Failure to develop in business and sticking to one course of action is a simple recipe for failure. Achieving success requires experimentation and constant search for better solutions. This process will be greatly supported by the growth hacking marketing strategy. What is growth hacking and how does it work? Find out in this article.
Growth Hacking – what is it?
Growth hacking is one of the marketing strategies that focuses on the rapid development (brand, product, person, etc.) based on the results and potential opportunities. It’s an activity of constant experimentation, so there is no set of rules or guidelines that tells you which path to take. Growth hacking focuses on the fact that the entrepreneur, by trying various techniques, finds the best way to achieve his goals, for example, in this way he can find a better way of serving customers or better prepare an offer in the store.
Many people mistakenly think that growth hacking is a group of forbidden practices because they associate the name of the strategy with the actions of hackers. The word “hack” which is the reason for this misunderstanding in this case means searching, consistently striving to find the best solution. Computer hackers look for vulnerabilities in the website to work against someone else, while people who use growth hacking look for errors in the operation of the company in order to improve it.
How does Growth Hacking work?
Growth Hacking can be used in the development of virtually any company and product. Taking advantage of the opportunities this strategy offers is only limited by the level of the marketer’s ability. The most important thing is for a given person to know what to look for and what to use to increase the potential of the company / product.
Some of the recommended growth hacking practices can work wonders, while others won’t work at all. The key to success is experimenting and patiently searching for the solution that will be most effective for a given entity. Failure is an inseparable part of running a business, which is why growth hacking specialists keep repeating not to be afraid of trying new solutions – some of them will work better than expected.
Growth hacking uses business expansion and growth as basic measures of success. Among the most frequently used activities for this purpose are data analysis, activity in social media, internet traffic, target group research, etc. It is necessary to understand how consumers act, what they think, how they react when shopping, what motivates them to convert and what causes that they give up their purchase. A team of specialists who will comprehensively analyze the company’s operation may help in gaining such knowledge. It is worth to include in the team:
– Team leader – a person supervising the growth hacking strategy and making final decisions.
– Programmers, designers, engineers – their task is to develop the tools and products necessary for the experiment.
– Growth Analysts – Analyze performance data on introduced marketing strategies and experiments.
– Marketing specialists – we are talking about SEO, social media, e-mail marketing experts, etc. Their task is to propose and implement solutions focused on high KPI.
When planning the implementation of a growth hacking strategy in your company and building an appropriate team for this task, it is worth remembering that growth hacking is a pattern of thought rather than a formal position. Many companies decide to entrust such a task to, for example, representatives of the marketing department. The most important thing is a revealing, creative look at the problems faced by the company and focusing on results by looking for new solutions. Growth hacking can apply to the production, accounting, sales, promotion and any other departments.
How to implement growth hacking in your company?
Effective growth hacking requires the introduction of a structured system of operation in the company and consistent action in relation to this plan. It should be based on interaction and scalability and be individually adjusted to business goals. When building an action strategy, you can rely on the following sample plan.
1. Product improvement according to the growth hacking strategy
Focus on analyzing the needs and expectations of your target group, and then adequately improve your product. Hacking growth allows you to better match the offer to the market. However, it is important to be sure that the research has been completed in detail and accuracy. Make sure that your company is associated with the recipient with a strong, solid product offer.
2. Setting measurable goals according to the growth hacking strategy
Growth hacking is not about setting yourself overly ambitious, unattainable goals. In this strategy, one should be able to precisely set a goal that is within the organization’s capabilities . Doing so will give your team a chance to succeed, reduce any temptation to distraction, and allow you to maximize the time spent testing and refining a specific solution.
3. Testing the solution according to the growth hacking strategy
Once you’ve defined your goal, test it. Growth hacking is about constant experimentation and creative thinking, so it can also lead to ideas that are ineffective. Testing in this strategy is an essential element to determine if the assumed solution is well suited to the organization. Use tests, record data, and run analyzes to find the best combination for growth.
4. Analyzing the results according to the growth hacking strategy
The implementation of solutions that have been defined according to the growth hacking strategy is not the end of work. Now you need to implement an appropriate analysis strategy in the company and observe the results of the changes made. Does the new operating strategy achieve the assumed goal? Such meticulous analyzes allow not only to supervise one change, but also present clear suggestions for subsequent solutions. You can see what solutions consumers value and what motivates them to convert.
5. Optimization of activities according to the growth hacking strategy
The fact that one action has worked does not mean that it will always be effective. In your growth hacking strategy, focus not only on looking for new solutions, but also on improving previously introduced practices. For example, the analysis of reports from Google Analytics can help you with this – from there you will find out on which pages your customers most often visit, how often they decide to convert, on which pages they most often decide to leave the site.
4 growth hacking strategies used by well-known companies
Ideas for an effective marketing strategy for your company can be found among solutions used by other large companies. We especially recommend that you familiarize yourself with the following four growth hacking strategies that are popular among many entrepreneurs.
Referral marketing – growth hacking strategy
This strategy is being used successfully by companies such as Uber, Dropbox and PayPal. What is referral marketing? The aforementioned companies have transformed their clients into brand spokespersons. A customer who decides to recommend a company receives a bonus if a new person takes up the offer. This is a way to increase customer loyalty to the brand, speed up the promotion process, and reduce marketing costs. Referral marketing helps your business grow more efficiently, faster. PayPal was one of the first companies to implement this strategy (in 1991) and allowed the brand to gain more than 100,000 users in less than one month. They were then offered $ 20 to recommend the company to others. Today, referral marketing is used more and more often because entrepreneurs are convinced of its high level of effectiveness.
Content marketing – growth hacking strategy
This is a strategy that will support the company in increasing website traffic, building an expert brand image, and increasing conversion results. If you run a blog, you can give advice, share knowledge, review products, compare offers – this way you will undoubtedly increase organic traffic. If you want to use content marketing to increase the number of inquiries, use the Call To Action blog.
Content marketing also includes the SEO by using relevant keywords in the content. You can also use guest posts that bring new people to your site from your target audience.
The principle of scarcity – growth hacking strategy
This growth hacking strategy focuses on making recipients aware that the amount of a given product is significantly limited, so only selected people will be able to use the offer. In this way, a feeling of FOMO (Fear Of Missing Out) is built in consumers – they are afraid that they will miss something special, so they often decide to make a purchase immediately.
The principle of unavailability – growth hacking strategy
The goal of this strategy is to create a feeling of exclusivity in the product / service. Google used it once when it launched Gmail. To use the site, you had to get an invitation from one of its users. Each user had a limited number of people to whom they could send an invitation. The limited availability of the new, gaining popularity platform meant that the interest around it grew every day. At one point, invitations to the site were even sold at online auctions. The principle of inaccessibility was also used by the promotion department of the Club House application, which enjoyed great popularity.
5 growth hacking strategies you can implement today
Growth hacking doesn’t have to mean implementing a complex marketing strategy that is both time consuming and costly. There are many simple marketing solutions that can make you grow. It is worth considering implementing one of the following strategies in your company.
Use of website feedback
You can share customer reviews and ratings as well as testimonials from famous brands or people on the product page. This will increase the level of trust in the brand. It is also a good idea to place fragments of such statements on the company’s home page or in promotional materials, in social media. This will highlight how satisfied people are with your offer.
Writing guest posts for other blogs
You can reach new audiences from your target audience by posting guest posts on websites related to your industry. Prepare a list of blogs that are related to your offer, and then contact them about such publication. Make sure you can link to your website in such a post. In Google Analytics, you can later track how many people came to your site from the selected source.
Conducting A / B tests
An effective way to do growth hacking is to conduct A / B tests. They involve preparing advertisements or product pages in different versions and verifying which version is better received by the recipients. Here you can experiment with colors, font, photo size, content layout, etc.
Use of popup windows
What to do when visitors frequently leave your website without converting? You can use pop-up windows that appear when people try to leave your site without completing a purchase. In such a window you can put a message about granting a discount or a code for free delivery.
Placing personalized suggestions on the site
You can more effectively respond to the needs and expectations of customers by intelligently suggesting products that match their previous purchasing decisions or viewed on the products page. For example, you can present products on the website or in the newsletter that are thematically related to the offer that previously interested the customer. You can also present products that interested users with similar preferences or promote a product that the customer viewed during the last visit to the website.
What is growth hacking and how can it help you achieve success? Summary
Growth hacking can be used in the development of a personal brand, company, product or service. It is a marketing strategy that allows you to achieve better results in many aspects. It is especially worth using them in e-commerce, where, thanks to many tests and experiments, you can find the most effective sales and promotion system, as well as develop the most attractive offer for customers.