“How do I know if my new business is compatible with the product and the market?”

This article was translated from our English edition using AI technologies. Errors may exist due to this process. The opinions expressed by the employees of Contractor they are personal.

Brit Morin was 25 when she left Google to start Brit + Co, a lifestyle and education company aimed at helping women cultivate creative confidence. Now 10 years, $50 million in funding and 1.2 billion page views later, Morin’s passion is to empower more women to take the entrepreneurial leap. She is managing partner of venture capital fund Offline Ventures, host of the iHeartRadio podcast teach me something new creator of Selfmade, a 10-week course in starting your own business for female founders, and most recently advice columnist for entrepreneurs . Find her here to answer the most personal and pressing questions of female entrepreneurs.

Brit Morin

Do you have a question for Brit? Email it to dearbrit@brit.co, and she might respond to it in an upcoming column!

I am an early founder. How do I know if my product market matches my new business?

It’s a good question and a fundamental challenge for all entrepreneurs, especially those raising venture capital.

As you develop your next big project, there are a few key indicators that you’ve achieved product-market fit:

  1. There is a steady growth in your user base or customer base and revenue every month.

  2. Your product is being used in ways you never expected.

  3. Your customers evangelize your product to their friends and colleagues.

  4. You can quickly scale your business without compromising quality or customer satisfaction levels.

  5. It has a high retention rate and people who use your product keep using it and don’t give up.

  6. You have lots of inbound leads and people come to you to buy your product, instead of having to search for them.

  7. Your business is profitable or on the way to profitability.

If you see most (or all) of these indicators, congratulations! You probably have a suitable product market. However, keep in mind that this is a continuous journey and you cannot reach all of these waypoints at the same time. But if you see consistent growth and commitment to your product, that’s a good sign you’re on the right track.

If you’re not sure you’ve achieved product-to-market fit, keep iterating and testing until you find a formula that works. And when in doubt, ask your customers! At Selfmade, my accelerator program for female founders, we focused on this concept through intensive user research.

During this process, remember to trust both your instincts and this data. When you manage to adjust the product to the market, things won’t necessarily be easy, but it’s very refreshing. I have been through this process many times myself, with Brit + Co, Selfmade and BFF, and I assess the viability of the companies I invest in at Offline Ventures. Ultimately, it’s about creating something that users want and need. As you search for the perfect intersection, keep me posted on your adventures in finding the right fit for you and your business at @brit!


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