Very few growth moats will survive AI - Sandy Diao [Descript]

28 May 2026 · 57 min · 23 chapters

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In short

Sandy Diao argues that AI will rapidly erode most “growth moats,” making growth teams less durable; winners will be full-stack operators who own the whole funnel and compound trust. She contrasts data-driven precision with “data-inspired” directional learning, and explains how to design activation/retention loops, onboarding, ads, and affiliate/referral growth.

Guest backgrounds

Sandy Diao scaled Pinterest products to 200M users as employee #30, leading growth. She later became Descript’s first growth hire, building an affiliate program that drove 25% of new users (self-service). She also worked on B2B growth, helping shape Pinterest’s business onboarding and ad platform.

Key claims

AI accelerates value expectations, so growth experiments must find directional insights quickly. Trust is the only compounding channel when content generation becomes cheap. Growth teams must balance advertiser monetization with user experience.

Notable examples

Pinterest support tickets revealed new-user confusion, leading to rewritten onboarding emails with action-triggered, drop-off-based sequences. She “moonlighted” onboarding changes via an engineer connection. Descript’s reverse-trial pricing failed for consumers but worked for B2B; affiliate content drove up to one-third of business.

Written by AI. May contain mistakes. Listen to the episode to check what was said.

Chapters

Tap a time to open that second in VO

Sandy's Growth Journey at Pinterest

0:57 to 2:59

Sandy discusses her early role at Pinterest and insights gained from customer support.

“I was really impressed by your profile, obviously, and excited to have this conversation.”

Email Strategies for User Activation

2:59 to 5:30

Sandy explains how she improved user activation through email strategies.

“So, you know, kind of thinking back to that origin here, I think the tickets was actually a great way to actually have customer insights be the starting place for a number of growth experiments afterwards.”

Balancing Activation and Retention

5:30 to 7:40

Discussion on how retention metrics influenced growth strategies at Pinterest.

“But it did take us some iteration to get there, because I think the biggest challenges coming in, you see what every other peer is doing in the space.”

Convincing Teams for Change

7:40 to 9:10

Sandy shares a unique story about persuading engineers to improve onboarding.

“And then I kind of started to like foosball because it was competitive.”

Transitioning from B2C to B2B

9:10 to 11:15

Insights on how Pinterest adapted to cater to business users based on support tickets.

“focus on optimizing our activation rates.”

Balancing User Experience and Revenue

11:15 to 14:01

Sandy discusses the challenges of maintaining user experience while increasing ad revenue.

“So, you know, that's actually how that organically came about.”

Balancing Ad Monetization and User Engagement

14:01 to 18:03

Explore how advertisers and consumer needs are balanced in ad platforms.

“all of the goals of the advertisers and the consumers viewing the platform would be balanced and essentially monetizing that delicate balance and ecosystem.”

Data-Inspired vs Data-Driven Decisions

18:03 to 20:27

Learn the difference between being data-inspired and data-driven in growth strategies.

“I think, I'm not sure if you wrote this or if you said this in an interview, but you said that you were data-inspired and not data-driven.”

Misleading Data in Pricing Strategies

20:27 to 23:58

Understand the pitfalls of relying solely on data when revamping pricing models.

“Yeah, well, actually, a great example that I'll share is when I was at Descript, one of the decisions that we made was around trying to figure out how we could revamp our pricing.”

Budgeting for Growth Experiments

23:58 to 26:54

Discover how to allocate time and financial resources for growth initiatives.

“And for me, you know, like I've seen it multiple times that whenever you want to optimize for a certain metrics, you might also like compromise a whole other set, you know, of metrics.”
Show all 23 chapters

Creating a User-Driven Growth Loop

26:54 to 28:00

Learn about the growth loop implemented at Descript and its network effects.

“So that's how I've traditionally thought about it.”

Affiliate Program Success Story

28:00 to 30:24

Learn how an affiliate program for content creators boosted business growth.

“And so one of the pieces of intuition I had here was we can essentially figure out how to get content creators to sell Descript on our behalf.”

Finding Your Niche in AI

30:24 to 32:26

Explore strategies for startups to define their niche in the AI landscape.

“our traffic sources, and try to be overly analytical about what was going to work.”

Balancing Narrow vs. Broad AI Products

32:26 to 36:24

Understand the challenges of building niche versus broad AI products.

“I think like whenever you want to find a niche, you know, for your product and the new features that you want to develop.”

Retention Strategies in the Age of AI

36:24 to 38:44

Discover retention strategies for AI products amidst low switching costs.

“As the models get better, you're right, the product experience gets better.”

Leveraging AI in Growth Strategies

38:44 to 42:00

Learn how growth teams can effectively utilize AI in their workflows.

“On the other hand, one of the biggest drivers of retention, the input to retention, which is new user activation or activation itself, has wildly changed, right?”

Building a Unified Growth System

42:00 to 43:35

Learn how to create a cohesive growth strategy by integrating different data sources.

“I think the manually building the stack, building the data sources still lives on.”

Analyzing Growth Challenges

43:35 to 46:42

Discover the process of evaluating a company's growth challenges and aligning on solutions.

“And that agent's only going to be as good as the underlying assumptions and logic behind why we did this thing in the first place.”

The Evolution of Growth Moats

46:42 to 49:52

Explore how AI is changing the landscape of growth moats and competitive advantages.

“What kind of moats do you feel will remain stronger and the one that will actually not be as strong as they used to be?”

Targeting the Prosumers

49:52 to 52:57

Understand the significance of prosumers in the growth strategy and their unique needs.

“A lot of business products are collaboration oriented.”

Innovating with AI Agents

52:57 to 55:02

Learn about the creation of AI agents for automating growth processes and enhancing productivity.

“and at the same time, you know, like generate revenue and scale that you would not usually get with B2C because people are less inclined to purchase like software than when they run a business.”

Exploring Personal Projects and AI Agents

56:01 to 56:33

Learn about the personal projects involving AI agents aimed at achieving high-quality results.

“And so that's one of the personal projects that I'm working on.”

Sharing Insights and Connecting

56:34 to 56:56

Discover how to connect with Sandy Diao for insights on growth and AI.

“I mean, Tenzi, that was really, really cool.”
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Transcript

Automatic transcript. May contain errors.

0:00Sandy Diao:When I say data inspired, I mean that we're looking for directional insights. We're not looking for precision. AI has kind of trained us to expect value really, really quickly and really, really fast. Power law outcomes drive the results, meaning that one or two channels drive the majority of users. I think by definition in the world of AI, there is going to be very few growth modes that remain the same. Today on Billions, I'm sitting down with someone who believes most growth teams will be obsolete in five years. And she's been right about markets before. Sandy Diawou scaled products to 200 million users by leading Pinterest's growth efforts as employee number 30.

0:36Then joined Descript as their first growth hire, built an affiliate program that drove 25 % of all new users, almost entirely self-service. Her TVS, the channel specialist, is dead. The winners will be full stack operators who can own the entire funnel because in a world where anyone can generate content, Trust is the only channel that compounds. Sandy, welcome to Billions.

1:00Sandy Diao:So excited to be here. I was really impressed by your profile, obviously, and excited to have this conversation. When you joined Pinterest, at first, I think you wanted to be very involved in growth, but ended up doing a lot of customer support in the early days. What were you trying to look for when doing this kind of customer support interview and also answering tickets? Yeah, well, actually thinking back to my early days at Pinterest, I don't think I planned for my role at Pinterest to be this full stack growth role, but it just accidentally ended up being that way. And I think the accident was by design.

1:41Sandy Diao:So basically what I mean by that is I actually joined the company with this role of doing anything possible to help the company grow. And the company's mandate at the time was that our customer support inquiries were on fire, essentially. So, you know, I jumped into essentially the trenches and got behind the computer, you know, answered hundreds of support tickets on a weekly basis. But something got me thinking, which was that every time a customer wrote in, it was jam-packed with insights around what a customer was happy with, what they had issues with. And I realized that I could actually pull data points around some of these top inquiries.

2:17Sandy Diao:So it was through that that we realized that there were a lot of experiences that were broken. One of the notable ones being that for a lot of new users, how to use Pinterest effectively was something that they needed more guidance on. And so one of the first, you know, early product growth, growth marketing initiatives that I got to work on was rewriting our onboarding emails from scratch, which is how you effectively activate and onboard new users. And that insight only came through because we kept repeatedly hearing people have these questions about using the Pinterest product in ways that they weren't supposed to be using it or that there were better ways to use for.

2:50Sandy Diao:So, you know, that became a great insight. And that naturally evolved into all these other experiments and opportunities. So it was really fun to be able to do that. And I think that accidentally evolved into this generalist growth role where it touched product surfaces, ran marketing campaigns, ran scaled sales outbound for the sales team, you know, segmented the market for consumers, prosumers, mid-market enterprise, etc. and so on and so forth. So, you know, kind of thinking back to that origin here, I think the tickets was actually a great way to actually have customer insights be the starting place for a number of growth experiments afterwards.

3:26Yeah, that's really cool. And you mentioned that you leverage emails to increase activation on specific features. How exactly do you set up everything and track everything? Did you work with a specific data team or how exactly did that work?

3:43Sandy Diao:Yeah, in the early days of using emails for activation, one of the challenges that we had was that we had essentially this benchmark of peer companies. So I think at the time, Pinterest considered itself to be a social media app, although it is a little bit different if you've used the product yourself. But I think the challenge is that when you see other companies out there like Twitter, Facebook and others set up their emails, you kind of see they have this like formula. love, right? And it was at the time, onboarding emails were very education oriented. You know, it was like, you're going to receive five to 10 emails from us every single day and here are the things that you should be doing.

4:21Sandy Diao:It was very much treated as like early user education and companies all had that approach. Over time, we realized that one, the more emails you sent, the more email fatigue there was and people just stopped opening them. So by the seventh email, no one read what it is that you wanted to sell them. And secondarily, when you actually measured outcomes and engagement based on the emails you're sending, we found that driving specific product actions was far more useful than trying to drive awareness about every possible thing. And instead, the product itself should do the work of educating while the user is in the product experience.

4:55Sandy Diao:So we went from this education-based approach through our emails to essentially this more data-driven action-triggered approach. So for example, if a user came in to the platform, they hadn't followed any boards yet, then our goal would be to get them to follow boards that indicated their interest. If they signed up and they created boards, but they hadn't pinned anything to it yet, then our goal would be to get them to take a pinning action. So it really was catered and customized based on what a user did or didn't do. So these drop-off or fall-off states, and a very data-driven approach is ultimately what we ended up with.

5:30Sandy Diao:But it did take us some iteration to get there, because I think the biggest challenges coming in, you see what every other peer is doing in the space. And you're like, oh, if Facebook's launching it, it must be working because they have millions of users and their growth is great. But the big mistake there is you don't know the circumstances of their product. You don't even know if they're measuring the success of these emails. Right. And so I think it kind of took us several iterative cycles to figure out that more of a data driven transaction approach was going to be much more beneficial to our growth.

5:58So your focus at the time was how do I connect activation with retention? Is that correct?

6:06Sandy Diao:Yeah, it was retention at the time. We weren't monetizing quite yet because we were pre-revenue. We hadn't built out our ads platform. But I think, you know, it was retention in the sort of North Star metric view. In the short term, it was, can we get a user to essentially come back and look at, you know, meaningful day one, week one, month one retention? And then, of course, how does that translate into downstream month six, month 12 retention? And typically, in the case of Pinterest, I'm making that up. But let's assume that when a user sign up, as you mentioned, they need to, let's say, create their first board, start like pinning things, et cetera, et cetera.

6:44And once they do that, we believe that they're going to stay longer. So as a person working in growth, you have, I'm guessing, like a list of hypotheses that you want to test. How exactly do you convince the product team to change things around? so eventually you get to a point where your growth experiments can lead to higher retention?

7:09Sandy Diao:So that's a really interesting question because at the time at Pinterest, we didn't really have, at least when I joined because I was so early, we didn't have a product growth team. So we didn't really have engineering scope to make some of these changes that would actually drive incremental jumps in conversion rates or activation rates. So I have kind of a funny story on how I managed to convince an engineer to moonlight this, which is at Pinterest early on in our culture we actually had a lot of people who like to play foosball are you familiar with foosball the tabletop soccer game yeah so I noticed that one of the front-end engineers who would be able to control some of the onboarding surfaces actually played foosball during lunch and I wasn't necessarily a big foosball fan but I thought oh wow this is like a good way for me to get in front of this engineer and so I joined one of the lunch foosball games one day and I just introduced myself.

8:01Sandy Diao:And then I kind of started to like foosball because it was competitive. It was kind of a nice break from work. And then I ended up staying. This is funny. I haven't really shared this with anyone before, but I stayed after work every day to practice foosball. And I became decent at it so much so that I ended up playing a lot more of the games. And in one of the games, when I was playing foosball, I mentioned to this engineer that, you know, oh, we have this issue. I don't know who to go to. And he said, oh, you know what, I touched that surface, I have a code there, you know, why don't you draft something up?

8:29Sandy Diao:And even after, you know, that discussion, we had a formal meeting, we found out that it wasn't going to fit in a proper roadmap, because there's so many other competing priorities and new features to build. But you mentioned, you know, I'll stay behind after work, a few days a week, and you know, we'll moonlight this thing, and we'll test it and see if it works. And so that's actually how I got, you know, the first iteration of the onboarding emails and email and onboarding experience is to be coded into the product itself. So I think every company, you know, big or small has a unique culture like that.

8:58Sandy Diao:But I think in a lot of growth roles, that's kind of how a lot of big things tend to happen, which is it doesn't get planned for. It's opportunistic. It's very data driven. And it's hard to have this tops down mandate of like, oh, let's drop everything and focus on optimizing our activation rates. So instead, it kind of falls on the person who's responsible for growth and revenue to say, these are important things that we should pause and do, you know, in exchange for, you know, some of the results that we're looking for. So that's how I went about that process. Nice. So tip number one, play foosball and convince engineer.

9:35Sandy Diao:Exactly. I hope they bring foosball tables more back to, you know, startups, because I feel like they took them away for quite some time. They did switch it with ping pong guard. That's right. Yeah. And you, I think at Pinterest, you know, you also worked on the B2B side. So what kind of changed, you know, like going from or transitioning from B2C to B2B? Yeah. So going back actually to the tickets that I was responding to, one of my biggest insights there was that the persona or the profile of the user writing in oftentimes wasn't a consumer, right? We had this, again, massive social media app.

10:14Sandy Diao:And we started to realize, and I started to see through the questions that people were asking, that these are actually marketers inside of small and medium-sized businesses, oftentimes even enterprises. Sometimes you have really big enterprise logos writing in, and they have received the exact same SLAs or service level agreements as the consumers were receiving. And their questions were things like, you know, I want my pin to be seen by more people, or why is this pin only getting one view versus this one getting, you know, hundreds of views? So we started to realize that there are actually businesses with business use cases on the platform Which actually led to one of our biggest growth experiments This experiment actually still lives on the pinterest site today when you create an account It actually asks you are you a regular user or are you a business?

10:56Sandy Diao:And if you are a business you get to the separate Sign-up flow where you can create a business profile Forking you and leading you into an entirely separate business experience It's all about how you can promote your content on the pinterest platform So that insight from the ticket basically showed us that we needed to carve out a distinct experience for businesses, a separate onboarding flow that taught businesses how to market their content on the platform. And that actually eventually led into us building an advertising platform, one of the greatest tools that a marketing team or a business can get access to in order to further propagate their content on the Pinterest platform.

11:32Sandy Diao:So, you know, that's actually how that organically came about. And once that became true, we were able to then have distinct product marketing teams that supported the consumer side and the business side. And from like an insider's perspective, if typically like your role whenever you're in the growth team, I'm assuming that you have KPIs and your goal is essentially to generate like more revenue. So to generate more revenue, like the easy thing to say would be to just sell more ads. But at the same time, in order for you to sell more ads, you need to kind of preserve the quality and the experience of the platform.

12:15So users are not like just flush with so many ads in their face. So how exactly do you balance, you know, like the keeping a high quality product and at the same time increasing the revenue?

12:29Sandy Diao:It's a great question. And I think this is true for Pinterest and many of the social content platforms out there, which is that oftentimes the advertiser's objective and the end user who's browsing the platform, getting the product for free, they have very aligned interests, which is that they want to find stuff that they're generally interested in. One of the challenges we ran into in solving this problem at Pinterest early on is that Pinterest was the reason that somebody used Pinterest is a lot more for that early discovery consideration phase, a lot less for I'm on Pinterest because I want to click a link and make a purchase and a transaction.

13:02Sandy Diao:And so a lot of our early advertising experimentation was around figuring out how we can reach users in the right levels of intent. right and so at least early on a lot of the experiments that we ran if you ran a self-service ad and you wanted to conversion optimize it well it was tricky because you didn't have a ton of users who were actively clicking pins and kind of pulling out their credit cards ready to make a purchase it wasn't just it wasn't an inherent behavior instead there were a lot more people who wanted to save a collection of different inspiration and images and an advertiser's goal would be, how do I increase the chances that a consumer interacts with my brand or becomes aware that my brand is, you know, part of the landscape of different options out there.

13:44Sandy Diao:So categories that performed really well, like fashion, food, other types of consumer brands, but a lot less so, you know, a lot more sort of niche products, tech products, and so on and so forth. So it was really challenging to figure out how we could set up the platform in a way where all of the goals of the advertisers and the consumers viewing the platform would be balanced and essentially monetizing that delicate balance and ecosystem. So we started out by actually experimenting with different types of ad platforms. One of them was actually more insertion order based, meaning say a brand wants to reach 10 million people.

14:27Sandy Diao:Depending on the feeds and content and topics that are relevant for that brand, we would just guarantee placements, you know, every X number of pins, and you would just essentially buy a package of impressions. And then we eventually shifted to more of that, you know, CPC click-based model, self-service model, insertions based on dynamic second price bids, the typical model that we're all familiar with, with, you know, social media advertising. So it wasn't an obvious answer and it wasn't easy to get that balance. But I think the things that mattered along the way were making sure that those advertising outcomes existed for the advertiser and that the consumer engagement wasn't affected.

15:04Sandy Diao:So you had to track metrics across both sides. And you mentioned like two very interesting things. Like one, you know, that some advertising would work better than others, which means that because you want your users to stay as long as possible on the platform and come back you also need to you know as you said you know like provide value with ads that you know they would like or search for in any other environment and you also mentioned that you helped eventually like the sales team run outbound campaigns did you essentially like whenever you think about your outbound at the time with the information you have do you look at all the kind of ads that are working extremely well on the platform in order to segment your campaigns and run the outreach to this kind of companies?

15:58So essentially, you know that you're going to have companies who will get success on the platform or is it very broad and you just make it per industry?

16:06Sandy Diao:Yeah, it's a great question. So I would actually share this. Our outbound worked with two different segments. And I think the first segment is unique to us because at the time, Pinterest owned distribution in the sense that Outbound was actually a house channel, meaning that we had this list of consumers that were already somewhat prospected in the sense that if you were a business, you either sign up for a business account and or you maybe sign up for a consumer account because you made a mistake or you signed up too early and then you have a website listed and you have a lot of repinned content, right?

16:37Sandy Diao:So there's a lot of prospecating we can do within our own database. So that was more like product-led sales, right? And that one was a little bit more straightforward. We own first party signals around who is actually performing well, and we can enrich that with information. At the time, the more traditional way of enriching is you buy lists and you buy data and you enrich it a little bit manually, although there's some ways of coding that in and automating it. But you could get things like what is their total marketing budget or, you know, things of that sort that kind of give you more signal.

17:07Sandy Diao:The other type of outbound that we did was realizing that social media advertising, especially for that discovery stage, the brands out there, think about like, you know, the Coca-Cola's of the world or the Burt's Bees, maybe products in categories that are more of a fit for Pinterest. They were actually spending on other social platforms, maybe doing the same thing that they would be doing on Pinterest. So like Facebook and Twitter at the time. So one of the things that we did was we actually took a list of some of those top target accounts and we would actually look at the source code on their sites to see if they had a Facebook pixel at the time, see if they had spend allocated on those platforms.

17:43Sandy Diao:And then we would add that as an additional high intent layer of signal to say, let's also reach out to these individuals and have our sales team reach out to them. So it was a combination of that product led sales, as well as that outbound based on people who are actually spending money on other competitive platforms. Nice. Super interesting. I think, I'm not sure if you wrote this or if you said this in an interview, but you said that you were data-inspired and not data-driven. Can you elaborate on this? Yeah. So Pinterest was a great example of it, but I can also point to a lot of the work that I did at Descript in the early days.

18:25Sandy Diao:when we're building growth teams, at least in my experience, when I've been building growth teams, oftentimes there's kind of this push, especially if you're working with very data-minded people. And, you know, for example, like data scientists, data engineers, data specialists, etc. There's kind of this push to be very precise about things like attribution or measurement or experimentation. And don't get me wrong, those things are all super, super important. The thing I've learned best in all of these early stage growth scenarios is that when you try to push too hard for accuracy in the early days, you add a lot of bottleneck and time costs to what it is that you're doing.

19:02Sandy Diao:When in reality, what you're looking for is directional data. So a lot of what I mentioned with Pinterest, for example, going back to the insight around, hey, maybe businesses are using Pinterest in addition to consumers. If we spent a lot more, we probably could have spent a lot more time validating that insight, right? Probably shouldn't just trust me looking at, you know, know, 500 tickets and saying, oh, there's businesses writing in, let's fork the signup flow, because you could have major impact on the total percentage of consumers that sign up there. And so, you know, I think one of the most important things I learned was that we should, you know, test all of that early on and use the data as a, you know, inspirational roadmap for figuring out what we should be doing, instead of trying to get precision on every single insight, and essentially placing this like really, really heavy investment to validate all of it before testing everything.

19:55Sandy Diao:And it worked really well at Pinterest. It continued to work well in my, you know, other growth roles at Indiegogo, One Smart Piano, Descript, and a lot of the teams that I work with as well. So when I say data inspired, I mean that we're looking for directional insights, especially when we're just building the growth engine. We're not looking for precision. We're not trying to solve attribution. You know, companies will continue to have evolving attribution models. So that was really, I think, the genesis of how I was able to help a lot of these growth efforts and growth teams move relatively quickly in the early stages.

20:26And have you seen or do you have an example where like the data you got was actually like misleading?

20:35Sandy Diao:Yeah, well, actually, a great example that I'll share is when I was at Descript, one of the decisions that we made was around trying to figure out how we could revamp our pricing. So Descript, for those who aren't familiar, is an audio video editing platform, and its innovation is that it turns content into a text-based transcript. So you could edit videos the same way that you edit a Google Doc. And the way that we traditionally priced was by essentially words, right? Like transcription of that content. So you get a certain number of hours of transcription. And we had this idea of, well, what if people don't understand transcription as a value metric?

21:14Sandy Diao:Why don't we just, you know, essentially give the thing for free to everybody and, you know, essentially take those premium features away at some point so that they get a taste of it and they're going to really like feel the pain of missing out on it. Essentially what is called a reverse trial, right? And we thought it was a great idea because we looked at everybody in the space, every consumer, consumer SaaS company, and everybody was doing reverse trial. So we thought this thing must be working because everyone's doing this. So a lot of the, I think the external benchmarking data firstly told us that this was going to work.

21:46Sandy Diao:The second thing that we did was we surveyed our users and we asked them like, do you understand what it is that you're paying for? Or, you know, we asked the better version of that, which is, what are you paying for? And nobody said transcription. They just said they were paying for editing. So we thought, hmm, the data is pointing to basically all the data, external and internal is pointing to we got to get rid of this paywall. So we ran an experiment where we shifted our pricing model to a reverse trial. Lo and behold, I wake up the next day after the experiment and every single user in the exposure group, not every single user, but the conversion rates, you know, basically halved slash worse, you know, over time.

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22:26Sandy Diao:And, you know, I was just totally panicking. It's like we spent all this time, you know, optimizing all these different aspects of our pricing and packaging and our free-to-paid motion, and then all of a sudden, you know, this exposure group is like really, really suffering. What do we do now? I think a lot of that, you know, early insight data really pointed us in this direction of saying this is going to work, but I think the lived reality is that when you actually run the experiment, users behave very, very differently. When I kind of reflect on that experience, our biggest learning here is that different types of users have different expectations about the value of these different pricing models.

23:00Sandy Diao:What we found when we segmented the data is that businesses or more of that B2B customer had value from that reverse trial because they could essentially kind of leisurely go back to it and test it out over time. And they didn't really have this like day-to-day DAU, WAU distinct need for it. So it felt more aligned with their value model. But for a lot of the consumer prosumer creator type users using the platform, it didn't make sense to them, right? Because they just didn't have the two week bandwidth or timeline in their minds for making a decision around a video editing tool. They're like, I need to cut a TikTok short right now.

23:39Sandy Diao:I need to cut a YouTube video right now. It's like, okay, I'll get this thing done and then I'll disappear and I'll never come back. It doesn't, it didn't really help reinforce the idea of the value of the product. So, you know, we ultimately ended up reverting back to our original pricing model. But that's an example of how that early data really pointed us in the wrong direction. Interesting. Yeah. And for me, you know, like I've seen it multiple times that whenever you want to optimize for a certain metrics, you might also like compromise a whole other set, you know, of metrics. So if you want to optimize, let's say for customer expansion, you're going to reach out more to existing customer trying to oversell something and some might actually like not like it and churn so your churn might increase but your expansion so you have always like side effects so i'm curious to know like from your perspective whenever you have like a marketing budget or a gross budget what do you how exactly do you split it between these are the experiments where i want to measure like a clear outcome versus, you know, like this are, let's say, strong belief we have and kind of like moonshot project where we know it's going to go in the right direction.

24:54We know we're going to not be able to measure exactly, you know, like the impact it has on the growth, but we believe that it's aligned with our brand, who we are, and we have a high conviction that it's beneficial for the company.

25:08Sandy Diao:Yeah, great question. Generally, for the growth teams I've there are two types of budgets. One is the time budget and the second is the financial budget. For the time budget, almost all the time, we want to over-index or shift most of our time resources on big bets or big swings, right? We basically want to find the power distribution channels that will drive the majority of our growth. And if we don't take enough of those swings to find what those channels are, we're really going to suffer because we're going to be micro-testing, micro-optimizing, you know, focusing on a local minimum rather than the ultimate global maximum.

25:44Sandy Diao:And then there's the financial budgets. I think for the financial budgets, we want to be indexing most of our financial investments in primarily the things that we know are giving us somewhat measurable unit economics. So channels like paid ads, for example, influencer marketing, sometimes SEO, if you have sort of this like content cost behind content creation, although, So, of course, that's changing a lot with AI these days. But I think, you know, we generally think about our budgeting in that way. And then for more of the time investments, we want directional outcomes, right? We want essentially it to show some results that this is working at a scale or a magnitude that we care about and that's going to drive a ton of users for us.

26:24Sandy Diao:And then we can get a little bit more detailed and nuanced about how much incrementality or the precise attribution method to use to properly attribute growth there. But for more of the financial budgeting, we probably want to be pretty precise about that from day one because the input or the growth lever there is going to be budget. So that's just going to be able to scale in the manner that we're able to prove out there's LTV to CAC and that there's actual ROI and return on ad spend. So that's how I've traditionally thought about it. And I think you talked about like the big swings at Descripts.

27:04I think you did something that generated a lot of the revenue. Can you please share a bit the growth loop that you put in place there?

27:16Sandy Diao:Yeah, Descript is, again, an audio video editing product. A lot of the users there are going to be content creators, whether that's an individual content creator or a business content creator. And if you really think about the product without referencing any data, if you really try to have intuition about it, you'll figure out that the product itself is really meant for users who have their own built-in audiences. So this idea is essentially that every user that you acquire, that content they produce is meant to be seen by many, many other people, which means that in theory, there's this opportunity or this network effect, a user-to-user network effect, where one user can always equal N equals, you know, more than one user.

27:58Sandy Diao:So in order to make that true, we need to figure out how do you tap into the distribution that your users already have. And so one of the pieces of intuition I had here was we can essentially figure out how to get content creators to sell Descript on our behalf. But how do we do that without me reaching out to every individual content creator, setting up some kind of content or partnership agreement there? And so one of the experiments I ran, even despite not having a lot of firm data around this being a growth lever for us, was setting up an affiliate program. And the affiliate program was very simple.

28:32Sandy Diao:We used a third-party tool. We didn't build anything special or in-house. And we essentially used this tool where people could sign up for a tracking link. That tracking link would measure the conversion of a Stripe event, meaning that somebody paid, and they would get a percentage or a kickback on the paid subscriptions that they drove to our business. And we would just send this out to new users who signed up in our onboarding emails, you know, not even that openly, but in the footer would say, here's the affiliate program. You can go to our website, there'd be affiliate program. And when we first launched, we obviously made an announcement email, which allowed for us to get our first base of affiliates.

29:09Sandy Diao:And we launched it and we said, let's just keep the cost minimal, the bill minimal and see what happens. And it turns out a lot of people were interested. We opened the program to everyone at the time. So anyone and everyone could become an affiliate. it. We learned a lot of lessons along the way. Some affiliates are really bad. They do things like bid on your brand terms through Google ads, which is terrible. And we eventually banned that, of course. But then there were also really great affiliates. As soon as we launched it, we saw organic content just pop, right? If you went on YouTube, you saw a lot of tutorial content, you saw a lot of videos.

29:42Sandy Diao:We thought this is great. When you actually looked at the results and the data, you saw that they actually did refer paying customers because they're so, creators understand the product. Their job of content creation, when we talk about the product, it comes across very authentically. And so by putting the link to the product there, even the creators themselves don't feel like they're running too much of an ad per se because they're running these workflow videos. So that ultimately netted us in realizing that content creators themselves, whether through affiliates or even eventually paid placements through influencer marketing, was going to be a massive channel for us.

30:15Sandy Diao:And that eventually drove upwards to a third of the business for quite a number of years. And that's something that would not have come about if we were to have diligently looked at our dashboards, our traffic sources, and try to be overly analytical about what was going to work. It just really came from this understanding of who our users were and this intuition about the space itself. That's really cool. And to your point with the referral system, actually, when I first launched the referral system, same using like one of the most famous platform out there um i actually like uh i went on a vacation and i typed like the the name of our company online and then i saw an ads and i wasn't doing actually like any google ads at the time so i was like how come so i reached out to someone in marketing and i was like when did we start like doing ads i thought we were not doing this thing like no we're not and then I looked at it and I could see like the you know the in the url the ref code of the affiliate and when I went back you know to the affiliate program I had seen that in the last six months whenever my head of marketing was reporting to me that the referral program was working really well that it was basically linked to our growth etc I was super excited and realized that one partner was making the most of his money by just like buying our name on AdWords and uh and just yeah so in the end we we stopped it but again I think when when it's done uh in the right way you can definitely get like uh some amazing results and I think you wrote on your uh on your blog that is actually so it's a really cool blog uh like about finding your niche in uh in AI like how how what's what's different versus what happened in the past and And how would you frame it, you know, like for people trying to find a niche with this new technology?

32:17Sandy Diao:Yeah. And are you referring more to finding your niche as in the right type of product or feature to build or more so how to use AI in your existing workflows? I think like whenever you want to find a niche, you know, for your product and the new features that you want to develop. Yeah, I think a lot of the startups I've advised in the last few years, especially when they're building AI native products from scratch, one of their biggest challenges is trying to figure out if they go very, very narrow and horizontal and go after a very, very specific persona. and that tends to be the easiest in terms of shaking up the product roadmap or they go very horizontal so they try to build something that has you know unlimited use cases right and they're like you know sky's the limit with ai tools and features and we just want users to be able to be creative and do whatever they want it's always you know this this very tricky balance because on one hand if you build something that's very narrow you firstly get called a wrapper and then secondarily becomes very hard to remain competitive especially as you know more of the general purpose models can essentially tackle many of and probably all the tasks that exist out there today.

33:23Sandy Diao:And then on the other hand, if you build the really, really broad product, the challenge is you're not going to be better for the most part than foundational models. And you have to essentially figure out how to win that market. So it's this very hard question to answer. I will say this about, you know, sort of figuring all of that out. I think that what I've learned is it feels that TAM is virtually infinite here. I don't mean that in the sense that the number of people on the planet is skyrocketing or growing. In fact, there's a little bit of reversion on that number. But instead, I mean more so that people have two distinct behaviors that I think are worth tapping into.

34:04Sandy Diao:One of them is that switching costs are relatively low from tool to tool, meaning that if you are building better experience, the better design experience, the brand that people trust more, you can still win in the grand scheme of things. And then I think the second thing to note is when you're trying to sell the product itself, people are willing to use more than one tool for the problems that they're solving. So it's this idea that even though you see maybe a foundation model doing something really well, you can actually still get a mark there if you can solve it better for them in like one corner of the universe or one specific area.

34:44Sandy Diao:Like one example is one of the companies that I advise or work with is called TeachShare. They help teachers or educators of any traditional or untraditional kind create educational curriculum. And generating this content, sure, you could do it with GPT, you could do it with Claude, you could do it with any foundational model. But what they add on top of it is this design experience, where all the variables that you need to think about, like what is the grade level? What is the level comprehension? What is the format? Is it, you know, more image based? Is it tracing based? Is it text based? Is it more comprehension based?

35:20Sandy Diao:All these factors are basically like packaged neatly for you so that as the educator, you don't need to think about all these different factors. And then it makes it also easy for you to be able to keep up to date and edit and come back to your repository of the content that you're creating. So I think, you know, regardless of what it is that you're building, I think that some of the factors of building for a market still remain true, meaning that you want to go for product market fit, meaning that you want to make sure your product is serving a market, look for the classic signals there of, are these users retaining?

35:54Sandy Diao:And then, you know, ultimately try to figure out a distribution channel that fits that as well. So can I sustainably, for example, with teacher grow in the teacher and educator segments? And do I have channels that show me that that is working? So, you know, kind of in my view there, I think that TAM is very large. People are willing to use multiple tools. And just because the foundation model is building for this use case doesn't mean that you cannot tackle that yourself as well. And to build upon your point, I think like for the company you mentioned, I think what's interesting also is like not only they have like the package design and they simplified a lot the experience for the end user so there is a lot of additional value but i assume that in the way they build their products because they leverage all these new models when the models get better the product experience also get better which means that they are not like you know fighting existing models that just can leverage the improvements to bring even more value to their end users.

36:57Sandy Diao:Exactly. As the models get better, you're right, the product experience gets better. So you're not having this existential threat of, I get out-competed because the foundational models themselves outperform my product itself. In fact, my product has the actual data points as well of teachers and educators creating content. And therefore, the way that my evals are set up, I'm actually going to have a net better product and output than even a foundational model with far less context on a specific use case. Definitely. No, that's really interesting. And you mentioned like to look at the retention and also that people, you know, like have lower and lower switching costs now that with AI, you know, you, a lot of people feel that they can build everything they want and in a very quick way, even though it's, it's more complex than this, actually, but eventually it might get there over time.

37:47Like what do you think about AI and retention and what are the things that you would focus on to make sure that your retention doesn't go to zero with the switching costs, you know?

38:00Sandy Diao:Yeah, it's honestly so hard. I think a lot of the retention strategies will remain the same in that you still need to figure out how a user continuously gets value with your product over time. And some of these are going to be figuring out like what is ultimately the strategy around how the longevity of your product. Referencing the maybe the, you know, the educator tool for a second here. One common behavior that people are going to have is figuring out how they can like repeatedly come back to make refinements and edits to their products. How they can store their products and view their products and share their products.

38:33Sandy Diao:So we have to, you know, use it all as some of the same retention strategies that we would pre-AI as well, which is how do you build a product experience with longevity that people can constantly come back and reference and continue to use. On the other hand, one of the biggest drivers of retention, the input to retention, which is new user activation or activation itself, has wildly changed, right? Right. AI has kind of trained us to expect value really, really quickly and really, really fast and very, very generously. And part of that is the fact that we've been spoiled by these big companies who have this seemingly infinite budget to burn around giving away AI credits and tokens so that people can get a taste of what good looks like.

39:19Sandy Diao:And so in order for smaller companies or newer players to keep up with that, they need to figure out how do I let somebody peek at the value? How do I let somebody see what's behind the curtains without burning myself out, without costing me a fortune in order to run this business? And I think that's really hard. But I think there are some design patterns that we can utilize to make that happen. You know, for example, one of the experiences that you get when you use any Vibe coding tool is they allow you to start typing your prompt right away. They say, what is it that you want to build? And then they let you hit like generate.

39:54Sandy Diao:But for the most part, most of these tools don't actually run the generation. They bring you to a signup wall and they try to add all of these little steps that help the user be more serious about their intention to use the product. And I think that's one of the things that we need to look out for in growth, which is we want to give away value. We want to show people what's possible, but we also need to make sure that these are real serious users, not someone who's just going to be casually browsing, burning us of, you know, our cash and our capital here in order to run these models. And of course, that will become more and more negligible over time because the cost of running these models gets cheaper and cheaper over time.

40:31Sandy Diao:But I think, you know, for now, one of growth's responsibilities is to figure out what are those distinct points? How do we continue to identify intent early on, but still match the expectations of this ever-changing consumer whose expectations are now being seriously molded by their experiences with free and fast AI? Yeah, I agree. And how would like one full stack growth person leverage AI in the day to day? Like what's what's the typical what are the typical workflows that you personally leverage whenever you advise companies or? Yeah. Yeah, I would say the following. The first one is that maybe unexpectedly, a lot of growth and marketing teams aren't necessarily adopting AI as much as you think they would.

41:23Sandy Diao:And I think one of the reasons here is that especially in the role of growth, a lot of the even the channels and levers we just covered are very cross-functional. They're product-led, they're marketing-led, they're sales-led, they're community-led, etc. And one of the challenges with AI right now is getting all of that context and data to a single place in a way that makes sense, in a way that breaks past the walled gardens. Not every one of these tools has an API that you can use to nicely and neatly connect all of these data points together. So there's still this role of the orchestrator, if you will, who has to look across these channels, use their intuition about the business, look at the data from various sources, or at least figure out how to, generally speaking, automate reading some of these reports and then figure out how it all coalesces.

42:11Sandy Diao:I think the manually building the stack, building the data sources still lives on. And for good, very, very good reason. Some of the areas where agents and AI automations are starting to play more of a factor are things like automated ads reporting, automated ads optimizing, stuff that is very, I think, process oriented. you can really write out the guidelines and say, here are things that I have to do. Even things like influencer marketing outreach, where maybe your guidelines for identifying who an influencer is, you can now write into a natural language prompt and you can build, say, a Claude skill around it so that it runs every single week, every single morning, however frequently your outbound influencer marketing campaigns work.

42:59Sandy Diao:So I do think that Every team, for the most part that I've seen, have a relatively unique stack based on who's responsible, whether they're more of like that general growth manager or maybe more of a performance specialist who's focused on one channel or the other. I think the opportunity here is having more of a unified growth system that has the context across all of these different systems here. But I think right now what I'm seeing and probably the way I recommend growth teams to think about it now is really thinking of ourselves as individuals who are responsible for growth to be general orchestrators.

43:34Sandy Diao:Figure out what is worth automating, but figure out the manual stuff first, because if you don't have the manual stuff down, there's no point in scaling it. And that agent's only going to be as good as the underlying assumptions and logic behind why we did this thing in the first place. and when you join like a company to to advise them like what's your typical process like what are the steps you go through to kind of analyze what's working what's not working and what can be done better great question the first step that i take when i meet a company is i just kind of want to hear from them what their growth challenges are and the second thing that i do is i pair that with an audit of what actually is happening in the business and the realization that we typically have at the end of that process is that our assumptions on what's working or what our problems are, are typically not actually what's happening in the business itself.

44:26Sandy Diao:So that tends to be the early on process. And then we have to align on what are the growth problems that we meaningfully want to solve. From there, it's figuring out, you know, what are the quick wins or the fast things that we can do to show some initial lift and impact so that we can have confidence to continue to double down or continue to invest in other things. That tends to be my roadmap. And then from there, we build something a little bit more long term. That's like, OK, here are good foundational things that we should probably invest in and do, but we don't have to do right away. So an example is some quick win type of things that we tend to do early on.

45:00Sandy Diao:I mentioned this concept earlier, but what I've seen in most probably 100 percent of early stage startups I worked with is their power law outcomes to user acquisition. Firstly, every business wants to solve user acquisition, even if they have tons of users, they're like, oh, I'm afraid it'll dry up at some point and it's not sustainable. and it's not scalable, et cetera. So everyone has that problem. But what I've seen for every business life I've worked with or ever touched is that power law outcomes drive the results, meaning that one or two channels drive the majority of users. Again here, meaning that we need to figure out what those best fit channels are.

45:32Sandy Diao:And one of the inclinations that a lot of teams I work with tend to have is they want to test more and more channels. So they're all saying, what do you think about influencer? What do you think about paid ads? What do you think about Reddit? What do you think about, you know, all these like different referral programs and everything else. And my response to that usually is, I don't think you should be testing all these all at once. We should find out which channels have the best fit for your product. So for example, if you have a product that's very socially shareable, very visual, let's start with social channels first, because you're going to have a better fit there.

46:01Sandy Diao:Or if you have a product that has a lot of existing demand, a lot of people understand, maybe consumer product, let's focus on paid first or SEO. So it really kind of depends on the setup of the product itself. And then, And, you know, we launch an experiment or two and that gets us really strong results. Either it works like crazy well and we're like, wow, we should hire a paid specialist or we should hire an agency. Or it goes, oh, wow, I thought for the longest time that this was going to work and it and it didn't work. Let's move on to the next thing. But that's typically how the roadmap looks.

46:30Sandy Diao:And it's also the same approach that I take when I'm full time, you know, full time in-house in a team. And my mandate is also to, you know, to grow the team. And what do you think, when you look at a growth moat for a company, what do you think have changed before AI versus now? What kind of moats do you feel will remain stronger and the one that will actually not be as strong as they used to be? It's a really interesting question. I think about this one a lot. what is going to be a moat with growth? Well, here's how I view it. I think that firstly, when people ask what your moat is, it's this unique competitive advantage that's supposed to sustain for the long term.

47:17Sandy Diao:But I think by definition in the world of AI, there is going to be very few growth moats that remain the same. In fact, I think that growth moats are always constantly going to be changing depending on the size, the scale of the company, and just the distribution channels themselves are changing. So by definition, you cannot have a persistent growth mode that is going to take you from, you know, C to series A and series A to C and C plus, right? It's just, it's not going to work that way anymore. And one of the reasons that's true is because again, the distribution channels are changing and things are just working a lot faster.

47:50Sandy Diao:Also, the nature of these distribution channels like GEO or generative engine optimization products are now being served on a platter to users, right? Users are asking, what is this exact product that I need for my specific profile with all this context about like what this model understands about me that model will just say like here's the thing you should use right there's no more comparison there's no more reading these lists of like check boxes that says like this solution is better than the other there's a little bit of that and you know sort of referencing it but you know for the most part products are being brought closer to the point of conversion with AI as one of these distribution channels and same with video content right algorithms are getting better and better at surfacing content that is unique and custom to you.

48:33Sandy Diao:And so you don't need to do that much more research the same way that you would have been in sort of this pre-AI world. And so in order to succeed here, the growth mode itself is like, one, being adaptable and making sure that you're constantly checking on and making sure that you're aware of and changing how your distribution works. But two, I would say that this other concept that I referenced earlier as well, finding what your natural distribution advantage is is even more important. So we need to figure out essentially for the product that we have, what are some of the unique channels that we're going to have a leg up in?

49:07Sandy Diao:You know how when investors talk about their conversations with founders or the companies they invest in, they say, I'm looking for a founder with unfair advantages. They're basically saying, I'm looking for a founder who's going to be better at doing this than other people. I think growth works the same way. You need to find your unfair growth advantages, which is to say, I don't want to play the fair game of running ads like everybody else. I don't want to play the fair game of being competitive with everyone else. You want to say, I want to play the unfair game of the channel in which I have a leg up.

49:35Sandy Diao:So like the Descript example that we talked about, Descript is a product that is going to be socially shareable because its users create content. So let's lean into channels like affiliates and influencers and paid social advertising, right? And on the other hand, if you're a B2B product, You want to figure out what are some of the channels that you have there. A lot of business products are collaboration oriented. How do we really make the product collaborative? How do we really make invites a part of the product experience? So, you know, you really want to lean into start out with that. And even more so in the era of AI, lean into those early on and as hard as possible.

50:11Sandy Diao:And then, of course, adapt that strategy as time progresses, because the mode itself, the distribution channels themselves are constantly evolving. I love it. And at some point you talked a bit about B2C versus B2B. And there is actually a third, I would say, category, which are like prosumers. Can you maybe elaborate on this? Yeah, I think that prosumers are actually one of the most overlooked markets or segments to go after. I think there's this inclination to try to bucket companies or for companies to bucket themselves to say like, I'm a consumer product or I'm a B2B product. But actually, a lot of the businesses, especially the successful businesses and especially SaaS products of the world, are everything, right?

51:02Sandy Diao:Right. Prosumers are really interesting because especially for startups, prosumers can be pretty sizable in scale, meaning that you can reach some. A prosumer, by the way, I would define as someone who has some kind of like productivity need for using your product and it might be tied to financial outcomes. So like a content creator, maybe an indie developer, someone who has more than just like a simple hobby, but wants to do something productive with it. So that prosumer is great to go after because they have really, really high usage. They have propensity and willingness to pay, and they can essentially help you build into this eventual motion to go after some kind of more productive use case around B2B or enterprise.

51:43Sandy Diao:And B2Prosumer, I think, is actually a lot of businesses out there and a lot of reason why even LLMs have been successful in monetizing as well. You know, that casual GPT user who's using GPT or Gemini for search and just basic question and answer is probably not going to pay. But a user who's doing a little bit more with it, like trying to do more deep research or automate some of their workflows or even use it for a bit of their work as well, is most likely going to swipe their credit card and become a paying customer. And so I think B2Prosumer is actually a great early segment to go after and figuring out what is that consumer-like use case that I can go after but has more of that productivity, business propensity.

52:26Sandy Diao:One of the other benefits of B2Prosumer is that it's a really great fit for being talked about. So word of mouth tends to be a really great fit for prosumer products because, again, tied to things that you do, really easy to explain. You can have tutorial content. You have a lot of creators talk about it on social channels. And arguably one of the fastest and growing channels out there is social short form video content. So yeah, B2Prosumer is a great segment to go after. And I think is actually a combination of consumer businesses who are kind of evolving, going a little bit more upmarket, as well as enterprise B2B products who want to have bigger land grab, reach more customers, but maybe don't necessarily know how to do that yet.

53:10Yeah, I agree. And I also feel from a branding perspective, you can do a lot of very interesting things, you know, when it comes to prosumers, because you can have the brand of a pure consumer product that's targeted at people who are generating revenue, as you said, or might generate revenue or add productivity to what they use. and at the same time, you know, like generate revenue and scale that you would not usually get with B2C because people are less inclined to purchase like software than when they run a business.

53:47Sandy Diao:Yeah, exactly. Like a great example is one of the companies I work with is Adobe. And, you know, a lot of their early business was essentially consumers, right? It was, you know, individuals who are using Adobe tools for design. But over time, they used that to evolve into this sort of prosumer lane where you had productive individuals who were, you know, maybe their full-time job or their job itself was being a content freelancer. They worked in an agency. They worked in a small, medium-sized business. And then that kind of gave them the ability to enter enterprises and teams and more of that B2B segment.

54:22Sandy Diao:So, yeah, exactly what you said. That's cool. And I know we're almost running out of time. So I'm curious, like, what's the project that excites you the most at the moment? Project that excites me the most? Well, I would say one of the things I'm doing for myself right now is I'm really trying to figure out how to build up that stack of AI agents that can help orchestrate a lot of the work that we do across growth teams. And so one of the things I've really been playing around with is figuring out how we can create skills that are tuned for the nuances of some of these cross-functional growth campaigns.

55:00Sandy Diao:One of my favorite skills in Cloud Code, which is my growth operating system, is the skills creator, right? So if you don't necessarily have a perfect vision of how exactly you want the skill to be laid out because you don't know what the output is going to be or you don't know exactly what's going to work or not work, then Skills Creator is a great way to get started. Like any of these workflows that I'm creating, maybe let's say I want to build a skill around generating programmatic SEO content or landing pages. That Skills Creator will essentially, I give it a general sense of what I want to do.

55:33Sandy Diao:It will ask me questions on what I want to accomplish. and it has this sort of built-in evals process where I can go in and grade you know the outputs of what was generated and that allows me to do this trace analysis and say well here are different parts where I would like have done the research differently or where I would have like written the content differently and I think it's just a fantastic way for someone who's not you know fluent in coding or not fluent in terminal to get access to to skills and agents And so that's one of the personal projects that I'm working on. And I am working with a number of the teams that I advise to deploy some of these agents and see whether or not they actually generate the results that we are going to find to be high quality and high value.

56:17Super cool. And would you share anything on your blog or LinkedIn at some points?

56:24Sandy Diao:Yeah, that's a good thought. I am interested in writing up a tutorial for this. once I can get, you know, a really solid case study in place. Yes, I would absolutely be interested. Awesome. I mean, Tenzi, that was really, really cool. You shared a lot of valuable insights. Where can people like follow you or reach out to you if they need advice? Yeah, I love jamming on growth ideas. Feel free to follow me on LinkedIn. I also write about this a lot on Substack, sandydiao.substack.com. So you can find me in either place. Awesome. Thanks a lot, Sandy, and have a fantastic day. Thank you. You too.

From the publisher

On this episode of BILLIONS, I’m sitting down with Sandy Diao, an elite growth operator who has been remarkably right about major market trends long before the rest of the ecosystem.

Sandy helped scale products to 200 million users by leading early growth efforts as employee number 30 at Pinterest. She then joined Descript as their first ghost hire, architecting an automated affiliate model that drove 25% of all new users completely self-service.

Her thesis is a warning to every modern SaaS operator: the siloed channel specialist is obsolete. In a world flooded by AI-generated content, traditional acquisition paths are collapsing. The future belongs to full-stack, unified operators who realize that trust is the only channel that compounds.

In this masterclass, we break down:

  • The Pinterest Support Trench: How responding to raw customer tickets unlocked the insights to rewrite onboarding and drive massive user activation.

  • Data-Inspired vs. Data-Driven: Why chasing exact precision can paralyze early growth, and why directional insights are the secret to building high-velocity engines.

  • The Descript Affiliate Machine: How to structure automated, self-service loops that scale acquisition without expanding headcount.

  • The Death of Growth Moats: Why traditional software channels are decaying and how to transition to a unified growth framework.

  • Auditing Your Engine: Sandy's precise multi-step diagnostic process for troubleshooting an underperforming distribution strategy.

TIMELINE :

  • 00:00 – Why most growth moats won't survive the AI era

  • 01:03 – The Support Trench: How customer tickets rewrote Pinterest's onboarding

  • 10:00 – Overcoming Team Friction: How to align engineering with rapid growth experiments

  • 16:06 – From B2C to B2B: Spotting high-intent institutional signals in consumer data

  • 18:17 – Data-Inspired vs. Data-Driven: Why chasing absolute precision kills execution velocity

  • 25:09 – The Descript Affiliate Loop: Building a self-service machine that drove 25% of new users

  • 38:00 – Retention in the AI Era: Maintaining product durability when switching costs drop

  • 41:10 – The Growth Collapse: Why the siloed channel specialist is officially obsolete

  • 44:03 – The Growth Audit: Her foundational framework to diagnose an underperforming engine

  • 47:02 – Adaptive Moats & Unfair Advantages: Why the permanent distribution moat is dead

REFERENCES :

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