The Importance of Product-Market Fit

As digital marketers, we might get too involved with the lead generation campaigns that we forget about the product-market fit. Generating leads is actually not a problem. Anyone can generate leads if they have a good enough budget. The biggest question to ask is: how are we going to fund the lead generation campaigns.

It doesn’t matter if you are using organic lead generation campaigns which you think are “free” methods. Even the so-called free methods require time to create the content which would then attract the traffic organically.

The only way to make sure that your lead generation campaigns keep running is to make sure that the leads are actually converting. The usual system is to generate leads, nurture them using a marketing sequence and then close the leads via sales webinars or sales calls.

However, the chances of the sales process bringing in the sales are completely dependent upon the product-market fit of the product that you have. No amount of lead generation campaigns can help bridge a poor product-market fit. But on the other hand, if you have a good product-market fit and if the market is large enough, you can scale your lead generation campaigns to the moon.

So your next question probably is: how to get a good product-market fit. A good product-market fit is achieved by making sure that you understand the customers so well that you know about their needs, wants, and desires even better than they know it themselves. This includes activities like spending time with customers in a community and genuinely helping them with their queries.

If you have a small tribe, the people in the tribe will give you a fair idea about what they want. And if you find out that there is a gap in the market, then you can fill it up with your product. If the product-market fit is great, you need not even hard-sell your products and services. Just let your leads know that your product exists in the market and the sale will happen automatically.

You can also consider meeting your tribe members in offline meetups (as long as it is safe) and do 1-to-1 calls with your leads. You don’t need to do it when you have 1,000s of leads a day. But you can get to 1000s of leads a day only when you understand the customer so well that you have a perfect product-market fit and also a marketing-market fit. Your marketing message will resonate with the audience out there in the world only if you talk to their needs and desires. Else you will be shouting and no one will respond.

Once you get the system to work on a small scale, making it work on a large scale is just a matter of adding zeroes to your marketing budget. Make a marketing funnel so efficient that if you 10x your daily budget, your revenue becomes 10x without any leakage in the efficiencies of the system.

Google more about “product-market fit” and the importance of it in marketing. You will get a lot of insights.

Cheers,
Deepak