Sustainable growth is measured by one or more of these loops growing the size of your monthly acquisition cohorts month over month with a flattened retention curve. A flattened retention curve of your key action at the designated frequency plus month over month growth in new customers is the best way I have found to measure true product/market fit.... See more

If you’ve been around startups long enough, you’ve undoubtedly seen startups with retention of customers that struggle to grow. If you’re not growing, you definitely do not have product/market fit. So product/market fit cannot be measured by retention alone. That retention has to create sustainable growth, which means the rate of retention matters.... See more

So, for most businesses, instead of measuring satisfaction, measuring retention is the best signal of product/market fit. Measuring retention is pretty easy. Perform a cohort analysis, graph the curve over time and see if there is a flattening of the retention curve. As I’ve discussed before, what you measure for your retention curve matters quite ... See more