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Viral Coefficient

Also known as K-Factor

The number of new users each existing user brings in, on average. Sustained growth requires k > 1.

In depth

K-factor = invitations sent × conversion rate. Slack, Dropbox and Calendly had structural virality; most SaaS does not. Confusing 'word of mouth' with virality is a common founder trap.

Related terms

Activation Rate
% of new signups who complete the defined activation event within a defined window.
PLG
Product-Led Growth, a GTM motion where the product itself is the primary acquisition and expansion driver.
Referral Loop
A programmatic incentive that turns satisfied customers into a repeatable acquisition channel.
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