PLS comp structure, gamification, & activation

A subwoofer. 

Welcome to the PLG Recap

I spend all week deep diving into the best PLG LinkedIn posts so you don't have to. Click on the images if you want to see the full LinkedIn posts.

Here are my top 5 favorites from last week!

1️⃣ Elena Verna

Strategy or Tactic? Tactic

Growth lever = Product-led sales (PLS)

Recap

• If you want to adopt PLS, you need to hire sales, but product-led sales comp should be based on expansion ARR, not new logo landed ARR.

• PLS is about understanding revenue across product usage which means there are opportunities to increase revenue even if they don't go enterprise, yet.

• This is one step closer to bringing product-led growth into an org-wide company strategy by shifting the mindset of non-product teams also owning growth.

2️⃣ Robert Kaminski

Strategy or Tactic? Tactics

Growth lever = Acquisition, Retention, Monetization

Recap

• Check out the full post on a wonderful PLG pricing breakdown of Airtable from acquisition features such as multiplayer mode to monetization features such as 2nd level aha moments.

• I noticed how Airtable puts most of its acquisition and activation features in its free plan. Why? Because you don't want to charge on input features. 

• Bringing us to monetization where Airtable charges based on capturing additional value such as multiple integrations or extensions.

3️⃣ Priya Bhatia

Strategy or Tactic? Tactics

Growth lever = Retention

Recap

• Two types of activation: persona-based and user journey-based.

• Priya is creating a great activation distinction between single users and teams in PLG. It's important to design, define, and delineate the differences in the setup moments for each.

• Focus on user journey activation, then scale to team activation. (this will also make it easier to create PQLs in the future!)

4️⃣ Momo Ong

Strategy or Tactic? Tactic

Growth lever = Retention

Recap

• B2C companies have been paving the way for B2B companies all along and Duolingo is no different.

• Duolingo uses gamification as its most powerful retention strategy by using tactics such as streaks, leaderboards, and a virtual point system.

• Gamification is one of many strategies to bring more entertainment into B2B SaaS in order to meet our users' expectations.

5️⃣ Austin Yang

Strategy or Tactic? Strategy

Growth lever = Retention

Recap

• Austin breaks down 3 types of retention that PLG companies need to look at: Logo Retention, Net Revenue Retention, & Usage Retention

• Usage retention is the leading retention metric growth teams should focus on because it is more actionable

• I think you can look at revenue retention as a monetization strategy separate from usage retention too because you can adjust pricing and packaging which is independent of usage on freemium tiers (sometimes).

Thanks for taking the time to stop by today!

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See you next time.-Drew