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Busting the Myth of Growth Hacking Magic

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These are Sean Ellis's slides from Hubspot's 2014 Inbound Conference. The slides explain that growth hacking is not about silver bullets, but rather a rigorous process of generating ideas for experiments, prioritizing experiments, testing and analyzing them. The slides highlight key areas of exploration for generating your growth hacking ideas.

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Busting the Myth of Growth Hacking Magic

  1. 1. Growth Hacking Magic? Sean Ellis September 17, 2014 CEO of Qualaroo, GrowthHackers.com Twitter @seanellis Going Beyond the Hype to Take Your Business to the Next Level
  2. 2. About Me • Founder/CEO of Qualaroo & GrowthHackers.com • Previously VP Marketing from customer zero to NASDAQ IPO filing at LogMeIn and Uproar.com • Then interim marketing exec roles at Dropbox, Lookout and Eventbrite
  3. 3. Extreme Competition for Attention @seanellis $160 $140 $120 $100 $80 $60 $40 $20 $0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 US Online Ad Spend per User 3.5x
  4. 4. Rapidly Evolving Channels MySpace Twitter Craigslist @seanellis 120 100 80 60 40 20 0 WOM Email Facebook iOS Android 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 James Currier
  5. 5. Yet Some Huge Startup Successes Little or no traditional marketing… @seanellis
  6. 6. GROWTH HACKING MAGIC? @seanellis
  7. 7. No – Rigorous Process of Experimentation 1. Ideas 2.Prioritize 5.Optimize 4.Analyze 3.Test @seanellis
  8. 8. The Dropbox Growth Story @seanellis • 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
  9. 9. Desperation Drove Startups to Innovate • Aggressive targets, tight resources • Traditional approach not realistic @seanellis • Had to rethink growth…
  10. 10. The Growth Hacking Playbook • Experiment with all available growth levers • Understand what’s driving growth, test to improve it • Heavy focus on product and optimization http://www.michiganemploymentlawadvisor.com/
  11. 11. B2B or B2C? • Growth hacking isn’t just for consumer-focused @seanellis companies. • B2B often requires integration with sales process.
  12. 12. HubSpot’s Growth Hack – Free Tools @seanellis
  13. 13. Yammer – Engineered User-Get-User @seanellis
  14. 14. LinkedIn - Engineered User-Get-User @seanellis
  15. 15. PUTTING GROWTH HACKING TO WORK FOR YOUR BUSINESS @seanellis
  16. 16. Finding Your Own Growth Hacks @seanellis • Areas of exploration • Process, team and tools
  17. 17. Some Areas of Exploration • Platform integrations • Engineered user-get-user • Free tools Examples 25+ M users @seanellis
  18. 18. Areas of Exploration (Cont) • Powered by • Reverse engineer success Examples @seanellis
  19. 19. Success Data: Airbnb’s Pro Photos • Airbnb discovered that listings with high-quality photos received 2-3x bookings • Airbnb invested in professional photography • Booking activity explodes as desire increases @seanellis
  20. 20. Other Growth Studies for Inspiration @seanellis
  21. 21. Experimentation is Key to Success • Generate many ideas for experiments • Prioritize by impact, confidence & effort • Balance high impact & high probability tests @seanellis
  22. 22. GOAL: INCREASED UNITS OF GRATIFICATION
  23. 23. Double Down on Success • Challenge is not finding many channels that work, but rather finding one. • Often your best growth opportunity is to double down on what’s already working.
  24. 24. Growth Team Often Needed “Growth team” complements existing marketing team @seanellis • Multi-disciplinary • Cross functional • Evangelize experimentation culture
  25. 25. Some Helpful Tools • Analytics — Identify drop-off points and under-performing pages (e.g. Google Analytics, @seanellis 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. Hubspot, Optimizely)
  26. 26. Relentless Execution of Growth Process 1. Ideas @seanellis 2.Prioritize 5.Optimize 4.Analyze 3.Test
  27. 27. Key Takeaways • Emerging marketing challenges require all to rethink growth • Growth hacking is based experimentation, not silver bullets • Add process/team to maximize number of experiments • Get inspiration from data, VOC and what’s working for others @seanellis
  28. 28. Questions? THANK YOU. Sean Ellis CEO of Qualaroo & GrowthHackers.com Twitter: @seanellis

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