Growth hacking is a marketing practice used by technology startups where products and services are marketed well at low costs through analytical thinking, usage of social metrics, and other creative techniques, as opposed to traditional marketing such as buying advertising through billboards, radio, television, or print ads, and stand-alone PR. Growth hackers simply do well with techniques such as content marketing, analytical marketing, A/B testing, SEO, using creative social media strategies and planning through Google and Facebook advertising, and primarily focusing on low-cost and innovative alternatives to traditional marketing.
One of the best ways to understand growth hacking is to do growth hacking. Not only will you begin to understand how it works, but you’ll also experience its growth potential.
The Effectiveness of Growth Hacking in your Business
Growth hacking utilizes many hacks to help bolster a small business or start-up into the corporate growth territory. Down below are the 3 basic tactics.
- Paid Acquisition – Uses paid tools such as Google Adwords, digital ads and Facebook Ads to draw attention to a business or start-up’s products.
- Viral Acquisition – Encourages customers to spread the word about a business’s products. The customer usually offers incentives for sharing. (Think referral bonuses, product discounts or gift cards.)
- A/B testing and Analytics – By utilizing A/B testing and analytics small business’ and startups are able to improve their conversion rates.
- The above hacks point to the main benefit of utilizing growth hacking over other forms of marketing, and that is — accelerated growth through a surge in interest among consumers. Growth hackers utilize a combination of the above strategies as well as SEO, email and content marketing strategies to accelerate consumer interest and sales.
This is why growth hacking boosts a start-up’s sales right away. Using SEO alone can increase the business’s online presence, but it can’t guarantee sales or even boost the sales of a small business. A/B Testing and analytics help in this regard. Paid and viral acquisitions work to solidify brand awareness and boost the popularity of the brand.
As you can see, the above strategies are used as a recipe for rapid growth, instead of focusing in on one of these ingredients and perfecting it alone.
A good growth hacker will understand that there are many channels and avenues that they need to focus on, but at the fundamental level, they will be of two types: One that results in traction immediately, and the other with steady but slow growth. The fastest growth will come from the campaigns, exploits, discounts, etc., and temporary tactics that have to end after a given point of time, while slow and steady growth can be driven by SEO, social sharing, and social bookmarking.
But essentially, you have to try out a lot of different things in order to find out what works best for you and keep on trying it. It helps you scale your growth a lot faster. A growth hacker tries out multiple things, discards dead ends, and then moves on. Measuring is a key, so if your tactics are measurable on a tangible format, then growth hacking becomes a lot easier.