The worst advice for founders launching a new product

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Andy Crebar
2
 min read
2
 min read

Summary

Don’t give away your product or service. Get your customers to put money down.

There’s no shortage of advice out there for founders launching a new product.

Some of it is very good. Like, awesome. It'll save you a tonne of time.

Some of it's misguided. Even dangerous.

One of those is this. Start by offering your product or service for free.

This seems like a no-brainer. Who doesn’t like free stuff?

You give people free access. They use your product or service and give feedback and if they like it, they leave a review or you get a case study! 

I've followed this playbook many times. It sounds great in theory but there’s a serious flaw in this approach.

Why They Say Yes (Even When They Don’t Care)

People say yes to free trials all the time.

It’s usually because they like you, not because they’re dying to use your product.

Like all things, there are exceptions. If the free trial converts into a paid thing, or gets them hooked into a workflow on a bigger paid thing, or your monetisation strategy is focused elsewhere etc.

But remember that when you ask for help, they are likely to say yes. People want to help. 

Unfortunately, good intentions don’t always translate into positive impact.

Why It Doesn’t Work

The core issue is that people don’t value what they get for free.

They’re not actually committed without skin in the game.

The customer lacks the urgency to give feedback or engage with your product.

This will lead to delays and disinterest.

Timelines slip. You chase people for feedback. They go on leave. Now, your free trial or pilot is weeks behind.

Think about this on a spectrum. You want raving fans of your product.

Upset customers are the second-best thing. They expect value because they are paying you. If it's not great, they will give you feedback on what sucks and how you can fix it.

The worst outcome is silence. When people are not using it and don't care enough to give you feedback.

Spectrum of early product feedback from silence to upset customers to raving fans; difference is money, feedback, and iteration - Andy Crebar

Cash Collected

How do you avoid this trap? 

Get cash invested in the deal. Even if it’s early. Even if it’s imperfect. Get people to put down money for it.

Once they pay, they are more likely to:

  1. Use it
  2. Prioritise it
  3. Get frustrated when it’s not meeting expectations.
  4. Give real feedback.

But getting someone to part with real cash is difficult, so we need to reduce their risk in the equation.

Using a Guarantee

There are a few types of guarantees you can offer. 

The main three I’ve seen are:

  1. Satisfaction Guarantee: “If you are not happy, we will refund you.”
  2. Performance Guarantee: "We'll get X result—like 20 leads, an MVP, or 10 blog posts—by a certain time."
  3. Time-Based Guarantee: "If we work together at any time within the 30 days if you feel it’s not right, we'll refund you."

The guarantee helps your customers feel more confident about putting money down. 

If you truly believe in what you’re selling, you should be able to have a guarantee behind your product or service.

Key Takeaway: Get Their Money

Get your customers to put money down. It doesn’t have to be a huge amount, but a transaction needs to happen.

Once they’ve paid, the relationship shifts—they’re now invested.

You’re not asking for feedback as a ‘favour’, but instead selling real value and they’re committing real resources.

Then you can get the most important thing, real feedback and customers. The type that can help you rapidly improve your product or service and grow your business.

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Andy Crebar

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