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Growth Hacking Made Simple: A Step-by-Step Guide
  • 18 Jan 2023

Growth Hacking Made Simple: A Step-by-Step Guide

Growth hacking Definition:

This was briefly covered in my comprehensive guide to advanced analytics, which I believe did a decent job of explaining it.

When attempting to create new job requirements in 2010, Sean Ellis came up with the phrase. Sean is the first (original growth hacker)

In his capacity as a consultant, he assisted other startups (like Dropbox) in achieving rapid development.

He had trouble finding a replacement, though, whenever he left a startup to work on new projects.

He required someone to oversee the expansion of the startup. Each time, he went through hundreds of applicants who all described a position for marketers.

But only marketers were unable to do this task.

The distribution of new software items differs greatly from that of traditional products.

Marketers believed that they had to take budgets, costs, conversions, etc. into consideration.

A growth hacker is unconcerned with any of these issues. Sean was seeking "a guy who true north is development," in his own words.

Step 1: Make Sure to Develop a Product That People Want for Good Growth Hacking:

You'd think that any business would know this, wouldn't you?

In the past, though, you could occasionally get by with a subpar item if you just promoted it effectively enough.

For instance, Coca-Cola over the years has introduced numerous additional soft drinks including Sprite and Fanta. The majority of them weren't as tasty as Coke.

But via considerable (and costly) promotion, they gained popularity and are now available alongside Coke in the beverage section of supermarkets.

Today, it would be much more difficult to accomplish this due to the rapid diffusion of information about new products.

Faster than you may think, the world will find out if your item is subpar.

For instance, in 2009, United Airlines staff members broke a customer's guitar while handing around bags to one another.

Although they acknowledged doing it, they declined to make up for the man's loss.

Step 2: Don't Use Growth Hacking to Target Everyone:

Guess who the initial target market for Airbnb was?

Everyone who traveled was involved.

Just take a look at the company's first three clients, who were renting air mattresses. They were a 45-year-old father from Utah, a quarter-century Indian man, a 17-years Boston woman, and a 30-year-old Indian male.

The intersection's location. What ties these people together? What have they in common?

How to Find the Small Number of Customers Who Benefit the Most from Your Product:

Make a customer profile, please. Take into account all facets of your goods. Then, consider this:

Who would gain the most from our product?

Be precise. Try your best to portray a real person.

If Dropbox were ever to describe their ideal first customer, they most likely would say something like this:

A 19-years white male who the internet resides in the Bay Area or San Francisco is slim, only has a select group of really close pals, wears XYZ brand clothing, and spends the majority of his screen time.

You should be as specific as possible.

And first, you should truly focus solely on meeting their needs.

To ensure the success of the launch, product lines like stories printed by traditional publishers must generate a lot of talks before they ever go on sale.

What occurs before the introduction of a modern software package is not nearly as significant as what occurs after the launch.

Step 3: Acquisition Growth Hacking:

The growth hacker may have been invented by Sean Ellis.

But Eric Ries had a part in making it widely accepted.

Before Eric published The Lean Startups, many of the fundamental growth hacking concepts were unknown outside of the technology or software sectors.

Eric formalized its applicability to businesses of every size and across all sectors, which helped it gain recognition.

The three growth engines were one of the book's most crucial themes.

The three most trustworthy routes for businesses to scale their customer base are as follows. But it's very hard to perform and over one of these tasks at once.

The challenge is determining which is ideal for your particular product category:

Viral: Consider Dropbox. You develop mostly as a result of others introducing you to your friends, relatives, or coworkers.

Sticky: Contemplate Crazy Egg. To keep people around as long as possible, you create an experience that is impossible to resist.

Pay: Consider Groupon. You invest $50 to bring in a client who will ultimately be valued at $500 to your company.

Step 4: Growth Hacking Activation:

Do you need to boost conversions right away?

It's incredibly easy.

Simply removing a few required fields from your opt-in page would suffice.

By reducing only one web form from our mark page, we were able to boost my exchange rate by 26%.

But hold on. That cannot be so easy, can it?

Sadly, no, it isn't.

Only now will it be much simpler to sign up for this free step. Free conversion does not cover expenses. Only customers who have paid do.

Here is a case in point from a few years ago that exemplifies the argument.

When consumers sign up, asking for their credit card creates a lot of resistance. They are still unsure of whether they require or want your product.

Step 5: Growth hacking for retention:

We studied churn in-depth in the previous two parts.

We examined its nature, methodology, and financial impact.

Did we spend a lot of time on it, why?

Because the quickest way to success is through keeping current clients.

Repeat clients are much more likely to be receptive and spend more money, claims Adobe.

Everywhere you turn, the tale is essentially the same.

Purchases from returning clients are more likely.

Step 6: Earnings through Growth Hacking:

In a young SaaS startup, money is always tight.

They are very expensive to scale because of this.

You require personnel and a system that can eventually handle millions of orders.

And often, charging $10 per month is insufficient.

You start in the red as a result of this. You're struggling to survive in a negative cash flow situation long enough to recover your investment.

The hosting startup WPEngine raised $41.2 million as a result in 2015.