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Growth Hacking: Marketing that Moves the Bottom Line
Growth Hacking: Marketing that Moves the Bottom Line
•  15 year startup growth veteran
•  Wrote Startup Growth Engines with Sean Ellis
•  My hobby is studying fast growing companies
3TAKEAWAYS
1.  Growth hacking complements marketing – not
a replacement
2.  Use data to find leverage points and double
down on those
3.  Rapid, continuous experimentation key to
growth – no silver bullets

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The document provides an overview of growth hacking fundamentals. It begins by defining growth hacking as a process-driven approach focused on rapid experimentation to drive product growth, rather than just tactics or user acquisition. It discusses when growth hacking is most applicable and examples of common growth drivers like user acquisition, activation, referral, and retention. The document concludes by outlining the typical growth hacking process of identifying metrics to optimize, developing hypotheses, running experiments, analyzing results, and systematizing learnings.

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19 Growth Hacker Quotes: Thoughts on the Future of Marketing
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Adapted from "Growth Hacker Marketing: A Primer on the Future of PR, Marketing, and Advertising" by Ryan Holiday. http://www.amazon.com/Growth-Hacker-Marketing-Primer-Advertising/dp/1591847389/ryanholnet-20 "Everything you thought you knew about marketing is obsolete. We can see the incontrovertible evidence right in front of us. A new generation of multibillion dollar brands—Facebook, Twitter, AirBnb, Evernote, and countless others—have been built without spending a dime on traditional marketing techniques. No press releases, no PR firm, no Madison Avenue, no billboards in Times Square. It wasn’t luck that took them from tiny start-ups to massive success. They have a new strategy. It’s called Growth Hacking. And it works. A Growth Hacker is someone who rejects what “marketing” is supposed to be and replaces it only with tools that are testable, trackable, and scalable. Growth Hackers rely on inexpensive tactics like e-mail, pay-per-click ads, blogs, and platform APIs. They chase real results in a field that was dominated by gut instincts for nearly a century. They reject the traditional marketing worship of all things big: big budgets, big campaigns, big opening weekends. Instead, they embrace the opposite: taking a start-up from nothing to something, launching a Kickstarter project, building something that truly spreads. Growth Hacker Marketing offers both a new mindset and a new set of rules. Bestselling author Ryan Holiday, the former director of marketing for American Apparel, will convince you of the urgency of this awakening. He shows why the game has changed forever and what to do about it—whether you are an aspiring marketer, an entrepreneur, or a Fortune 500 senior executive."

marketingquotesryan holiday
“Most startups don’t fail at
building a product. They fail at
acquiring customers.”
Growth is Everything
– Gabriel Weinberg
•  McKinsey & Co. studied 3,000 software
companies with different growth rates
•  High-growth companies deliver 5x greater
returns than medium growth companies
•  Supergrowers (CAGR > 60% at $100m mark)
were 8x more likely to reach $1B
•  Increase in growth rates drive 2x the market
capitalization as margin reduction in
companies < $4B
•  No correlation between cost & growth rates
Growth is Everything
What is growth hacking?
A cool-sounding euphemism for
making the doer feel good about
using the same old sleazy
marketing tricks.
– David Heinemeier Hansen, 37 Signals!
What is growth hacking?
A … focus on understanding your users and
how they discover and adopt your products,
[so] you can build features that help you
acquire and retain more users, rather than
just spending marketing dollars.
– Josh Elman, Greylock. Frmr.
Twitter, Facebook & LinkedIn!

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$0
$20
$40
$60
$80
$100
$120
$140
$160
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
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US Online Ad
Spend per User
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20
40
60
80
100
120
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
WOM
Email
MySpace
Facebook
Craigslist
Twitter
iOS
Android
James Currier
Yet some huge successes…
Little or no traditional marketing…
Growth Hacking: Marketing that Moves the Bottom Line

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Use a Growth Hacking Playbook
•  Experiment with all available growth levers
•  Understand what’s driving growth, test to
improve it
•  Heavy focus on product and optimization
The Dropbox Growth Story
•  Freemium reduced allowable CPA
•  Natural advantages to grow with
collaboration and sharing
•  Catalyze sharing with double sided
referral program
•  Optimize conversions on sharing loops
•  300 million users with no traditional
marketing
B2C or B2B
•  Growth hacking isn’t just for consumer-
focused companies.
•  B2B often requires integration with sales
process.
HUBSPOT – FREE TOOLS

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Growth Hacking: Marketing that Moves the Bottom Line
Finding Your Own Growth Levers
•  Areas of exploration
•  Process, team and tools
SOME AREAS OF EXPLORATION
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•  Free Tools
SOME AREAS OF EXPLORATION
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connections drove conversion rates
UP.
•  WHY?
Success Data: AirBnB’s Pro Photos
•  Discovered that listings with
high-quality photos received
2-3x bookings
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photography
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desire increases
Discover Your Magic Number
Growth Hacking: Marketing that Moves the Bottom Line

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What is Consultative Selling?

While "consultative" and "selling" are two words that don't seem to belong together, there are just a few simple steps to achieve a consultative approach to selling.

defining consultative selling
HELPFUL TOOLS
•  Analytics — Identify drop-off points and under-performing pages
(e.g. Google Analytics, KISSMetrics)
•  Qualitative Insights — Uncover the why behind the numbers (e.g.
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•  A/B Test — Find better performing combinations to drive conversion
rate (e.g. Optimizely, Unbounce)
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1. Ideas
2.Prioritize
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5.Optimize
3TAKEAWAYS
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a replacement
2.  Use data to find leverage points and double
down on those
3.  Rapid, continuous experimentation key to
growth – no silver bullets
Morgan Brown
@morganb
GrowthHackers.com

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Growth hacking: how to use analytics to create kickass marketing strategies
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Growth Hacking: Marketing that Moves the Bottom Line

  • 3. •  15 year startup growth veteran •  Wrote Startup Growth Engines with Sean Ellis •  My hobby is studying fast growing companies
  • 4. 3TAKEAWAYS 1.  Growth hacking complements marketing – not a replacement 2.  Use data to find leverage points and double down on those 3.  Rapid, continuous experimentation key to growth – no silver bullets
  • 5. “Most startups don’t fail at building a product. They fail at acquiring customers.” Growth is Everything – Gabriel Weinberg
  • 6. •  McKinsey & Co. studied 3,000 software companies with different growth rates •  High-growth companies deliver 5x greater returns than medium growth companies •  Supergrowers (CAGR > 60% at $100m mark) were 8x more likely to reach $1B •  Increase in growth rates drive 2x the market capitalization as margin reduction in companies < $4B •  No correlation between cost & growth rates Growth is Everything
  • 7. What is growth hacking? A cool-sounding euphemism for making the doer feel good about using the same old sleazy marketing tricks. – David Heinemeier Hansen, 37 Signals!
  • 8. What is growth hacking? A … focus on understanding your users and how they discover and adopt your products, [so] you can build features that help you acquire and retain more users, rather than just spending marketing dollars. – Josh Elman, Greylock. Frmr. Twitter, Facebook & LinkedIn!
  • 9. $0 $20 $40 $60 $80 $100 $120 $140 $160 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3.5x US Online Ad Spend per User Extreme Competition for Attention
  • 10. Extreme Competition for Attention 0 20 40 60 80 100 120 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 WOM Email MySpace Facebook Craigslist Twitter iOS Android James Currier
  • 11. Yet some huge successes… Little or no traditional marketing…
  • 13. Use a Growth Hacking Playbook •  Experiment with all available growth levers •  Understand what’s driving growth, test to improve it •  Heavy focus on product and optimization
  • 14. The Dropbox Growth Story •  Freemium reduced allowable CPA •  Natural advantages to grow with collaboration and sharing •  Catalyze sharing with double sided referral program •  Optimize conversions on sharing loops •  300 million users with no traditional marketing
  • 15. B2C or B2B •  Growth hacking isn’t just for consumer- focused companies. •  B2B often requires integration with sales process.
  • 18. Finding Your Own Growth Levers •  Areas of exploration •  Process, team and tools
  • 19. SOME AREAS OF EXPLORATION •  Platform Integrations •  User-Get-User •  Free Tools
  • 20. SOME AREAS OF EXPLORATION •  Powered By •  Reverse Engineer Success
  • 21. Hotel Tonight’s 3G Epiphany •  Discover the why can lead to breakthroughs in growth •  HotelTonight found poor data connections drove conversion rates UP. •  WHY?
  • 22. Success Data: AirBnB’s Pro Photos •  Discovered that listings with high-quality photos received 2-3x bookings •  Invests in professional photography •  Booking activity explodes as desire increases
  • 25. Twitter’s Follow 30 People "Once a user follows 30 people, they're more or less active forever.” – Josh Elman, Greylock
  • 26. Experimentation Is Key To Success •  Generate many ideas for experiments •  Prioritize by impact, confidence & ease •  Balance high impact & high probability tests
  • 28. Growth Team Often Needed •  Multi-disciplinary •  Cross functional •  Evangelize experimentation culture “Growth team” complements existing marketing team
  • 29. HELPFUL TOOLS •  Analytics — Identify drop-off points and under-performing pages (e.g. Google Analytics, KISSMetrics) •  Qualitative Insights — Uncover the why behind the numbers (e.g. Qualaroo, SurveyMonkey) •  A/B Test — Find better performing combinations to drive conversion rate (e.g. Optimizely, Unbounce)
  • 30. Relentless Execution of Growth Processes 1. Ideas 2.Prioritize 3.Test4.Analyze 5.Optimize
  • 31. 3TAKEAWAYS 1.  Growth hacking complements marketing – not a replacement 2.  Use data to find leverage points and double down on those 3.  Rapid, continuous experimentation key to growth – no silver bullets