What is Market Fit?
When the product meets a strong market demand.
Definition
Market fit occurs when a company's product satisfies a strong market demand, with customers purchasing, using, and recommending it at a scale that sustains growth and profitability.
Importance
It is crucial for startups and established companies as it reduces the risk of failure, facilitates product sales, and enables informed decisions about features, pricing, and market approach.
Measurement
It is measured through a combination of qualitative and quantitative metrics, including customer surveys, retention rates, and market share.
Process
Achieving market fit involves understanding the target customer, identifying their needs, defining a value proposition, and testing the product with the market.