Product-led growth (PLG)

Growth driven by people using the product itself — free tiers, trials, sharing — rather than by a sales team.

Example

A free plan whose shared documents bring in the recipient's whole team.

Important

PLG needs a product that delivers value before anyone talks to a human. It suits low-price, self-serve products and fits enterprise sales badly.

Related terms

  • Distribution — How your product reaches customers — the channels through which people discover and adopt it.
  • Growth loop — A cycle where the output of using the product feeds back into acquiring more users.
  • Freemium — A permanently free tier alongside paid plans, where the free tier drives adoption.

Lessons that explain it

  • Choosing a distribution channel — Most startups win with one channel, not five. Picking it is more important than executing it well. (12 min)

All 176 terms in the Founder glossary