Product-led growth than meets the eye.To truly succeed as a business that drives growth primarily through its product, this concept needs to be built into the company culture.While Sales and Marketing can often work well as segregated teams that draw from the product but operate independently in practice, focusing on building a product is an organization-wide effort.As PLGC put it, different teams often operate in different wavelengths, but with Product-Led Growth, you need everyone to converge into one single wavelength: user experience. At PostHog, we follow a Product-led Growth approach. Almost our entire team is made up of Engineers, including people not working day-to-day on our codebase. More than with other approaches, you also need to make sure your hires are individuals who understand and are passionate about the product, as well as are proactive in making it better. Your Sales people shouldn't cut corners to close a deal, and the Marketing team should focus on highlighting the product you built.Listen to your users on everything.Built something? Talk to people to correct them".When generating growth primarily through Sales or Marketing, the segregation between the people who are building the product and those selling it can lead to diversion between what users want and what is being offered to them.When focusing on the product, you should always be touching base with your users, and be willing to drop features you love if they don't feel the same way.At PostHog, our methodology is:If we keep our team first and users second, then our investors will take care of themselves!Users are key and should be a top priority.However, you must remember that your team consists of the first users of your product, its main advocates, and its builders! Hence, since users are a priority, and the team takes care of the users, you need to take care of your team!Since you're not aggressively seeking out users with Product-Led Growth, you are likely to experience slower growth at first.  Consequently, we have people with Engineering backgrounds handling sales, marketing, content creation, customer support, social media, among other non-technical roles. As a result, we are able to perform non-technical tasks with a technical eye, and ensure our growth strategy converges with a focus on user experience across teams, especially since we are building a developer-focused product.Product-led Growth is more than just a growth methodology - it's a way of running a company.Instead of having teams working on separate goals such as "build a great product" and "sell a great product", the entire company is united under the same goal: "build a great product".

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