Business growth

The technique for rapid business growth

Have you ever encountered this buzzword: growth hacking? This technique describes a complete marketing process, combining the disciplines of technology, creative marketing, human resources and product or service development. The main objective of growth hacking is the rapid growth of the business, betting on increased brand awareness through the use of cost-effective and customer-oriented measures.

Growth Hacking is gaining ground on the startup scene. If used correctly, it can help your startup grow tremendously. If your startup reaches as many users as possible with growth hacking, the small player can quickly become a big player. Before the opinion takes hold that growth hacking is just a buzzword in the startup scene and just another marketing tool, we’ll tell you: no, it’s not. !

What is Growth Hacking?

Growth hacking is a marketing technique that combines creativity, analytical thinking, and social media activities. The objective is to strengthen sales and improve notoriety in the short term with good management of the activity. It was developed for fast-growing businesses to use creative approaches, a deep understanding of numbers, and the use of social media. Thanks to this, they manage to quickly gain notoriety, increase the number of visits and clicks and, of course, sell more of their products.

Growth Hacking describes a marketing technique based on rapid and scalable growth that requires the least financial resources possible. The term is made up of the two words “Growth” and “Hacking” or “Hacks” and is therefore almost self-explanatory. With the help of “hacks”, i.e. specific tricks and tactics, companies should be able to stimulate their growth. Growth hacking isn’t just “performance marketing” and a means to an end; it is an engine of growth.

This technique finds its origin in the environment of startups. Because marketing technology combines two of its typical properties: technological affinity and limited budget, very few financial resources are available in the start-up phase. Advertising is usually too expensive, so you need inexpensive alternatives. Hacks are those alternatives whose objective is to make a product, service or the company itself “viral” in order to obtain an increase in long-term growth.

How it works?

The heart of growth hacking is to keep financial expenses low. Acquiring new customers, achieving conversions and building the brand are usually done through the product itself. When enthusiastic users, who need writing help, sharing product content with others, a kind of chain reaction occurs which leads to rapid growth. The advertised product thus becomes a marketing tool in itself.

The essence of growth hacking is not just a gimmick but a culture of learning. It’s about implementing individual experiments as quickly as possible with the smallest budget available and seeing what works and what is best left out. Growth hacking has nothing to do with “hacking” in the sense of breaking into digital systems. It is an agile and dynamic marketing process. It is an interdisciplinary combination of marketing, data analysis and development with the sole objective of growing your business.

Growth Hacking is based on a process that quickly identifies scalable communication channels to achieve this goal. Unlike traditional marketing measures, each point of contact between the potential customer and the company is considered a potential communication channel. In other words, it uses unconventional marketing strategies to attract new customers. Instead of focusing on a single branch of marketing, it combines different skills such as SEO, content marketing, social media, and email marketing.

Characteristics of a Growth Hacker

The term growth hacker goes back to Sean Ellis, founder and coach of an American startup. In his blog post “Find a Growth Hacker for Your Startup,” Ellis describes the importance of finding a Growth Hacker. But what is a Growth Hacker and what characteristics should he possess? “A growth hacker is someone whose true north is growth. Everything they do is analyzed for its potential impact on the evolutionary growth of a business.

A growth hacker is someone who manages to use the aforementioned “hacks” to target a large number of people or lead the company to growth and success. For this reason, he must be a person with smart ideas and a lot of creativity and have a total affinity with new technologies, online marketing and an analytical mind. The Growth Hacker is a talented, patient, and math-savvy person when it comes to working on a PC or the Internet.

Growth Hackers may have different career paths. They must have an entrepreneurial spirit and be prepared to face the great risk of taking responsibility for the growth of the business. They are complete professionals in their digital discipline, but they also understand the language and facts of other experts. At first glance, you can see the connections between product, business model, marketing channels, and customer feedback, and you need to have good leadership qualities and be empathetic.

Benefits of using Growth Hacking in your business

Growing a business isn’t easy, especially when you’re in a competitive niche. If you want to be successful, you need to convey innovative marketing strategies to your target audience. Although growth hacking is not easier than traditional growth methods, it can be more effective and has the advantage of being affordable and creative with the aim of attracting more customers. Growth hacking is an inexpensive marketing strategy, as it mostly happens through social media.

With Growth Hacking, you have the advantage of getting better conversion rates throughout the customer journey. In addition, you get faster customer growth and higher sales in a shorter time, with greater adaptability of marketing activities to meet new challenges that arise in the market every day. Growth Hacking allows you to develop better products in a much faster time than with traditional methods.

Remember that the goal of growth hacking is to boost the growth of your business. The most important thing in this type of online advertising is, of course, the product – nothing more and nothing less! The measures used to achieve the goals are individual and therefore tailored to your business. The widespread use and ongoing attention the product receives is important in hacking growth. The success of a Growth Hack always depends on the individuality of the situation.

Disadvantages and weaknesses

Growth hacking can be a great way to generate growth. However, it also has drawbacks or weaknesses, one of which is precisely that it is only limited to business growth. For the strategy to work, a thorough knowledge of marketing is required. Since countless startups are doing growth hacking, it takes a lot of creativity to stand out from the crowd. Another weakness we may encounter is the difficulty in having the strategy executed by experienced growth hackers.

Remember that this technique relies on the use of cheats or hacks, so you should keep in mind that not all of them work the same way for all companies. If you don’t choose the right one for your needs and those of your potential customers, the strategy will not achieve the expected results. Another downside is that people get used to hacks and lose their effectiveness. If you don’t have an experienced Growth Hacker, this can backfire on your campaign.

Growth hacking can be difficult to implement in established small to medium sized businesses. The reasons for some are that they lack time, others lack technical know-how. This could be considered a weakness of this technique; however, the results will be very satisfying once you manage to implement it. Remember that you have to plan well the use of hacks or cheats because the laws are changing and protecting the data of more and more users from time to time.

Application examples

Spotify is an example application of growth hacking. This music streaming service allows users to listen to music and radio shows online, although they are legally protected. Two of the existing Spotify growth hack tricks are:

  • Best-in-class product that outperforms existing competitors in almost every area: music catalog, product features, pricing model, etc.
  • A freemium business model that reduces piracy and links in the iTunes pay-per-track model.

Airbnb: Why has it become a success in such a short time? The accommodation portal has added the ability for users of its own platform to automatically place their ads on the already established craigslist.com advertising platform, which is particularly popular in the United States. Airbnb was able to benefit significantly from the expanded reach. To do this, a complex self-programmed interface was needed. Today, this growth hack is believed to have greatly influenced business growth – high efficiency with little effort.

Dropbox launched its well-known referral program: anyone who invited friends to it on the cloud service as a partner received an additional 500 megabytes of storage space in their cloud. Dropbox made a name for itself in universities with the “Space Race”. From September 2008 to January 2010, the number of users increased from 100,000 to 4 million users. Nothing unusual from today’s perspective, but the incentive method was new at the time and helped the company grow rapidly.