{"id":273276,"date":"2025-05-27T11:17:55","date_gmt":"2025-05-27T11:17:55","guid":{"rendered":"https:\/\/userpilot.com\/blog\/?post_type=pitt&#038;p=273276"},"modified":"2025-05-27T11:17:55","modified_gmt":"2025-05-27T11:17:55","slug":"common-product-led-mistakes-to-avoid","status":"publish","type":"pitt","link":"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/","title":{"rendered":"Common Product-Led Mistakes to Avoid"},"content":{"rendered":"<p>Product-led growth is a new way of buying.<\/p>\n<p>When you think about the typical way of selling software, a lot of times that\u2019s about demos, where it\u2019s like, hey, let me show you exactly what this does. And that\u2019s common in a <a href=\"https:\/\/userpilot.com\/blog\/plg-motion\/\" target=\"_blank\" rel=\"noopener\">product-led motion<\/a>. It\u2019s all about, can I try before I buy? Can you show me the value? Whereas the sales-led model is all about telling people.<\/p>\n<p>Every single company in the world can be product-led. Now, different forms of product-led growth exist, so how this looks for your company might be completely different. For instance, what we\u2019re doing today with the blogs and the <a href=\"https:\/\/userpilot.com\/blog\/product-led-content-marketing\/\" target=\"_blank\" rel=\"noopener\">content game<\/a>\u00a0is a form of being product-led.<\/p>\n<p>Can we provide a ton of value to solve your big problems before you ever become a customer, to build trust, and to serve people before we sell them? Absolutely. Does it always have to be a <a href=\"https:\/\/userpilot.com\/blog\/freemium-saas\/\" target=\"_blank\" rel=\"noopener\">free model<\/a>? No. But that\u2019s a great place to start, as your company embodies this across the entire business.<\/p>\n<h2>Common mistakes companies make when growing product-led<\/h2>\n<p>I will share the number one mistake, along with a bit of my research.<\/p>\n<p>The biggest mistake a lot of people make is that they think of product-led growth as just the free model or <a href=\"https:\/\/userpilot.com\/blog\/saas-pricing-models\/\" target=\"_blank\" rel=\"noopener\">transparent pricing<\/a>, overall experience, onboarding, and the like. That\u2019s actually what gets people in trouble, is that we think it\u2019s this mount PLG.<\/p>\n<p><a href=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/mount-plg.png\"><img decoding=\"async\" class=\"alignnone size-full wp-image-273278\" src=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/mount-plg.png\" alt=\"Mount PLG\" width=\"800\" height=\"450\" srcset=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/mount-plg.png 800w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/mount-plg-450x253.png 450w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/mount-plg-768x432.png 768w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><\/a><\/p>\n<p>But you forget everything that supports PLG, such as everything below the surface:<\/p>\n<p><a href=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/elements-plg.png\"><img decoding=\"async\" class=\"alignnone size-full wp-image-273295\" src=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/elements-plg.png\" alt=\"PLG Elements\" width=\"800\" height=\"450\" srcset=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/elements-plg.png 800w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/elements-plg-450x253.png 450w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/elements-plg-768x432.png 768w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><\/a><\/p>\n<p>When you implement PLG without proper planning, you lack the organizational foundation to support your efforts. You&#8217;re missing a clear <strong>strategy<\/strong> that defines where Product-Led Growth fits into your overall business model. And as a result, you end up without the right teams, capabilities, or data infrastructure necessary for success.<\/p>\n<p>You can&#8217;t see if users find your product valuable. You won&#8217;t be able to run <strong>great experiments<\/strong> to improve your Product-Led Growth approach. This is the biggest mistake most companies make with PLG.<\/p>\n<h2><strong>Examples of companies that have made these mistakes<\/strong><\/h2>\n<p>I\u2019ll share my own story for this one.<\/p>\n<p>So, when I was at Vidyard (video marketing tool), we decided to\u00a0<a href=\"https:\/\/userpilot.com\/blog\/free-trial-vs-demo-saas\/\" target=\"_blank\" rel=\"noopener\">launch a free trial<\/a>\u00a0since everybody else was doing it.<\/p>\n<p><a href=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial.png\"><img decoding=\"async\" class=\"alignnone size-full wp-image-273312\" src=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial.png\" alt=\"Vidyard free trial\" width=\"2508\" height=\"1268\" srcset=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial.png 2508w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial-450x228.png 450w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial-1024x518.png 1024w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial-768x388.png 768w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial-1536x777.png 1536w, https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Vidyard-free-trial-2048x1035.png 2048w\" sizes=\"(max-width: 2508px) 100vw, 2508px\" \/><\/a><\/p>\n<p>So we just looked and said, oh okay, our competitors are doing a 14-day free trial, let\u2019s do that too. And we simply slapped on a free trial.<\/p>\n<p>We got a lot more sign-ups, but then we were wondering why none of those\u00a0<a href=\"https:\/\/userpilot.com\/blog\/saas-average-conversion-rate\/\" target=\"_blank\" rel=\"noopener\">people were converting<\/a>. The only ones that did were the ones that sales had talked to. Surely, PLG doesn\u2019t work in this instance.<\/p>\n<p>And so, it really comes back to what I said before because we approached it very surface-level. We just slapped on PLG to our business, but we didn\u2019t have that PLO (<a href=\"https:\/\/userpilot.com\/blog\/product-led-organization\/\" target=\"_blank\" rel=\"noopener\">product-led organization<\/a>) experience.<\/p>\n<p>Now, compare that to our second time when we realized that nobody was uploading videos in our free trial. So we asked them why, and they explained it\u2019s because we didn\u2019t really have a good video we could share.<\/p>\n<p>And so we decided, let\u2019s just make it free and make it easy for anybody to do that. We created a free Chrome extension, and because we did that, it made it so easy for people to have that <a href=\"https:\/\/userpilot.com\/blog\/positive-customer-experience\/\" target=\"_blank\" rel=\"noopener\">experience<\/a>.<\/p>\n<p>Within the 1st 12 months, we had 100,000 people going through and using the product, and then there are millions of people today.<\/p>\n<p>That is still to this day, you start with Vidyard, and you create a video. It\u2019s easy. And that is exactly why it worked, because it solved a meaningful problem, and people were able to get access to that <a href=\"https:\/\/userpilot.com\/blog\/adding-value-to-products\/\" target=\"_blank\" rel=\"noopener\">value in the product<\/a>\u00a0quickly.<\/p>\n<h2><strong>How can companies avoid falling into these PLG traps?<\/strong><\/h2>\n<p>The main thing that companies can do to avoid falling into this trap is to start with a product-led organization.<\/p>\n<p>Your PLG motion will only become as strong as your\u00a0<a href=\"https:\/\/userpilot.com\/blog\/product-led-organization\/\" target=\"_blank\" rel=\"noopener\">product-led organization<\/a>. And those product-led organizations are the company-focused backbone that makes PLG work. So that is how you avoid it.<\/p>\n<h2><strong>Signs of failure<\/strong><\/h2>\n<p>What are some signs that your PLG strategy is failing? There are several key indicators to watch:<\/p>\n<ul>\n<li>A poor free-to-paid conversion rate is the most obvious red flag. When very few users upgrade from your free tier to paid plans, it signals fundamental issues with your value proposition.<\/li>\n<li>High early-stage churn is concerning. If customers consistently abandon your product within the first 30, 60, or 90 days, your model likely isn&#8217;t delivering sufficient value quickly enough.<\/li>\n<li>Low engagement is telling\u2014when users simply stop logging in altogether, they&#8217;ve failed to integrate your product into their workflow.<\/li>\n<\/ul>\n<h2><strong>How can sales-led\/marketing-led companies transition into product-led?<\/strong><\/h2>\n<p>You have to start with your strategy, identify the\u00a0<a href=\"https:\/\/userpilot.com\/blog\/ideal-beta-tester\/\" target=\"_blank\" rel=\"noopener\">ideal user<\/a>, and then build your intentional model.<\/p>\n<p>Then, phase 2 is all about building a product that sells stuff. So you have to get the right offer,\u00a0<a href=\"https:\/\/userpilot.com\/blog\/frictionless-customer-experience\/\" target=\"_blank\" rel=\"noopener\">make it frictionless<\/a>\u00a0for people to get the value, and choose powerful pricing so people can sign up on their own.<\/p>\n<p>And then you can move into the 3rd phase, which is all about getting the right data, launching experiments to improve, and then making sure you have the <a href=\"https:\/\/userpilot.com\/blog\/product-team-structure\/\" target=\"_blank\" rel=\"noopener\">right team<\/a>.<\/p>\n<p>So that order solves 90% of the problems when it comes to transitioning. You have to follow this order and get everybody on track with the right approach.<\/p>\n<h3><strong>What are the cultural shifts that companies need to make to successfully adopt a product-led approach?<\/strong><\/h3>\n<p>There are a lot. I\u2019ll sum up some of the core values you would need:<\/p>\n<ul>\n<li><strong>Simplicity:<\/strong> Simplicity is important for a\u00a0<a href=\"https:\/\/userpilot.com\/blog\/plg-companies\/\" target=\"_blank\" rel=\"noopener\">product-led\u00a0company<\/a>\u00a0just because by nature, what you\u2019re doing is making something a lot easier. So, you have to embody that.<\/li>\n<li><strong>Transparency:<\/strong> You\u2019re putting your product first, and it might not be that good of an experience initially, but you have to believe in that and give people that transparent experience to\u00a0<a href=\"https:\/\/userpilot.com\/blog\/product-value\/\" target=\"_blank\" rel=\"noopener\">experience the value of the product<\/a>, the pricing, and all those things.<\/li>\n<li><strong>Empowerment:<\/strong> Make sure you\u2019re really all about empowering your users to see value and giving them everything they need to succeed.<\/li>\n<li><strong>Empathy:<\/strong> You have to make sure you build a culture of empathy, whether that\u2019s having everybody on your team do a day of support monthly or something like that to just keep them grounded, so they understand what those challenges are that people have.<\/li>\n<\/ul>\n<h2><strong>How can companies measure the success of their product-led strategy?<\/strong><\/h2>\n<p>Product-Led Growth success hinges on three essential pillars:<\/p>\n<ul>\n<li><strong>Effortless annual recurring revenue:<\/strong> This measures how effectively your product sells itself without heavy intervention. Self-serve revenue is our north star metric; it reveals both your current position and your destination.<\/li>\n<li><strong>Lean scalability:<\/strong> The true PLG advantage comes from generating substantial growth with a streamlined team. Revenue per employee becomes the definitive measure of your operational efficiency and leverage.<\/li>\n<li><strong>Durable growth:<\/strong> The ultimate test is whether you can systematically increase profitability year after year. This demands a resilient, adaptive strategy that evolves as competitors inevitably close the gap. Your business must continuously reinvent itself while maintaining unwavering focus on profit metrics specifically relevant to your market position.<\/li>\n<\/ul>\n<h2><strong>What advice would you give to companies looking to adopt a product-led growth approach?<\/strong><\/h2>\n<p>Have conviction. So the clients we struggle with are the ones who are tiptoeing their way around PLG. If you\u2019re gonna be a marathon runner, be a marathon runner. Don\u2019t try and be a sprinter.<\/p>\n<p>There\u2019s conviction and then commitment. Because honestly, for the first year, maybe even the second, this whole PLG thing might not look like a home run on paper. You\u2019ve really got to lean in and trust the process.<\/p>\n<div class=\"cta-container-pitt-speaker\">\n<div class=\"cta-content\">\n<h3 class=\"cta-title\">Don&#8217;t Miss Out on Expert Knowledge That Keeps You Ahead.<\/h3>\n<p><a class=\"btn btn-light\" href=\"https:\/\/productled.com\/\" target=\"_blank\" rel=\"noopener\">Read more from Wes<\/a><\/p>\n<\/div>\n<div class=\"speaker-image-pitt\"><img decoding=\"async\" class=\"cta-image\" src=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Wes-Bush-cta-image.png\" alt=\"Speaker Image\" \/><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Product-led growth is a new way of buying. When you think about the typical way of selling software, a lot of times that\u2019s about demos, where it\u2019s like, hey, let me show you exactly what this does. And that\u2019s common in a product-led motion. It\u2019s all about, can I try before I buy? Can you [&hellip;]<\/p>\n","protected":false},"author":86,"featured_media":273941,"template":"","class_list":["post-273276","pitt","type-pitt","status-publish","has-post-thumbnail","hentry","pitt_type-read-grow"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.2 (Yoast SEO v27.2) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Common Product-Led Mistakes to Avoid<\/title>\n<meta name=\"description\" content=\"Discover common PLG mistakes from Wes Bush. Learn from real examples and avoid PLG pitfalls that derail conversions.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Common Product-Led Mistakes to Avoid\" \/>\n<meta property=\"og:description\" content=\"Discover common PLG mistakes from Wes Bush. Learn from real examples and avoid PLG pitfalls that derail conversions.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\" \/>\n<meta property=\"og:site_name\" content=\"Thoughts about Product Adoption, User Onboarding and Good UX | Userpilot Blog\" \/>\n<meta property=\"og:image\" content=\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Speaker-PITT-Wes-Bush-productled1.png\" \/>\n\t<meta property=\"og:image:width\" content=\"600\" \/>\n\t<meta property=\"og:image:height\" content=\"760\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"7 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\"},\"author\":{\"name\":\"Wes Bush\",\"@id\":\"https:\/\/userpilot.com\/blog\/#\/schema\/person\/c1144d5d568ef4090054e9a1e1767f76\"},\"headline\":\"Common Product-Led Mistakes to Avoid\",\"datePublished\":\"2025-05-27T11:17:55+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\"},\"wordCount\":1319,\"image\":{\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Speaker-PITT-Wes-Bush-productled1.png\",\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\",\"url\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/\",\"name\":\"Common Product-Led Mistakes to Avoid\",\"isPartOf\":{\"@id\":\"https:\/\/userpilot.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/userpilot.com\/blog\/pitt\/common-product-led-mistakes-to-avoid\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/blog-static.userpilot.com\/blog\/wp-content\/uploads\/2025\/05\/Speaker-PITT-Wes-Bush-productled1.png\",\"datePublished\":\"2025-05-27T11:17:55+00:00\",\"description\":\"Discover common PLG mistakes from Wes Bush. 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