This document discusses lessons learned about growth from initial tactics through ongoing optimization. It outlines a basic growth funnel of getting, keeping, and reactivating users. For initial growth, the author recommends analyzing the core product loop and metric, then defining concept categories and testing tactics. Metrics should consider both quantity and quality of good, high-value users. On ongoing growth, concepts and tactics that move the core metric should be iterated and optimized through expanding tests and prioritizing the highest-impact 80%. Growth teams, lifetime value metrics, the roles of design and data, and finding a unique growth edge are also addressed.
5. Initial vs. On-Going Growth***
INITIAL: Directional
All new initiatives, products, and
services
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•
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•
Analyze product loops
Define core growth metric
Build list of concepts (areas
of focus) + an initial set of
tactics in each
Prioritize tactics based on
expected impact. Execute,
test and measure.
ON-GOING: Approach & Delivery
All previous tactics that survived
initial stage
Iterate (coarse): Gain insight on
what concepts move the needle.
Reprioritize. Expand tests.
!
Optimize (granular): Gain insight
on which tactics work. 80/20.
Next tactic or next concept?
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10. Metric: Define Core Growth Metric***
SELECTING A CORE METRIC: USER VALUE
MONEY
VIEWS
CONTENT
OTHER USERS
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11. Metric: Define Core Growth Metric***
SELECTING A CORE METRIC: USER VALUE
MONEY
• Processed $A
• Transaction $B
VIEWS
• C Transactions
• D Receipts
OTHER USERS
• E Sign-Ups Post Payment
• F Direct Referrals
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12. Concept: Categories + Tactics***
How have products like mine grown in the past?
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How are products like mine growing today?
!
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How are the most popular products with my audience growing today?
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13. Concept: Categories + Tactics***
Similar Product
Similar Audience
• Credit card processing
• Point of sale
• Loyalty programs
• Low cost hardware
• Phone accessories
• Other financial services
• Daily Deals: Groupon and
offerings
LivingSocial
• Yelp
• OpenTable
• QuickBooks
• SMB credit card terminals
• Local advertising
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17. Test & Measure***
A/B Test
• Single variable vs. multiple variables
• Quantity + quality (growth metric)
• Monitor the surrounding metrics
Use Tools
• You don’t need to build everything
• A/B testing, in-app testing, events, etc.
• Start here, build only when you have to
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19. On-Going Growth***
Iteration (coarse)
Optimization (granular)
• Start with breadth over depth
• Take away lessons from every
• Expand your tactics for areas
test
• Expand your areas for testing
• Remember your core growth
that move the needle
• 80/20 - new areas vs. new
tactics
• Don’t forget the greater context
metric
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21. Miscellaneous***
• Growth Teams: Think twice about creating a separate growth team.
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• LTVs:
Keep your metrics honest by rolling in all costs and don’t forget virality.
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• Design & Data. Both are important.
Define the primary and secondary objectives. Set
guidelines ahead of time vs. micromanaging after. After running your tests, consider both the
data and the overall brand
!
• Growth Edge: Unique channels and/or performance in a given channel are key.
What can you
do better than anyone else?
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