Habits and products – a strong relationship

Entering Startup

Everyone is like discussing startup nowadays and want to start with their startup. Me too! So, as a startup lover and an intrapreneur, I started reading a book, Hooked written by Nir Eyal. Here I have drafted an overview of the chapter-1 in my words. It is more about how habits are important to the products. After reading the first chapter, I found that there is a strong relationship between the habits and products. If your product can’t create a habit for the users, it is probably going to fail. Right, interesting!

What are habits?

A habit is a regular activity or practice, which is hard to give up. So the goal should be to create products which are a part of users’ habits. If someone makes this happen, it can give positive results to the both, users and products.

For some businesses, forming habits is a critical component to success, but not every company require habitual user engagement.

What is CLTV (Customer Lifetime Value)?

It is a contribution of a user before s/he stops using the product or switches to the other competitor product.

Encouraging user habits can help to generate higher customer lifetime value (CLTV). User habits decide how long and how frequently users are going to use the product. If user habits get formed, it will increase CLTV and so, the value of a company.

User habits give higher pricing flexibility. Once users start liking your product and habits are formed, they would love to pay for the premium or paid features. For e.g. many game apps allow users to play for free until they create an interest level in users’ mind or a compulsion to play further. Then they ask for the money to play further or ask to purchase some coins, credits, powers, etc. to move further with the ease in the game.

User habits boost the growth. Users who find good values in a product are likely to tell their friends about it. It increases the usage and so chances to take it to the next level.

Products with higher user engagement have the potential to grow faster than their rivals.

Vitamins and Painkillers

Many of you might have read or heard about this before. Vitamins don’t solve any obvious need or problem; they’re good to have and appeal to users’ emotional needs. Painkillers solve an obvious need or problem. Many blogs and experts say that your product should be a painkiller. Even investors look for a painkiller idea.
But I have found something positive about the vitamins. And that is,

Once vitamins form the habits, they become must have (painkillers).


If you’re building a product, answer below questions.

  1. What habits does your business model require?
  2. What problem are users turning to your product to solve?
  3. How do users currently solve that problem and why does it need a solution?
  4. How frequently do you expect users to engage with your product?
  5. What user behavior do you want to make into a habit?

This was a very high-level overview of the chapter-1 of the book. For more details and insights, I recommend reading the book, Hooked.

If you want to buy Hooked, get it from below links.

  1. Amazon
  2. Flipkart

You can also get it from digital book stores like Google Play Books, Amazon Kindle version, etc.

Write your queries/thoughts in the comment box below. I will try my best to answer them.

I originally posted this on Medium.

Gautam Lakum
Intrapreneur. Project coordinator at Multidots. Have experience of working on 7 web & mobile app products. Love traveling, sports, gadgets & photography.
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