Yakov Filipenko
Today’s startups face a new game because investors are no longer at the mercy of vanity metrics.
Instead, they focus on the product’s ability to actually generate profits. This may suggest there is more room for growth, so more attention is being paid to undervalued companies.
That’s why startups with long payback periods (excluding those in the AI field) are too risky for VCs. In this column, I detail how my company, Intch, quickly adapted to these new rules, from rapid hypothesis testing to highly strategic hiring.
Conduct active hypothesis testing
Focused hypothesis testing is more important than ever to adapt to market changes and make the most of limited resources.
Don’t spend more than a week or two testing and make bold iterative decisions as needed.
For example, run a quick test with a larger audience than yourself, with focused ad sprints across platforms like Facebook and Instagram. This agile approach allows you to quickly abandon underperforming tactics and double down on strategies that quickly yield tangible results.
Validate what users are willing to pay for your product, rather than building on long-term or medium-term assumptions. In volatile markets, deprioritize ideas that require external funding and focus on the most in-demand features. This can help you reach your break-even point sooner than expected.
For example: When Intch’s venture funding dried up, we switched to ultra-lean hypothesis testing. Initially, our platform was about networking, but after some quick testing, users actually started to think of “networking” as more than just a social platform, but to address specific business challenges (recruiting, sales, etc.) It turns out that I see it as a tool. This insight allowed us to pivot and address real user needs.
Emphasis on specialized and targeted recruitment
A key step in actively testing your marketing strategy is to hire part-time specialists with relevant experience. Tactical adoption speeds up the adaptation process and improves testing efficiency.
This focused approach saves costs, streamlines testing, and allows you to quickly validate your strategy. Use the platform to find niche experts, such as B2C mobile advertising managers for Instagram, rather than broad marketing managers.
From my experience, I advise startups in a way that may partially go against Y Combinator’s recommendations, which urge founders to do everything in-house.
Instead, we recommend hiring a professional with a proven track record in your field. To avoid guessing whether a strategy is ineffective or whether a problem fits the market, bringing in an expert will give you the knowledge you need right away.
Facing the profitability paradox
I started this column by discussing how startups can be made attractive to investors in today’s climate. But there is a contradiction here. Once you begin to make a profit, you often no longer need to invest. Many startups rely on venture capital to fuel their growth, but these two steps helped us scale our venture (70x growth) in 10 months.
Once you understand how your product fits into the market, scaling is about expanding your reach and effectively solving your users’ problems. By prioritizing profitability over funding, you can grow sustainably on your own terms and impress investors.
Adaptation lessons in a startup environment
Founders once chased investor-friendly metrics like user growth, but now it’s all about revenue and sustainable growth. In a rapidly changing market, it’s important to understand user needs and adapt quickly.
To keep up, you need to understand what your users want, test quickly, and hire flexibly. Today’s changes in employment, like the cloud server revolution, are making startups more agile, and this trend is only increasing.
Yakov Filippenko is an experienced entrepreneur with over 10 years of experience in the IT and technology field and is expanding his business internationally. As Product Manager at Yandex, he led a team that grew the product’s user base from 500,000 to 1.2 million people and secured entry into international markets. He then co-founded SailPlay, which expanded to 45 countries and was acquired by Retail Rocket in 2018 before finally exiting. In 2021, Filippenko launched Intch, an AI-powered platform that connects part-time professionals with flexible roles.
Illustration: Dom Guzman
Stay up to date on recent funding rounds, acquisitions, and more with Crunchbase Daily.