Leaner than competitors: simple product offering | 2min snip from Lenny's Podcast: Product | Growth

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Jason Fried challenges your thinking on fundraising, goals, growth, and more

Lenny's Podcast: Product | Growth | Career

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Leaner than competitors: simple product offering

The company discussed in the snip stands out from its competitors by maintaining a lean team of around 70 employees while having a customer base similar in size to larger competitors with thousands of employees. This is possible because the company focuses on efficiency rather than growth. By having a simple product offering with one or two price points and no salespeople, the company avoids the complexities and high support costs associated with offering multiple products, catering to various customer tiers, or customizing services for enterprise clients. This approach allows the company to maintain a clear and straightforward product, serving all customers equally without the need for extensive support infrastructure.

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Jason Fried is the co-founder and CEO of 37signals, the maker of Basecamp and HEY. 37signals is a very different kind of company. With fewer than 80 employees, they have over 100,000 customers, generate tens of millions of dollars in profit each year, and have no investors, board, or any plans to ever raise money or sell the company. In our conversation, we explore a path many tech founders never consider—bootstrapping. We discuss:

• Why he and his team prioritize profit above all else

• The unexpected challenges with raising venture capital

• The “Shape Up” framework for building products

• Why, and how, to foster a gut-driven culture

• Jason’s thoughts on why work should not feel like war

• Advice for starting a bootstrapped business

• The philosophy behind Once, 37signals’s new line of software products

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Find the full transcript at: https://www.lennysnewsletter.com/p/jason-fried-challenges-your-thinking

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Where to find Jason Fried:

• X: https://twitter.com/jasonfried

• LinkedIn: https://www.linkedin.com/in/jason-fried/

• Email: jason@hey.com

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Where to find Lenny:

• Newsletter: https://www.lennysnewsletter.com

• X: https://twitter.com/lennysan

• LinkedIn: https://www.linkedin.com/in/lennyrachitsky/