growth-loops

Start by defining your product's core value and main user action, then evaluate which of the five loop types (viral, usage, collaborative, user-generated, referral) matches your product type and user behavior. Design the trigger points, incentives, and sharing mechanics, then calculate the loop coefficient before building.

The five types are viral loops (content shared externally), usage loops (creations attract new users), collaborative loops (team invites), user-generated loops (content discovery drives creation), and referral loops (incentivized invitations). Each suits different product types and user behaviors.

A funnel is linear: users enter at acquisition and exit at conversion. A loop is circular: each user's actions generate new users, so output feeds back as input. Loops compound over time, while funnels require continuous new input like paid ads.

Collaborative loops typically fit B2B SaaS best because users invite colleagues to co-work inside the product, driving organization-wide adoption with high retention. Referral loops also work when incentives align with business value without eroding unit economics.

Loops underperform when your product lacks shareable outputs, has no network effects, or serves users with no collaboration needs. Early-stage products without sufficient active users may need paid acquisition first to seed the loop's initial cycle.