User acquisition is a money problem; retention is a product problem
Rajul Garg · 100x Entrepreneur | Episode 13 | Rajul Garg, Founder and Managing Partner of Leo Capital · Oct 6, 2019 · at 21:05
Rajul Garg, Founder and Managing Partner of Leo Capital, explains why he prioritizes retention metrics over top-of-funnel user acquisition when evaluating consumer apps.
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“I believe that sort of the acquisition problem or how do you get more users to get into your app is kind of a solvable problem through money, right? So I think you raise VC funding, you advertise, you deal offers, this and that. So I think that, that is kind of a more of a money problem over a period of time when you look at scale. The more money you have, you can acquire more users. Of course you can hack it, you can do growth hacks and this and that, but still, you know, it's predominantly a money problem, I feel. You know, but I think the retention is really like a product problem, like no amount of money can solve it, right?”
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