Growth marketing is the discipline that uses data insights to make experimental adjustments to digital campaigns. A small improvement in conversion rates can have a huge impact on revenue.
Unlike other marketing tactics, growth marketing uses customer data to optimize online campaigns in real-time. It looks at the entire marketing wheel, from brand recognition to loyalty and advocacy.
Test & Learn
To succeed, growth-oriented marketing teams require a robust system for testing and learning. They need to be able to quickly evaluate and determine which marketing strategies will produce the desired results, and then use this information to optimize ongoing campaigns. This approach eliminates speculation and stabbing in the dark – and it’s the key to delivering consistent, abundant gains across multiple marketing channels.
It’s crucial to set realistic expectations and to make it clear that resources will be required for test and learn. It includes the training, tools and potential new headcount that will be required to support a test and learn culture. Marketing leaders must be able to articulate the ROI and value of this initiative to convince management to invest.
To get started, it’s helpful to create a set of objectives and KPIs that will help you measure success. This will include conversion rates, lead qualities and other key performance indicators. You should also identify a hypotheses – a theory that you hope to prove or disprove. You may believe, for example, that increasing PPC bidding on weekends will generate more leads. Final, you should create a schedule that allows you to run tests, collect data and evaluate their impact before moving on.
Prioritize the projects that have the most potential once you’ve implemented your test and learn system. This will depend on the potential upsides (in terms of revenue or conversion rates, for example). This will depend on the potential upside (in terms of revenue, conversion rates, etc.).
When your team is able to confidently predict the effect of each new campaign, it will be much easier to build a solid case for additional investment in marketing. This will help you deliver the results that your managers expect, and ensure all channels are working together to drive sales, converts, and overall customer satisfaction.
Data-Driven Decisions
Data-driven decisions are ones that are based on facts and information that align with business goals, strategies, and initiatives. Market research can also be used to gain insights into customer preferences and requirements. The goal of making a data-driven decision is to minimize grey areas, provide clarity, and help the company move in a direction that will maximize ROI.
To make data-driven decisions you must first identify and understand your audience. You can do this by creating buyer personas, which represent the types people you want your marketing to target. Once you have the information, you can begin gathering and analyzing data in order to determine how well your product or service performs in the market and identify any gaps within your current marketing strategy.
Next, you need to create a plan that will address the gaps in your strategy. This could range from launching a brand new product, to improving the customer experience, or optimizing your existing campaigns. It is important that your plan contains specific goals, and ways to track the progress towards these goals. This can be done by setting up a spreadsheet, creating visuals to display in the office, or providing frequent reports on progress against goals.
Once your plans are in place, you can start implementing them. It could be something as simple as creating an internal CRM or as complex as creating a content schedule. It is important to keep your goals in sight and to test and improve as you go. This is how growth-marketing stays ahead of trends and ensures continuous success.
Growth marketing is a more long-term strategy that focuses on building loyalty, increasing sales through repeat business and referrals. This is the reason why it’s effective at driving sustainable business growth and a positive ROI for businesses of all size.
Flywheel
A flywheel system is a much more efficient marketing tool than the traditional funnel. It does not require constant input from marketers or sales teams. Instead, it relies on customers for its continued operation. It empowers them to bring in more customers by generating word-of-mouth and increasing customer retention, removing the need for marketers to constantly spend time bringing in new prospects. As the flywheel spins, it creates an enduring momentum that can take your company to the next level.
Flywheel companies focus on delighting their existing customers in order to generate word-of mouth recommendations. Delighting customers is a powerful strategy because it creates long-term relationships that can last for years. It also reduces the workload of your marketing team and sales team by encouraging existing clients to promote your products.
When you delight your customers, they will become your biggest advocates. They tell their friends, family and colleagues about their positive experiences. This word-of mouth marketing is more reliable than other forms advertising. It is more effective in attracting new customers as well.
There are many different ways to delight customers. You can offer free products, provide customer support via multiple channels, partner with peer companies for deeper integrations, implement a loyalty program, etc. These strategies can all help you grow your business and keep your flywheel moving.
As you implement your plan, remove any frictions that could slow down the wheel. This can be anything from a lack of communication between teams to an ineffective pricing structure. Identifying and addressing friction in your flywheel will increase its speed and enable it to sustain the momentum you’ve built up.
Customer Lifecycle
The customer lifecycle is an important component of growth marketing. It is composed of five distinct stages which can be used to maximize the experience a potential client has with your brand, and ultimately convert them into paying clients.
In the reach stage your target audience learns about your product. This could be via social media, word-of-mouth, or a contact with your company directly via phone, email or live chat. You must be able to capture and personalize the data of new prospects at this stage.
Once you’ve collected the prospect’s information, you can send content such as blog posts that educate them further on the problem. This will help them build a stronger understanding of how your product will help them achieve their goals and overcome their pain points.
You want them to be able make a purchase easily when they are ready. Great customer service is essential in this situation. Your customer service representatives should be able to address any questions that may arise and any issues that might occur during the purchase process.
Managing the adoption stage is all about proving your value to your customers. Customers today are savvy, and they will not hesitate to switch brands when they feel another company offers a better product or better customer service. To avoid this, it is important to prove your value as quickly as you can to your existing clients.
Retention is where you can really see your growth strategy take hold. You can now start upselling and cross selling to your existing customers. It’s also important to create an easy process for them so they can provide feedback, referrals and take advantage of any discounts or perks that your brand may offer.
When a customer has not been active or has churned, it is important to engage them through targeted, personalized campaigns designed to reengage them with your company. By re-engaging lapsed customers, you can increase their lifetime value and retention rate to nearly the same level as first-time customers.