If you’re wanting to drive growth for your business, you may have heard of ‘growth hacking’ being used. However, there is no hacking involved in growth hacking or growth marketing, it is data-driven marketing being used as a method to optimise demand generation – a marketing strategy that creates awareness of and interest in a company’s offerings through the use of technology.
But before you get lost in the many growth marketing buzzwords and jargon, such as pirate metrics, full-funnel marketing, and many more, let’s have a look at what growth marketing is.
Growth Marketing is the process of designing and conducting experiments to optimise and improve the results of a target area, typically a certain metric you want to increase.
Growth marketing teams are responsible for
- Determining areas to test and improve upon
- Developing and designing experiments to optimise the identified processes
- Conducting experiments to test hypothesised improvements
- Analysing results and conducting further experimentation as needed
Growth marketers use the scientific method to design and carry out these experiments. While experiments are aimed to improve processes for growth and scalability, growth marketers need to be comfortable with failure and plan for it. Growth marketers should have solutions ready to address an experiment from all angles, so if one fails, the next step is ready.
Growth marketing can be applied to areas within your business contained in the acronym AAARRR (sometimes referred to as pirate metrics) which stands for Awareness, Acquisition, Activation, Revenue, Retention and Referral.
- Awareness is the brand-building efforts that educate prospects about your brand and solution.
- Acquisition is the process of generating leads and acquiring net new customers
- Activation is getting people to use the product or service they purchase as much or as quickly as possible.
- Revenue involves all the actions that make a company money, like customers purchasing a product, signing a contract for a service or upgrading their current product or service.
- Retention is keeping customers delighted
- Referral is when existing customers are pleased with the products/services and refer new business, sometimes as part of an incentivised referral program
Growth marketing can be as simple as changing the style or colour of a button on your website to completely redoing your onboarding process. It might not be viable for all businesses, but if you’re seeking business growth and looking to change your marketing efforts, consider implementing growth marketing to improve your pirate metrics.
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