Read on Twitter
1/Connect's investment thesis... #opinionatedproducts
We invest in opinionated products, crafted with love and loved by many.
captures what we believe are the defining ingredients required to create the most valuable product companies.
Unpacked as follows...
We invest in opinionated products, crafted with love and loved by many.
captures what we believe are the defining ingredients required to create the most valuable product companies.Unpacked as follows...
2/
“Opinionated products…”
= what we invest in and who builds it
“…crafted with love…”
= how and why they do it
“…loved by many.”
= the quality of what they do and the size of the opportunity
“Opinionated products…”
= what we invest in and who builds it
“…crafted with love…”
= how and why they do it
“…loved by many.”
= the quality of what they do and the size of the opportunity
3/Opinionated...
The best products have an opinion
= digital manifestation of a founder's insight about what is broken/missing in the World
A strong opinion helps founders
chance of building a product people love + maximising ROI on their most precious resource: time.
The best products have an opinion
= digital manifestation of a founder's insight about what is broken/missing in the World
A strong opinion helps founders
chance of building a product people love + maximising ROI on their most precious resource: time.
4/Products...
= software products
(not: hardware, physical products, e-commerce, content, tech-enabled services)
Software is scalable, high-margin, constantly improving, and the only part of a company that every user will experience (= highest point of leverage)
= software products
(not: hardware, physical products, e-commerce, content, tech-enabled services)
Software is scalable, high-margin, constantly improving, and the only part of a company that every user will experience (= highest point of leverage)
5/Crafted...
= Art + Science
The combination of art, skill, and process creates consistent excellence and compounding returns
= Art + Science
The combination of art, skill, and process creates consistent excellence and compounding returns
6/With Love...
=
for the problem + user + product
It’s the ingredient that ensures the company will always build a world-class product that solves a genuine problem for their users.
=
for the problem + user + productIt’s the ingredient that ensures the company will always build a world-class product that solves a genuine problem for their users.
7/Loved...
= metrics (>> how much value a user derives from the product)
No matter how opinionated or made with love a product is, it’s nothing without its users — and users aren’t worth anything in the long run without love.
=
metrics (>> how much value a user derives from the product)No matter how opinionated or made with love a product is, it’s nothing without its users — and users aren’t worth anything in the long run without love.
8/By Many...
= SCALE
Without it, you can’t create outlier companies and you can’t make a significant +ve impact on the world.
= SCALE
Without it, you can’t create outlier companies and you can’t make a significant +ve impact on the world.
9/Summary...
Our belief = product companies are the best route (and most capital-efficient) to achieve long-lasting impact on a massive scale
Our thesis = characteristics defining the strongest
product companies + the lens through which we make investment decisions
Our belief = product companies are the best route (and most capital-efficient) to achieve long-lasting impact on a massive scale
Our thesis = characteristics defining the strongest
product companies + the lens through which we make investment decisions
10/
NOT a complete set of sufficient conditions for success (many other attributes needed)
NOT all companies need to have this nailed down at seed stage (it can be learned)
Our thesis will continue to evolve, using our best teachers (the founders we back) as our guides
NOT a complete set of sufficient conditions for success (many other attributes needed)
NOT all companies need to have this nailed down at seed stage (it can be learned)
Our thesis will continue to evolve, using our best teachers (the founders we back) as our guides
