Ongoing Product Market Fit

Customer Segmentation

Sean Ellis is a SaaS demand gen expert who coined term ‘growth hacker’

He surveyed 100 SaaS companies for successful customer segmentation, i.e. “Product Market Fit”

His conclusion is that segmentation is working when 40% of customers would be mad if the product was no longer available

For this 40% the product has become a utility, integrated into their workflow

Revenue growth forces continuously improved customer segmentation: current profiles updated, more tightly focused profiles, new customer profiles to test

Effective customer segmentation is foundational for improving most revenue levers:
•# of leads generated
•Sales team [hire, onboard, manage]
•Continually improving month over month results
•Branding/messaging

Yes, you can grow revenue without accurately defining your customer, it's just a heck of a lot harder