Great consumer companies that achieve significant scale typically optimize their viral loops and network effects to ensure the majority of their growth comes from organic channels.

Relying solely on paid acquisition for growth is risky. If your growth depends only on ads, it may not be sustainable in the long run, especially as competition increases.

It's important to view paid marketing as an accelerant rather than the core growth strategy, focusing on organic growth as the sustainable foundation.

The best companies grow through word-of-mouth rather than paid acquisition, and in the early days of a startup, if you lack funds, focus on growing your business without spending money by doing things that don't scale. This organic growth is a sign of a strong product that resonates with users.

Many consumer companies struggle because they rely heavily on performance marketing, which can erode profit margins and lead to unsustainable business practices.

Organic growth, which is growth that doesn't require payment, is often neglected by founders. For example, at Monzo, we reached a million customers before spending on direct marketing or advertising, primarily through virality and network effects.

In the early stages, focus on organic growth rather than paid users, as relying on paid growth can be misleading and should be avoided as much as possible.

Advertising businesses represent only 3% of the top 100 YC companies, as they require organic virality to succeed, making them less reliable for scaling.

Organic growth companies are far more common than those that grow rapidly, and the latter are often outnumbered in the startup ecosystem.