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The new PLG playbook | Arming the next generation of product-led companies | Oliver Jay (Asana, Dropbox)
In Depth
Challenges and Considerations for PLG Companies
PLG companies need to consider the timing of their approach, organizational structure, and experimentation in embarking on a long-term journey. It's challenging for PLG companies to become highly valued on an inbound-only SMB approach, urging the need for hypotheses in scaling and solving larger problems. Horizontal approaches in B2B may not have sufficient runway, necessitating a focus on specific verticals initially to gain traction. Companies often struggle with forecasting when transitioning to enterprise sales, mistakenly applying traditional headcount-driven methods. The focus should be on real product-market fit at a large scale before considering scaling, expansion, or hiring. PLG companies need to plan and predict cautiously, factoring in conflicting emotions and avoiding the common trap of overly optimistic forecasting based on enterprise revenue.
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