Battle-proven Product Growth Resources
Hacks to Improve Conversion Rate
ChatGPT Prompts
Statistics and Facts about Conversion Rate
About Growth Hacking
The Power of Growth Hacking
Definition: Growth Hacking is a process that focuses on rapid growth through continuous experiments aiming at different metrics.
Key tools: A/B optimization, CRO, UX tuning, viral marketing, and product-led growth.
The crucial advantage of Growth Hacking is its ability to achieve significant results even with limited resources. By focusing on low-cost or no-cost marketing techniques, startups can overcome the challenges of high marketing costs and competition. Tactics like viral marketing, where satisfied customers become brand advocates and spread the word, can generate exponential growth without extensive advertising budgets.
Moreover, Growth Hacking is rooted in data and analytics. By closely monitoring key metrics and analyzing user behavior, startups can gain valuable insights to guide their decision-making and prioritize their efforts. This data-driven approach enables them to make informed choices, optimize their strategies, and achieve measurable results.
Growth Hacking Process
First and foremost, identify the key metric that we should focus on. However, determining the most impactful metric can be challenging as it tends to evolve over time. For instance, if a significant amount of effort has been dedicated to generating traffic, the growth point might shift towards activation metrics like conversion rate and engagement. Occasionally, growth points may extend to offline metrics such as assortment, COGS (Cost of Goods Sold), or margin.
In our work, we employ the AARRR framework, metric pyramids, and classic "core" funnels to track our progress. Take, for example, the following funnel:
15,000 views → 400 clicks → 340 visitors → 14 leads (registrations) → 4 customers → 2 repeat customers (prolongations/second purchases) -> ...Retention, Churn
This simple funnel, coupled with metrics such as Average Order Value, enables us to assess the performance of a business, particularly in the digital realm.
Suppose we intend to enhance conversion rates for registrations. In that case, we break down the conversion process from visitor to user into smaller steps and focus on optimizing each stage. For instance, in an e-commerce setting, we may concentrate on encouraging visitors to open product pages, as this stage often contributes significantly to customer churn. By thoroughly analyzing and experimenting with this step, we can devise effective strategies for improvement.
Once we have established our goal metrics and identified areas for enhancement, we can initiate our growth hacking process. To streamline and organize our efforts, we rely on HADI cycles—a battle-proven tool. HADI represents Hypothesis, Action, Data, and Insights. This framework enables us to generate hypotheses based on thorough analysis, implement specific actions to test those hypotheses, collect pertinent data, and extract actionable insights from the results. By following this iterative cycle, we ensure a structured and data-driven approach to continuously refine and enhance our product/marketing initiatives.
Growth Hacks and Strategies
Romichi's collection helps with hypothesis generation: you can find even unusual hacks by metrics, check out references and follow the guide for experimenting. We've collected strategies for B2B, SaaS, ecommerce, apps, and marketplaces. All the stuff is conveniently grouped by metrics, so... get inspired!
Growth Hacking for Startups
2023 is the time when marketing costs are overwhelming, and it's really hard to be competitive on platforms like Google Ads and Facebook when you're just starting out. Most of the time, achieving payback seems impossible, so how can we launch something without clients? The answer is Product-Led Growth.
Let's take an example to illustrate how PLG can be implemented. Imagine a startup that has developed a mobile productivity app. Instead of spending portions of their limited budget on paid ads, they focus on creating a free version of the app that offers essential features and functionality. This free version acts as a powerful marketing tool in itself. Users who find value in the free version oftener share it with peers, resulting in organic word-of-mouth growth.
To further accelerate user acquisition and conversion, the startup employs the Hook Model, a behavioral design framework popularized by Nir Eyal. The Hook Model consists of four stages: Trigger, Action, Variable Reward, and Investment. The startup carefully crafts triggers, such as push notifications or personalized emails, to prompt users to take action and engage with the app. By providing a satisfying user experience, the app delivers variable rewards, like achievements or exclusive content, that keep users coming back for more. Finally, the startup encourages users to invest time and effort into the app, making it an integral part of their daily routine.
By combining the principles of Product-Led Growth, the Hook Model, and other proven strategies, startups can create a sustainable growth engine that relies on the value and appeal of their product rather than expensive marketing campaigns. This approach not only helps overcome the challenges of limited budgets and intense competition but also fosters long-term customer loyalty and advocacy.
