Pre — Product Market Fit [PMF]

Most startups develop their PMF in this order: product, product, product, product, a little market, a little more market, market, after several years, business model, business model, etc.

‘Fit’ is achieved when the Product and Market can be marketed/serviced within your business model: MKT/sales team, CAC, sales channel, sales cycle time are all part of the Business Model ‘fit’

Given that PMF requires the Product and Market to Fit the Business Model, our methodology is to define and test all 3 elements, CONCURRENTLY

While not brilliant, concurrent testing cuts time to PMF by 2/3s: 12-18 months versus 3-5 years

1st Level of Product Market Fit

•Defined set of similar paying customers [ICP]
•$100-200K ARR from ICP
•40%+ users are dependent on Product use
•Clear preexisting pressure to act [Latent Demand]
•Feasible to sell 10x of proven ICP
•Product is 5x better than customer’s workaround solution
•Workflow integration solved