What is growth hacking?
Growth Hacking is a somewhat new term but it has been spreading like a wildfire. It was created by Sean Ellis in 2010 and ever since then it skyrocketed and a lot of people started using this methodology in marketing.
Growth hacking is a method, a strategy, and a mindset. It helps you accomplish success and growth in any business field. Growth hackers and growth hacking agencies like Masteradz, have a strong focus on growing the business. Using laser-sharp intuition, analytics, and innovation to get the best results and achieve target ROI.
This term is important for startups as 20% of them don’t survive the first year. This technique is crucial for their survival. Anyone can benefit from growth hacking, not just startups. Whether you are a new business or you are a multinational company, growth hacking is flexible and anyone can leverage it.
There is no limitation to growth hackers in any way. They always relying on data-driven results to gain the most success in the shortest amount of time. Focusing on growing the business first and tossing aside secondary things. This is what growth hacking is all about and what any company needs to do.
Growth Hacking and Digital Marketing
Growth hacking is not an alternative for digital marketing, in fact they are naturally linked. They share the same fundamental principles and even the same metrics, but the key difference between them is the scope of their goals.
A digital marketer has a wide focus on any part of the sales funnel and looks for increasing brand awareness. Whereas growth hackers focus on only one thing; growth. The difference is growth hackers depend only on setting highly obtainable goals. In order for them to reach one specific outcome through testing different hypotheses that were previously set.
Digital Marketers have funds at their disposal. Mostly, they work on campaigns and take advantage of social media and email marketing to engage with their customers. However for growth hackers, it is usually associated with different fields and brands concerning their products or services.
However, even in the face of these differences, these two marketing strategies go hand in hand. The information gained from marketing channels provide the necessary information for growth hacking. Stay on top of your game and your content marketing and be sure to use analytic results to help you with your growth.
Growth Hacking Funnel
Every customer is unique, following a different path when buying a service or product. The growth hacking funnels is based on tracing the phases between the customer and the company through the AAARRR funnel or also known as the pirate funnel.
The first step in the product life cycle you need to achieve is getting people to know your service or product. The volume of people you reach is critical and decisive.
The goal of awareness is no surprise; it is about brand awareness. Awareness is the first move in the marketing funnel. Firstly, you need to building the brand and introduce it to the market. At first it can be difficult to track. But you are going to want to keep a record of impressions, website visits, and google searches with your brand’s name.
Acquisition can be seen as the “gathering customer persona” stage. It requires you to gather information that include demographic details. Such as names, geographical locations, and emails. This data can be taken properly once the customer is using the website.
The information gathered allows marketers & advertising agencies like Masteradz to create the ideal customer personas. These personas help letting the brand know who to target through ad campaigns, for the best results of growth hacking. Tracking email subscriptions and social media will help ease this step.
Activation step happens when customers start engaging in your website. Whether they are reading more pages, maybe using a promo code, or even using a free trial you are offering to new clients.
Through an ad campaign, a solution must be offered to your customer’s problem. People will start seeing your advertisement and clicking on your website to check out the different services you are offering. Using a promo code or when people start referring to your website, will increase your engagements. That is exactly what activation is.
Bringing new customers is expensive, but keeping the already existing ones is cheap. You want to keep your clients close by after buying or signing up for emails.
Keeping customers is a vital part of the retention step. It is inexpensive, but it can make or break your business. You want to keep your customers involved. You can do that either by sending emails alerts for new products or services, events, special offers or sales. Updating your blogs and social media platforms is an important key in retention.
Thinking about it, referral is free marketing. When your customers start acting as your brand ambassador is beneficial for you. They start referring new people to your website. Most people are most likely going to purchase from a brand recommended by friends and family.
Word of mouth is a tool that can never get old. You increase these types of referrals by encouraging customers who have experienced a positive outcome. Engage with your customers through referral programs, social media campaigns, or through a contest because who doesn’t like a challenge?
Revenue is described with CAC (Customer acquisition cost). It is the money you have spent on sales, advertisements, or anything else you did to catch the attention of your customers. The CAC is compared to the business’s lifetime value (LTV) , it determines the changes that need to be made in order to build revenue and flourish your work.
Understanding your customers and how they interact and move through the funnel will guide you in making the improvements you need. Looking at your target audience and the pricing of the product is another way to advance your business.