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Flywheel

Definition

A model for business growth that focuses on using the momentum of happy customers to drive referrals and repeat sales.

Deep Dive

The flywheel is a business growth model that replaces the traditional sales funnel by focusing on using the momentum of happy customers to drive referrals and repeat sales, creating a self-sustaining loop. Instead of viewing customers as an outcome at the end of a linear process, the flywheel places them at the center, emphasizing that customer satisfaction generates energy that fuels further growth. This model involves three key stages: Attract (drawing people in with valuable content and experiences), Engage (building relationships and solving problems), and Delight (providing outstanding support and success).

Examples & Use Cases

  • 1HubSpot's inbound marketing and sales software, where delighted customers become advocates who promote the platform, attracting new users
  • 2Amazon Prime's ecosystem, where excellent customer service and product delivery lead to repeat purchases and subscriptions, fueling more growth
  • 3A SaaS company with a strong customer success team that ensures users achieve their goals, leading to high retention and valuable testimonials.

Related Terms

Growth LoopCustomer Lifetime Value (CLTV)Customer Success

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