We believe that it is better for customers to grow out of something than to not be able to grow into it in the first place. And there are a lot of products out there where new customers can't grow into them anymore because they have gotten so complex and have so much stuff that they are too confusing for new people and that is when disruptive businesses can come in and nail the simple side of things, which is always a bigger market there is always more people willing to use something that just works than complex professional stuff.
Transcribed from Jason Fried, "10 Things We've Learned at 37signals," 2008 SXSW Interactive, 8 Mar 2008, audio.sxsw.com/podcast/interactive/panels/2008/SXSW08.INT.20080308.10Things37Signals.mp3, quote starts at 55:25.
Additional references:
Sean Ammirati, "SXSW: Lessons Learned at 37 Signals," ReadWriteWeb, 8 Mar 2008, www.readwriteweb.com/archives/sxsw_lessons_learned_at_37signals.php.
Jason Fried, "Question your work," A design and usability blog: Signal vs. Noise, 37signals.com, 17 Mar 2008, www.37signals.com/svn/posts/913-question-your-work.
"SXSW session recap: Jason Fried of 37signals," Hoover’s Business Insight Zone, 9 Mar 2008, www.hooversbiz.com/2008/03/09/sxsw-session-recap-jason-fried-of-37signals.