Reverse Funnel Growth
Share
A strategy for building passionate communities and products by starting small with super-users and expanding outward, rather than trying to grow quickly with mass appeal.
Core Concept of Reverse Funnel Building
- Start with 10 extremely passionate users who love your product/content
- These users should be so passionate they annoy you with feedback
- They'll tell all their friends (even if friends don't listen)
- Expand to 100 people who care a lot (but less than the first 10)
- Continue expanding to 1000, 10000, 100000 users
- Build from bottom-up instead of top-down traditional funnel
Why This Approach Works
- Creates strong foundation with highly engaged users
- Gets best product feedback from most passionate users
- Builds genuine community rather than artificial growth
- More enduring than trying to appeal to everyone immediately
- Creates strong moats through community loyalty
- Harder to kill businesses built this way
Real World Examples
-
Rebrickable (Lego community)
- Started small with passionate LEGO fans
- Grew to 11M users by 2023
- 160M annual page views
- Built entirely around community needs
- Users extremely loyal to platform
-
Build-A-Bear
- 40% revenue now comes from adults
- Created "Build-A-Bear After Dark" for adult customers
- Found passionate niche within broader market
Key Principles
- Don't try to grow too fast
- Let passionate users guide product development
- Be willing to seem "silly" or niche at first
- Focus on authentic community building
- Act as a steward of the community rather than dictator
- Avoid diluting core appeal to chase faster growth
- Find people who are passionate about specific interests but can't find others like them
Warning Signs of Wrong Approach
- Chasing views over authenticity
- Making "cringey" content for mass appeal
- Talking about mainstream topics vs niche interests
- Trying to appeal to everyone instead of core fans
- Growing too fast and losing community feel
52:48 - 53:55
Full video: 01:08:04SP
Shaan Puri
Host of MFM
Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.