Pareen Lathia community builder · founder operator · occasional coder
growth play

go where your users already are and bring them over

your users already live on someone else's platform. plug your product into it as the better way to do the same thing, and bring them over.

acquisitiondistribution

the play

Your future users already gather somewhere, like a marketplace or an incumbent app. Plug your product into that place so it’s the better way to do the thing people are already doing there. Every use inside their platform recruits for yours.

what happened

companywhere the users werethe moveresult
AirbnbCraigslist, where people already listed and searched for roomsa “post to Craigslist” button that cross-posted Airbnb listings with a link back, built with no public Craigslist APIno public numbers. Andrew Chen used it as the case study in his essay “Growth Hacker is the new VP Marketing”
PayPaleBay, where buyers and sellers needed a way to pay each othersellers added PayPal as a payment option on their eBay auctionsPayPal estimated that 72.4% of eBay auctions accepted it in Q1 2002, against 27.2% for eBay’s own Billpoint. E-Commerce Times put it at about 75% the next quarter

So eBay bought it. In July 2002 eBay agreed to pay $1.5 billion in stock for PayPal and phase out Billpoint. About 60% of PayPal’s business was taking place on eBay at the time.

why it works

leverwhat it does
the audience is already thereyou skip the hardest part, getting people to show up
the intent is already therepeople on Craigslist want a room. people on eBay want to pay. you meet them mid-task
every use is an adeach PayPal button on an auction showed the next buyer the product
you win on the incumbent’s weak spotPayPal beat eBay’s own payment product on eBay’s own site

from my calls

really stealing users is actually the way best products grow. so where can you steal your users from?

A sports-betting team let users connect the sportsbooks they already used and earn a rank from their past betting history. A new user arrives with a reputation on day one, and the old sportsbook becomes the onboarding.

I point every team at the community of the biggest incumbent in their category. That’s where your users are today. Go find the Telegram groups and X accounts built around that incumbent, and give people there a reason to move.

cost vs payoff

what
costbuilding the integration or import, often without official support
costplatform risk. the incumbent can shut the door
payoffusers with intent, at the moment they need you
payoffyour product is seen by everyone on the incumbent’s platform
payoffin PayPal’s case, an acquisition by the incumbent

how to steal it

crypto appconsumer app
where they gatherthe incumbent’s Telegram and Discord, its top wallets, its leaderboardthe incumbent marketplace, forum or app
the bridgeimport wallet history, positions or points from the incumbent so users arrive with statusimport contacts, history or listings from the incumbent
the hooka rank or reward based on what they did on the incumbenta better way to do the same task, one click from where they are
measureusers who connected an incumbent account, their 30-day retentionimported users, their 30-day retention

Run it like this:

  1. Name the incumbent your users use today.
  2. List where its users gather: groups, accounts, marketplaces.
  3. Build the bridge so moving over costs one click and carries their history.
  4. Give them a reason to stay once they arrive.

watch-outs

watch-outwhat to do
the platform shuts you outassume the door closes. move users onto your own product and list fast
crossing into spamin 2011 a blogger showed that contractors working for Airbnb had emailed Craigslist posters. Airbnb said those contract salespeople were “apparently aggressive with their outreach”. do the bridge openly
imported users who never come backmeasure retention of the imported cohort separately
fake history (crypto)verify imported wallets and accounts belong to the user

sources

  1. Growth hacker is the new VP marketing, by Andrew Chen (Apr 2012)
  2. AirBnB leverages Craigslist in a really cool way (Getting More Awesome, Nov 2010)
  3. Airbnb admits to gaming Craigslist, blames rogue contractors (VentureBeat, Jun 2011)
  4. $1 billion 1 BR amazing startup, slight history of spam problem (Fortune, Jun 2011)
  5. PayPal prospectus, 424B1 (SEC, 2002)
  6. Profitable PayPal posts Q2 growth (E-Commerce Times, Jul 2002)
  7. eBay to acquire PayPal, joint press release (SEC 8-K exhibit, Jul 2002)
  8. eBay buys PayPal for $1.5 billion (CNN, Jul 2002)