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Product-Led Growth Strategies That Actually Work for B2B SaaS

Chris Newton
June 10, 2024
4 min read
PLGProduct-Led GrowthB2B SaaSGrowth Strategy

After implementing product-led growth strategies at Klaviyo, Ketch, and Skedda—driving thousands of signups and millions in pipeline—I've learned what actually works in B2B PLG. Here's the playbook.

What is Product-Led Growth?

PLG is a go-to-market strategy where the product itself drives acquisition, conversion, and expansion. Instead of relying solely on sales teams, you let users experience value before talking to anyone.

Traditional Sales-Led: Marketing → SDR → AE → Customer

Product-Led: User Signs Up → Experiences Value → Converts (with or without sales)

The PLG Funnel That Works

1. Frictionless Signup

Remove every barrier to getting started:

  • No credit card required for free trials
  • Single sign-on options (Google, Microsoft)
  • Minimal form fields - just email to start
  • Instant access - no "we'll get back to you"

At Skedda, we drove 6,000+ signups in 6 months by making signup take less than 30 seconds.

2. Time-to-Value Optimization

The faster users see value, the more likely they convert. Map out your "aha moment" and remove every step between signup and that moment.

Questions to ask:

  • What's the single action that makes users say "this is useful"?
  • How many steps does it take to get there?
  • What can you pre-populate or automate?

3. Self-Serve Onboarding

Build onboarding that doesn't require human intervention:

  • Interactive product tours (not just videos)
  • Contextual tooltips that appear when needed
  • Progress indicators showing setup completion
  • Template libraries so users don't start from scratch

4. Usage-Based Conversion Triggers

Not everyone converts at the same time. Set up triggers based on product usage:

  • User hits usage limit → upgrade prompt
  • User invites team members → team plan offer
  • User uses advanced feature → premium upsell
  • User inactive for 7 days → re-engagement email

PLG Metrics That Matter

Forget vanity metrics. Track these:

| Metric | What It Tells You | |--------|-------------------| | Signup → Activation Rate | Is onboarding working? | | Time to Value | How fast do users see results? | | Free → Paid Conversion | Is the product selling itself? | | Expansion Revenue | Are users growing with you? | | Product Qualified Leads (PQLs) | Who's ready for sales? |

Combining PLG with Sales

PLG doesn't mean no sales team. It means a more efficient one.

Product Qualified Leads (PQLs): Users who hit engagement thresholds that indicate buying intent. These convert 5-10x better than MQLs.

PQL Criteria Examples:

  • Invited 3+ team members
  • Used product 5+ days in a row
  • Hit 80% of usage limit
  • Viewed pricing page 3+ times

At Ketch, we 20x'd free signups while also quadrupling demo requests. PLG and sales-led aren't mutually exclusive.

Common PLG Mistakes

1. No clear upgrade path Users don't know how to pay you. Make pricing obvious and upgrade frictionless.

2. Ignoring free users Free users are future customers and referral sources. Nurture them.

3. Too much friction "for security" Every form field, verification step, and approval process kills conversion.

4. Not tracking product usage You can't optimize what you don't measure. Implement product analytics from day one.

5. Waiting too long to add sales Pure PLG works for some products. Most B2B needs sales assist for larger deals.

Getting Started with PLG

If you're transitioning from sales-led to PLG:

  1. Start with a free tier or trial - even if limited
  2. Implement product analytics (Heap, Amplitude, Mixpanel)
  3. Define your activation metric - what action predicts conversion?
  4. Build self-serve onboarding - reduce dependency on humans
  5. Create PQL criteria - when should sales engage?

PLG isn't a switch you flip. It's a muscle you build over time. Start small, measure everything, and iterate.