Product/market fit, also known as product-market fit, is the degree to which a product satisfies strong market demand. Product/market fit has been identified as a first step to building a successful venture in which the company meets early adopters, gathers feedback and gauges interest in its product(s). In other words, Product-Market Fit is the exercise of finding the right product to meet the expectations of a customer base, whoever this might be, it is the act of finding the right product to a market.
We have some remarkable professionals that are studious about the term. According to the legendary venture capitalist and entrepreneur, Marc Andreessen – from Andreesen-Horowitz, Product-Market Fit is defined as the term as follows: “Product/market fit means being in a good market with a product that can satisfy that market.” Many people interpret product/market fit as creating a so-called minimum viable product that addresses and solves a problem or needs that exists.
Sean Ellis, the author of the book Hacking Growth and acknowledged as the first growth hacker, is often associated with popularizing the term. He placed product-market fit as a precondition for effectively scaling marketing for a company in his startup marketing pyramid. Steve Blank referred to the concept of product-market fit as a step in between customer validation (step #2 in his book The Four Steps to the Epiphany) and customer creation (step #3).