The Great Growth Debate: Product vs. Marketing
Every business wants to grow, but the million-dollar question is: How? Should you let your product do the talking, or should you shout your message from the rooftops? Welcome to the ultimate showdown between Product-Led Growth (PLG) and Marketing-Led Growth (MLG). In this post, I’ll break down these two powerhouse strategies, show you who’s winning in different arenas, and help you decide which approach might be your ticket to success. Ready? Let’s go!
What is Product-Led Growth (PLG)?
In a nutshell: Let your product do the talking.
Product-Led Growth is all about letting the product itself drive user acquisition, retention, and expansion. Here’s what makes it tick:
- User experience at the forefront: PLG companies invest HEAVILY in creating a seamless, delightful user experience. The idea is simple – if users love the product, they’ll stick around and spread the word. Product is the key here, and therefore, most growth oriented actions are focused on improving it.
- Freemium models, free trials: Offering free versions or trials of the product lowers the barrier to entry. Users can experience the value firsthand before committing to a purchase. If the product is what makes it shine, than giving it for free should make users fall in love and get hooked!
- Virality and user referrals: Happy users are the best marketers. PLG leverages this by encouraging users to invite others, often through in-app features and incentives. Virality and referrals are usually ultra important here (except when we talk about B2D marketing, where developer personas are a whole different story, but more on that later)
A great example is: Slack – The tool that spreads like wildfire. Slack’s intuitive interface and freemium model allowed teams to adopt it organically, and separate work space from personal space (ekhem to those still using WhatsApp for work). Word of mouth did the rest, turning Slack into a household name in workplaces. I’m not saying that Slack didn’t do A LOT of growth hacks along the way, they absolutely did, but the product was what mostly did the trick there and they took their users feedback very seriously, which is why the product only got better, and fast!
What is Marketing-Led Growth (MLG)?
In a nutshell: Sell the sizzle, then the steak.
Marketing-Led Growth focuses on driving growth through strategic marketing efforts. What does it mean? Well, here’s the lowdown:
- Heavy investment in advertising: MLG companies put significant resources into advertising campaigns across various channels to build brand awareness and attract customers. Since the product might be complex and not necessarily straightforward to use, it’s the value proposition and the strength of the message that counts. A lead or a user needs to feel highly motivated to pursue the product, as it might not be self-explanatory (else you’d use PLG motion).
- Branding and positioning: A strong brand identity and clear market positioning are crucial. MLG is about creating a compelling story that resonates with the target audience. The brand must be trustworthy and worth the effort. Else, why would the leads care?
- Outbound marketing tactics: This includes everything from email campaigns to social media ads to direct sales efforts. The goal is to proactively reach out to potential customers and reel them in, explain why they should care and hook them with the specific message.
Example: Coca-Cola – Master of brand magic. Coca-Cola’s relentless advertising and iconic branding have kept it at the top of the beverage industry for decades. The product is simple and everyone knows it, but the competition is incredible and there are many smaller brands that sell coke under a whitelabel at 25% of what the “original” drink costs. Hence why Coca-Cola’s campaigns are legendary, creating an emotional connection with consumers around the world. They know that the original is the real deal, so why would they go for anything less?
The Battle Royale – PLG vs. MLG
Now, let’s get into the weeds (which is what I love the most – always in the weeds!). How do Product-Led Growth and Marketing-Led Growth stack up against each other?
First and foremost: User Acquisition:
- PLG: Organic growth, word-of-mouth. PLG companies rely on the product’s appeal to draw in new users. When users love what you offer, they naturally tell others. Think about how quickly Zoom became a household name during the pandemic – it’s all about word-of-mouth and quickness of execution!
- MLG: Paid campaigns, extensive outreach. MLG companies use advertising and outreach to get in front of potential customers. Whether it’s TV ads, social media promotions, or search engine marketing, these tactics aim to grab attention and drive traffic.
Customer Retention:
- PLG: Product stickiness, continuous value. When the product is designed to meet users’ needs and exceed expectations, they keep coming back. Take Spotify – users stay because they love the endless music discovery and personalized playlists.
- MLG: Loyalty programs, consistent engagement. MLG companies often rely on loyalty programs, discounts, and continuous engagement through newsletters and social media to retain customers. Starbucks’ rewards program is a classic example of keeping customers coming back for more.
Cost Implications:
- PLG: Lower upfront costs, scaling challenges. PLG can be more cost-effective initially, as it doesn’t require massive advertising budgets. However, scaling can be challenging if the product doesn’t naturally go viral.
- MLG: High initial investment, potential for quick wins. MLG requires significant upfront investment in marketing efforts. The benefit? If done right, it can lead to rapid growth and quick market penetration.
So… Which One’s Better?
Here’s the truth: It’s not PLG versus MLG. It’s PLG and MLG.
The most successful companies know how to balance both. They let their product shine and back it up with a powerful message. They build a growth engine where marketing amplifies the product—and the product validates the marketing.
Ask yourself:
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Is your product intuitive enough to drive self-serve growth?
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Does your audience need education and handholding?
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Do you have the budget to fuel awareness fast?
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Is virality realistic or is it wishful thinking?
There’s no single blueprint for growth. Every business is unique, and so is every audience. But the strongest strategies are hybrid by design. They combine product-led delight with marketing-led precision.
If your product sells itself—double down on PLG.
If it needs storytelling and education—lean into MLG.
If you want to build an unstoppable flywheel—do both. Intentionally.
Thanks for reading! If you’ve wrestled with these growth strategies—or are in the middle of choosing—drop your thoughts in the comments. What’s worked for you?
Let the great growth debate continue.