Everything Sean Ellis said on any show that made the record, most notable first. Each card names its show and opens the statement there.
Ellis: Customer acquisition should be the final step in growth
“Like customer acquisition is so hard that if you, if you're not really efficient at converting and retaining and monetizing people, you're gonna really struggle on the customer acquisition side.”
Ellis: Modifying products for lukewarm users risks diluting core user value
“If you start paying attention to what your somewhat disappointed users are telling you, and then you start tweaking onboarding and product based on their feedback, maybe you're going to dilute it for your must have users. And that ultimately it becomes kind of…”
Ellis: 40% 'Very Disappointed' User Threshold Sets Startups Up for Success
“Over time, I started to hone in that it's probably around 40% saying they'd be very disappointed that would make
Yeah.
We would essentially set that company up for success.”
Ellis: NPS measures operational experience rather than core product need
“I think NPS is a great survey as well, but I think it's more of an operational, it's like kind of an operations feedback. Like let's say I have a product that's a must have, but their customer service is terrible. Like the person yelled at me in customer servi…”
Ellis: A/B testing messaging solely for conversion volume attracts wrong users
“That's a really typical mistake. I see a lot of companies make is that they AB test their messaging for maximum response, where ultimately if people are converting on something, the product's actually not good at doing or something that's not that important, y…”
Ellis: Referral incentives will not fix products lacking organic word of mouth
“Best practices of having a double-sided referral incentive can be effective, but I don't think it will, would improve referral rate on a product that has almost no referrals.”
Ellis: The 40% PMF benchmark is an alignment tool, not a rigid rule
“I don't think it's that firm. You know, to me, I think the real power is having some kind of target for the team to be shooting for that basically says, we're not going to aggressively start to grow until we hit this target.”
Ellis: PMF survey scores reflect both product utility and switching costs
“So sort of switching costs, I think can factor in there. So it's a function of both switching costs and utility of the product.”
Survey active users who used the product at least twice recently
“What I recommend is a random sample of people who've really use your product. So they, they've gone in, they didn't just sign up, but they went in and hopefully like hit that activation moment. They've used it twice at, you know, two plus times and they've ide…”
Referral programs only accelerate existing word-of-mouth; they cannot fix unshared products
“To me, I think it's a great accelerant when it's already working, but it can't fix it if people don't want to talk about your product.”
Ellis: North Star metrics should correlate with revenue, not be revenue
“It should correlate to revenue growth, but not necessarily like rev revenue. Shouldn't be the North star metric, but you know, as you grow value across your customer base, you should be able to grow revenue at the at the same rate.”
Sean Ellis argues Reach in the RICE framework is an unnecessary addition
“I think it's an unnecessary addition, but maybe it's, I'm just being protective of my original idea. That, that the I in ICE is impact. And it's essentially saying, best case scenario, how much impact could we get from this? And reach is a super important part…”
TikTok's founding growth team based their early tactics on Sean Ellis's writing
“I met with the original founding growth team at TikTok. They're based in Singapore and they had, I can't remember what the previous product was called, but they started with the previous product. And then when TikTok came, they were in place to be the initial …”
Sean Ellis: Fixing products for lukewarm users risks breaking them for lovers
“My fear is always that like, if I try to fix it for the people who don't love it, I'll break it for the people who do love it.”
Ellis: Startup budgets cannot break through daily ad noise to build awareness
“The average person sees 4005 thousand advertisements a day. There is no startup budget that is going to break through 4000 to 5000 advertisements and actually, actually create some awareness for your product.”
Ellis: Growth hacking is rapid testing, not creative slam dunks
“Most things that I think of don't work. That's the reality. And that growth hacking is really more about testing a bunch of stuff and doubling down when something works. And so it's more about kind of just that, that rapid testing process.”
Ellis: Dropbox was the fastest SaaS business to hit $1B ARR
“They're the fastest company, fastest SaaS business to ever get to the one billion dollar revenue run rate”
Product-market fit is defined by whether a product is a must-have
“It's a simple question that helps you figure out, you know, does anyone consider your product a must have or, you know, ideally who and how many people consider it, but ultimately it's about trying to figure out, you know, do, is your product a must have, whic…”
PMF survey score is a leading indicator, whereas retention is lagging
“I would say it's a leading indicator of product market fit. The lagging indicator is, do they actually keep using it? So probably retention cohorts are more, more accurate.”
Lookout raised its PMF score from 7% to 40% in two weeks
“And so the next cohort of people that we surveyed were at 40% saying they'd be very disappointed without the product. So that was really took two weeks to make those changes. Six months later, it was 60% on, on the Score. And then I think they hit the billion …”
Ellis: Improving retention depends far more on onboarding than tactical fixes
“Moving retention is really hard, but it's usually much more a function of onboarding to the right user experience than it is about the kind of the tactical things that people try to do to improve retention.”
Ellis: Product-market fit survey does not work for one-off products
“I think one-off products are probably not, not good products to run the question on.”
Ellis: Starting with a deeply passionate niche improves long-term startup survival
“I prefer kind of a more passionate Customer base that's, and work from there just because I think your biggest competition when you're really innovating is, is just like being irrelevant. And so if you're like deeply relevant to anyone, I think that gives you …”
LogMeIn scaled marketing from $10k to $1M monthly after fixing activation
“And so in three months, we improved the signup to usage rate by a thousand percent. So we went from only five percent of people using the product to 50%. I went back, tried the exact same channels that previously only scaled to 10,000 dollars a month. Now they…”