Startup Dictionary
Hockey Stick
Definition
A chart shape showing a short period of stagnant growth followed by a sharp increase.
Deep Dive
A "hockey stick" describes a distinctive chart pattern characterized by a long, flat period of relatively stagnant or slow growth, followed by a sudden and dramatic upward curve, resembling the shape of a hockey stick. This visual representation is highly coveted in the startup world as it signifies a significant breakthrough or inflection point where a product or service finally resonates with the market, leading to rapid, exponential growth in users, revenue, or other key metrics. It often indicates that the company has achieved product-market fit and successfully scaled its operations.
Examples & Use Cases
- 1Facebook's user growth curve in its early years after expanding beyond college campuses
- 2Netflix's subscriber acceleration after transitioning from DVD rental to streaming services
- 3Zoom's explosion in user numbers during the global shift to remote work in 2020
Related Terms
Inflection PointExponential GrowthTipping Point