The Four Elements of a Massively Scalable Startup
Want to become a massively scalable company? With Sean Ellis’s four elements as your business model, you can bring powerful scalability to your startup. They are:
Element 1: Gratification engine
This is the repeatable process of turning cold prospects into highly gratified customers. It’s an uphill battle, but start with a lot of prospective customer feedback, review, re-work, and then go again.
Element 2: Economic engine
“For your business to be sustainable in the long run your average revenue per user will need to exceed your average cost per user. Beyond business sustainability, the right monetization approach will also be based on the value users get from your solution, the competitive environment and your ultimate growth strategy.”
Element 3: Growth engine
Depending on your economic engine, you can use these variably-priced tactics to drive growth:
- Search engine optimization
- Viral marketing
- Display advertising
- Search engine marketing
Element 4: Huge addressable market
Markets are hard to size—especially when it comes to the best opportunities. Make approximations that are believable and big.