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Performance in Practice

Building in Public - Gumroad and Nomad List's Open Journey to Success


The Creator Economy

Today you'll learn about

  • The power of building in public.
  • Finding an idea that works.
  • Building a community along your journey.
  • Lessons from Sahil, founder of Gumroad, and Pieter Levels, founder of Nomad List.

The old way of building in silence is a dangerous game.

Think of this - you spend months building a product.

At no point do you consider whether this is something your target audience will actually want?

Once you finish building your product, you start marketing to a broader audience.

Unfortunately, no one even cares about what you thought was your greatest piece of work to date.

Ask yourself this - why would anyone buy from you, how do you know that this finished product is what your audience wants?

It's not about what you want; it's about what the market, your audience, wants and values.

Now think of this BETTER scenario.

As you start building, you put out some content to test your ideas - the market (audience) tells you directly and indirectly what they find valuable. How so? Comments and feedback from people, and engagement metrics such as views, likes and saves

Now you double down on the ideas that you know the market values. You move on from those that do not work

You build a community along the way with trust and authenticity.

By the time you are ready for launch you have received real-time feedback to refine your projects and have a following of warm leads who trust you.

In the simplest terms possible, whatever you're working on right now - a business, an ebook, a personal brand, a newsletter -

Put it out to market, test the waters along the way - do not wait until you have a finished or 'perfect' product.

Share your wins, struggles, learnings, anecdotes, even metrics.

This is the art of building in public. Its value?

  1. Transparency - you build trust and authenticity by showing the ups and downs of your journey.
  2. Feedback: You receive real-time feedback, allowing you to iterate your product and double down on what works
  3. Attention: Create a narrative that people want to follow. This attracts potential supporters and customers.
  4. Community: This community not only supports you but provides valuable insights and feedback to iterate your product along the way.

Sahil Lavingia: Building Gumroad in public

Sahil wanted to sell an icon online but could not find a suitable platform to sell digital products in 2011. He set a goal to build a platform to easily sell content and quickly shared the news. Today, Gumroad is one of the go to platforms for all types of creators looking to sell directly to their audience.

In 2023, Gumroad hit $11.1 million in revenue, has helped thousands of creators make money, including paying $41 million in creator earnings in quarter 3 of 2023.

Lesson 1. Start before you're ready

The first iteration of Gumroad was built over a single weekend with a bold start. The immediate feedback confirmed that there was an audience for this idea and allowed him to refine Gumroad from day one.

"I built Gumroad the weekend I thought up the idea, and launched it early Monday morning on Hacker News. The reaction exceeded my grandest aspirations. Over 52,000 people checked it out on the first day." - Sahil Lavingia

Lesson 2. Radical transparency creates trust.

From sharing revenue numbers to streaming public board meetings on YouTube, he opened up Gumroad’s journey for all to see.

This openness not only demystified the entrepreneurial process but also built deep trust with his audience.

The obstacles of slow growth, having to lay off almost half the company and pivoting the direction of Gumroad, even with the possibility of shutting things down, were all shared with the public.

Lesson 3. Build a community

By being transparent and sharing his struggles and successes, Sahil didn’t just build a product - he built a community. His followers weren’t just customers; they were invested in Gumroad’s success because they had been part of its journey from the beginning.

Pieter Levels: Building Nomad List in Public

In 2014, Pieter set a goal to launch 12 startups in 12 months. Each startup was a minimum viable product designed to test a specific hypothesis.

One of these was Nomad List, a resource to help digital nomads find the best cities to live and work remotely.

The initial version of Nomad List was a simple spreadsheet that Pieter shared on Twitter. It quickly gained traction as people began to engage and even fill out the spreadsheet with data.

Lesson 4: Speed over perfection - reduce uncertainty around your idea's success

Pieter didn’t wait for a full-fledged product or even a website.

He tested his idea with a simple spreadsheet, moving quickly to validate his concept.

This approach minimised the risk of failure and allowed him to pivot based on early feedback.

Lesson 5: Double down on what works.

The response from the public was the seal of approval to then build the website and launch the product a month later on July 29, which went to #1 on Product Hunt and Hacker news.

Nomad List organically spread with press coverage and endorsements from well known individuals such as Tim Ferris.

Takeaways for the creator economy

Together, Sahil and Peter they paint a picture of what it takes to succeed in the Creator Economy.

  1. Start Before You’re Ready: Bring your idea to market, let people know what you are working on, find a market fit, and then continue working.
  2. Start with the Audience, Not the Product: By getting your idea out to market quickly, you can build in response to what your audience needs an values, not in isolation to that.
  3. Embrace Radical Transparency: Sharing your journey openly builds trust and fosters a community that’s invested in your success.
  4. Move Fast and Iterate: Test your ideas quickly and be prepared to pivot based on feedback. The faster you move, the sooner you’ll discover what works. efine based on real feedback.
  5. Double Down on Success: When you find something that resonates with your audience, go all in. Don't spread yourself too thin.
  6. Build a Community Along the Way: The real power of building in public lies in the community you create - engage with your audience, listen to their feedback, and make them part of your journey.

In today’s digital age, building in public isn’t just an option - it’s a necessity.

Whether you’re creating a product, a brand, or a community, transparency, speed, and iteration are your greatest allies.

So, whatever you’re working on, put it out there. Share your wins, your struggles, your learnings.

Build in public, and watch as your audience grows with you,

You’ve got to start with the customer experience and work back toward the technology – not the other way around.
Steve Jobs

Performance in Practice

Mental performance, identity, and systems thinking through the lens of Occupational therapy and life design

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