4min chapter

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch cover image

20 Product: Spotify's Gustav Söderström on Why Product is 100% Science and 0% Art, Why You Should Look at the Competition and then Do Something Completely Different & Why Talk is Cheap and Product Teams Should Do More of it; Structuring the Best Debate

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch

CHAPTER

Is It Better to Be Lower on a Mountain Than Higher on a Smaller Mountain?

Daniel Shack: It's better to be lower on a tool amount in than higher on a smaller mountain. The problem with that is when you jump from the peak of that first mountain, you're actually very likely to land somewhere at the base of the new mountain. When we finally launched this mobile free tier that was contrarian to YouTube and they risked our business model, what happened was fewer and fewer people used the desktop free tier. Everyone downloaded app for months, right? But premium conversion was an exponential curve in the other direction. And as you can imagine, many people were wondering if it was going to catch up or not.

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