I thought this was an outstanding podcast - one every dev tools startup founder should listen to or read the transcript of. Brief 🧵 on what I found interesting.
.@jeffiel: AWS + APIs have given us the supply chain for building software.
Rule 1: Build the software that faces your customer.
Rule2: The act of building software is but the act of listening to your customer.
.@jeffiel: Documentation is the new content marketing. Good clear writing skills are indeed a superpower.
How to think about GTM for dev tools saas cos.
Get developers closer to customers. Also, are PMs shielding devs too much? (ooh...shots fired!)
Developer work culture and working styles.
On the advantages of small teams.
The sheer competitive advantage that Amazon has by being able to master small team working and collaboration is something!
I thought this was really interesting. What really is the role of the sales team in a dev tools saas co? It is managing the CFO + CXO suite, & assuaging them as the spend rises automatically with the API calls, and comforting them that they are better off with this model.
Overall, a really really good podcast. Hit so many themes + angles. This is the kind of content you cant get in any traditional media co.
1st fit: product / solution to problem fit - ensuring that you are able to create a product that solves some or most of the customer problem that spurred you to start up. This is the Minimum Viable Product or MVP as it is called.
(also ref to as the value hypothesis)
2nd fit: GTM to market fit, where you reach the ideal combo of customer segments, sales channels & customer acquisition approaches (collectively GTM) getting you to +ve contribution margin (i.e., revenue minus COGS minus direct mktg costs) for every new customer. This is PMF.
A startup learns about itself in 3 ways. Or rather founders learn about their startup, & how well it is doing, or not, in one of 3 primary ways.
- customers / product iterations
- interviewees / hiring
- investors / fundraising
In that order.
Let us unpack this.
Customers / product iteration.
The best customer feedback is not by hearing them talk, but seeing how they interact with the product - buying it, or using it.
Learn from the feedback + reactions you get, & further iterate the product. And again go back to them with the product. The faster the pace of product iteration, the faster the learning cycles.
This is really what matters for learning from customers
Of course hardware in edtech isnt new. Byju's for instance has thus far sold its content via tabs.
Incl MBA Prep, not just high school tuition.
Hardware is a great way to build a pipe / enable access in markets where internet bandwidth is iffy. As this SD card play from Nigerian startup @uLessonApp by @SimShagaya shows...
Interesting to see Substack, Teachable (or Didactic from @wes_kao@gaganbiyani where @Lennysan is offering this cohort-based course) as the initial tiles of a larger revenue jigsaw (puzzle).
The core theme is of course @kevin2kelly's famous making a living of your 1,000 or (more) true fans. All of these (Substack, Teachable, Patreon, BuyMeaCoffee etc.) can be seen as ways to enable different route of making a living via your 1k fans
Before the internet, you had to go through gatekeepers (editors, music co CEOs etc) to reach your fans.
Then, in the first phase of the internet you had marketplaces (Skillshare, Udemy, itunes) where you dont have emails or even direct connects with your fans.
Understanding startups (or scaling startups), metrics & valuations
or
how not to be misled by analog metrics when you run digital scalable ventures.
1st a key clarification: there are many kinds of startups - at one extreme, think of a SaaS venture aimed at getting 1m+ developers to swipe their cards, aiming to be a $1b rev biz in 5+ yrs; at other a local restaurant or a pet salon with no rev goals. In middle varying combos.
VCs invest exclusively in the 1st kind of startups - businesses that grow big very fast (or scale) - typically tech or tech-led (incl software, hardware, biotech) ventures. Tech allows you to serve or acquire next customer at low to zero cost. This is an important criterion.
On my new post. This is a massive ~7k words piece!
I write abt the 'Indus Valley' playbook. Indus Valley is tour desi startup ecosystem, and the Indus Valley playbook is the hacks, biz models & approaches needed to win in this unique ecosystem.