Get Big Fast or Get Better Slow?
Get Big Fast, a phrase most commonly attributed to Amazon Phenomenon of acquiring significant market share in your category in very little time but growing extremely fast. The numbers in cases such as these don’t grow linearly but exponentially. The Get Big Fast philosophy requires extreme focus on scaling operations, hiring, aggressive marketing and short product cycles. The targets set for the growth might look unreasonably high to some but that’s the only way this works, Get Big Fast and become the leader in your category before anyone else so that now your Scale also works as a Differentiator.
The other or rather opposite approach that most businesses wittingly or unwittingly end up with is what I call Get Better Slow. This happens in most startups. They have reasonable growth targets and work on a moderate or slow pace to achieve them. Part of the reason is lack of clarity or conviction about the end goal and part is the lack of firepower among other things. Interestingly the Get Better Slow option is the default for most startups and many a times without the founders realizing they approach this with the perspective of doing more groundwork, thinking deep, organic growth and what not.
While I don’t mean to say that a startup growing slowly would stay like that forever but what I really mean is that unless the founders and team consciously choose to set and attain unreasonably high growth targets, their chances of staying in the business as a significant player are quite less. To give you some context, for someone doubling the revenue in six months might be great but for someone doubling revenue in 2 months is the desperate need and unless the need is desperate, ones chances of getting there are a bit less.
Also, in many cases Get Big Fast Vs Get Better Slow turns into Growth Vs Revenue. While one startup might keep focus on revenue/monetization, the other might just do the opposite to make sure that monetization doesn’t distract them from growth. It’s actually one of most crucial decisions for a startup, a HUGE BET which in most cases doesn’t pay off well.
The more I think about it, the more I am inclined to like the Get Big Fast philosophy which involves stretching out to the hilt, tons of small and big experiments and very short learning cycles. On the contrary the Get Better Slow philosophy which appears to be grounded on the thought of making a sustainable, quality/customer centric business actually hurts the startups more because of the comparatively slower iteration cycles which in most cases lead to losing traction or a considerable part of the market to competitors who manage to Get Big Fast, which effectively means that tough you think you are doing a great job for your customers but your customer set is so small that it doesn’t change much in the bigger scheme of things
Get Better Slow: Get Big Fast:: Passion: Obsession
What do you think?