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Startups don’t need to go viral to win customers
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- DeepHorus
At TechCrunch Disrupt last week, founders and investors discussed how startups win first customers. Elia Wallen of travel startup Engine, Grant Lee of AI presentation company Gamma, and Crystal Huang of Google Ventures said virality is not a prerequisite. They focused on attracting and retaining early customers.
Social media can seem like a magic bullet as AI startups build audiences through founder personas. Lee said creator marketing needs strategy, not just spending. Gamma used its "Gambassador" influencer program before such tactics were common for smaller firms and reached a multi-billion-dollar valuation.
Lee warned founders often treat influencer marketing as set-and-forget. He said companies with multiple segments need creators targeting each use case, from consultants to marketing teams building decks for CMOs. Founders must spend time with creators so they can articulate product value, or the spend falls flat.
Other paths can be as effective. Wallen said Engine bootstrapped to $150 million in bookings before outside funding and had no visible social media strategy. It used events and "smiled and dialed," and he insisted "the phone still works."
Wallen hired a magician named David to perform for prospective clients at events and draw them to Engine's booth. He said many companies refuse or fail at traditional sales, missing a large offline client base. Personal engagement can rival social media tricks.
Huang said retention value comes from usage data. Founders should ask whether use is recurring, increasing, or generating referrals, and whether superfans want to work for or promote the brand. Companies need ways to create evangelists passionate about the product.
The panel's takeaway was to choose channels by business type, not chase virality. Influencers require segmentation and collaboration, while phone sales and events can unlock offline customers. Founders should measure retention and referrals to build durable growth.
