From Lithuania to California: seven lessons on breaking into the US startup scene
Breezit started selling in California in 2023. Its CEO shares seven ways US customers differ from Lithuanian ones.
We invest in CEE startups that already have a product and plan to sell globally. Breezit, a marketplace with software for private event vendors, was our first investment and an easy decision. Our reasons at the time, from our LinkedIn post:
- A space we’re comfortable advising on, ie, B2B SaaS or marketplace
- Big market potential: $1T
- Competitive advantage in distribution: focus on product-led growth and growth loops
- Experienced founders from CEE or with roots there
- Global ambition, ideally with US as the target market (more on that below 👇)
Seven lessons learnt
After two years as the leading event planning platform in Lithuania, Breezit set its sights on Southern California, and Feb ‘23 marked their first paying US customers. Reflecting on their journey, CEO Artūras Asakavičius shared these 7️⃣ lessons they learnt along the way and kindly let us share them:
1. US users stay on the platform
Unlike in Lithuania, US customers tend to stick to using the platform for contacting vendors, rather than attempting to transact outside of it. It was much easier for us to show the product value in the US compared to Lithuania.
2️⃣ But US users are more reluctant to sign up in the first place
US customers show a strong aversion to signing up on platforms. To address this, Breezit adapted its product by making all features available without registration and finding alternative methods for capturing customer emails.
3. US users expect a very good product
High competition in the US market means customers expect exceptional UX and a wide service selection. Breezit had to up its game, as the strong engagement in Lithuania didn't automatically transfer to the US market.
4️⃣ US customers are more savvy with analytics
US vendors are more sophisticated in calculating conversions, unlike Lithuanian vendors who rely more on intuition. Budget planning is very strict and we had to time our sales based on budgeting periods.
5️⃣ US outbound sales is a struggle
US outbound sales are significantly more challenging due to advanced spam-blocking techniques. Breezit's phone numbers were flagged as spam, so it had to find other ways to reach customers.
6️⃣ Don’t skip product localization
Adapt the product to each country. At first we did not see why we needed at least one local person on the team. Fortunately, the required localizations for the US market were minimal, and only 5% of the code ended up needing alterations.
7. US customers give direct feedback
US customers readily share their dislikes about competitors and suggest improvements, making it easier for Breezit to build a better product. In contrast, Lithuanian vendors tend to be less forthcoming with honest feedback.
In short: US customers behave differently from Lithuanian ones. Watch them closely, change the product, and use their feedback.
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