What is Product-market fit?
Product-market fit is the point where a clearly defined group of customers buys your product, keeps using it, and recommends it, without you having to push. Demand starts to pull instead of you pushing.
Example
A common test, from Sean Ellis: ask active users how they would feel if they could no longer use your product. When 40% or more answer "very disappointed", you are likely close. Other signals: retention curves that flatten instead of dropping to zero, and new customers arriving through referrals.
Why it matters for early-stage founders
Before product-market fit, the job is learning: who exactly buys, and why. After it, the job is scaling. Spending on growth before fit usually burns cash on customers who leave.
The common mistake
Taking a successful launch or warm feedback as fit. Praise is not payment. Fit shows in behavior: people paying, returning and referring.
Find out how close you are
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Reviewed October 1, 2026