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What is Traction?

DIGITAL VENTURES June 28, 2017 8:43 AM


Is it important for startups and investors and what does a good traction look like?

If you are a startup or entering one, you should be familiar with the word “traction” and know that it is a crucial factor for the startup business, especially when approaching investors.

Traction is when a consumer uses your service. The principles are different among business, for instance, if you are making a website or platform, traction is the number of users who visit your site. If you are making an application, traction is a number of people who download your application. Also, you can also go further and view the active users or dedicated users who visit your application.

Traction and startups

In the early stage of a startup, even without the revenue, each startup must prove that their product has users. Traction is a factor that can indicate whether your product is functioning well. It creates a clarity and signifies that your business has existing markets.

Investors are particularly interested in traction when considering their investment with startups. In the primary stages, if you plan to seek funds from investors, you need to build a business with good traction. Also, your data shall be understandable, measurable, and interesting.

Samples of Attractive Tractions from DVAb0

These are some successful tractions of startups who completed the DVAb0 program last April.

PetInsure shares user growth rate that increased 4,534% or 45 folds in 6 months

(Oct. 2016 – Mar. 2017)

Refinn utilizes registered customer growth of 400% or 5 folds in 6 months

(Oct. 2016 – Mar. 2017)

Also, revenue reflects users, therefore, teams that begin to have tangible revenue, use them as tractions.

Seekster uses revenue growth of 77% in 6 months (Nov. 2016 – Apr. 2017) uses the monthly invoicing per month that grew by 78% in 6 months (Sep. 2016 – Feb. 2017)

Source: DVAb0 Demo Day Booklet

Apparently, presentation patterns are simple and easy to understand. Traction data that captures attention consists of elements such as products that solve customer pain point, user interface design, and customer acquisition, etc.

For more fundamentals on startups and generating traction, visit

STARTUP 101 – ปูพื้นฐานให้แน่นก่อนเติบโตอย่างก้าวกระโดด

For those who are interested and have a visionary team that is ready to learn and leap your business, join the Digital Ventures Accelerator Batch 1 or DVAb1. Gain once in a lifetime experience, apply now until July 15, 2017.