Why Low Viral Coefficients Are Normal and Acceptable in B2B SaaS Growth

Jason Lemkin argues that SaaS companies should not expect viral growth to be a material revenue driver until they reach $1-2M ARR, despite the industry's obsession with viral mechanics. Using EchoSign as a case study, he demonstrates that the B2B viral cycle takes 8 months on average and requires a sufficiently large customer base to compound effectively. Rather than viewing low viral coefficients as a failure, founders should focus on doubling down on working acquisition channels in early stages.