Growth Loop
A self-reinforcing system where the output of one step feeds into the input of the next, creating compounding growth.
Growth loops replace the traditional funnel model with a circular system. Instead of a linear path from awareness to purchase, loops feed their output back as input -- each new user or action generates more users or actions.
Common examples include viral loops (users invite others), content loops (user-generated content attracts organic traffic), and paid loops (revenue funds more acquisition spend). The best growth teams identify and optimize their primary loop.
The power of loops comes from compounding. A funnel leaks at every stage. A loop, when tuned correctly, accelerates over time because each cycle produces more output than the previous one.
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