Product-Market Fit
The state where your product makes enough buyers happy that they pull more from you than you can push.
What it is
PMF = the inflection point where customer demand exceeds your ability to serve it. Acquisition gets cheaper. Retention climbs. Word-of-mouth kicks in.
How to measure
Sean Ellis test: ask customers "how would you feel if you couldn't use this product?" 40%+ "very disappointed" = strong PMF signal. Below 40% = not there yet.
Why it matters
Before PMF, growth marketing is wasted spend. After PMF, every $ of spend works harder. Companies that scale before PMF burn through cash + die.
PMF signals
Organic referrals climbing. NPS climbing. Churn dropping. Sales cycle shortening. Discount asks decreasing. CAC dropping while volume rises.
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