Growth Loop

A growth loop is a closed cycle in which the output of product usage feeds back in as the input for acquiring more usage — so growth compounds instead of depending on a constantly refilled top of funnel. Classic examples: viral loops (users invite collaborators, who invite more), content loops (users create public pages that rank in search and recruit new users — Figma community files, Notion templates, Loom links), and paid loops (revenue from new customers funds the ads that acquire the next batch). The framework, popularized by Reforge as a successor to funnel thinking, forces two questions funnels hide: what does a user do that generates the next user, and how long does one cycle take? Analyzing a loop means measuring each step's conversion and cycle time, since a loop that compounds monthly beats one that compounds yearly. Most durable SaaS businesses run several loops at once.