Growth marketing, as the name clearly indicates, is about creating growth in businesses albeit rapidly. It grew from the concept of growth hacking which was developed to help startups and individuals to build their businesses quickly.
Today, growth marketing is used in all types of businesses and offers powerful strategies to boost your business's growth.
In this post, we're going to look at everything you need to know about growth marketing and why it is important for your business.
What is growth marketing?
In a few words, growth marketing uses an experimental and data-driven approach to boosting customer retention. It attempts to constantly test and find different ways to accomplish marketing goals with the long-term intent to create rapid business growth.
To better understand growth marketing, here's a breakdown of its features and what makes it different from traditional marketing.
To drive rapid and scalable growth, a marketer needs to know what's working and what isn't. Growth marketers depend heavily on data and reporting tools to provide them with insights. Decisions are informed by data, which makes data collection and analysis core activities in growth marketing.
Experimentation and testing
Growth marketers carry out numerous experiments and tests constantly to find processes that work. The idea is to continuously try new things and to find a single or a few great features and then use it to boost growth.
Consider Amazon's success; Jeff Bezos states that experimentation plays a crucial role in fostering innovation. Likewise, marketers need to keep experimenting to find new ways to do things, new markets to grow in or fresh products to develop. Experimentation leads to fast and solid growth.
Traditional marketing focuses on the top levels of the sales funnel. A sales funnel consists of the different stages or steps a person moves through before becoming a paying customer.
At the top level of the funnel lies awareness and interest. This is where marketers are usually involved – they work toward creating awareness of the brand and influencing interest.
The middle portion of the funnel is concerned with consideration and intent, while the bottom of the funnel is where a lead has the intent to buy and also takes action and buys your product.
Typically a marketer is only concerned with the top of the funnel. In growth marketing, a marketer pays attention to all levels of the sales funnel.
Growth marketing goes beyond short-term and immediate goals, such as generating leads. Marketers also add a few more layers to the aforementioned sales funnel: loyalty and repeat purchases.
In short, growth marketers don't just care about customer acquisition but also customer retention and creating positive customer experiences. To that end, growth marketing means the involvement of other teams and departments.
Growth marketing is involved across the product life cycle and customer life cycle. Here, collaboration takes place between different teams and departments. A marketer would have a say in product development so that it improves customers' experiences.
With a growth marketing strategy in place, different functions and departments have the unified goal of winning customers over and making them happy.
From the above points, it's evident that growth marketing is a very customer-centric activity. The goal is not just to extract value and revenue from the customer, but rather to give value to your customers. These two things are not mutually exclusive, however, the right focus can create different strategies.
In other words, your business's focus would lie in creating long-term relationships with your customers rather than creating sales at the moment.
Speed and scalability
Growth marketing has the dual aims of speed and scalability. It is important to create experiments and test processes at a rapid rate in order to find strategies that work. Growth marketers rely on creating several experiments to gather data, to find out what works and to leverage that to create fast growth.
This is possible today, thanks to the widespread availability of online tools. The technological development in AI and machine learning have also contributed to better business intelligence. With the help of data, marketers can experiment with multiple marketing strategies to find out one that works, which they can then scale up and create growth.
All the growth marketing includes cross-functional and cross-funnel activities; it does not prioritize all the goals of marketing.
It uses data to determine those areas that produce the best results and proceeds to optimize them.
Now that we've looked at some of the features that make up growth marketing, let's explore the skills you need to have to support growth-based activities.
What are the skills needed in growth marketing
Growth marketers necessarily wear multiple hats. Here are some of the key skills needed to carry out growth marketing in your business.
Data analysis: Growth marketers rely on data and the insights data produces to make marketing decisions. This is why analytics is a vital skill needed in growth marketing. You'll need to be familiar with quantitative marketing, web analytics, managing data from CRM and more.
Experimental process: Growth marketers are constantly conducting experiments in different forms including A/B testing. They need to know how to carry out experiments and tests, analyze them and leverage them to create growth.
Technical skills: To successfully carry out multiple marketing activities, a growth marketer needs to have knowledge of various tools and technologies. They need to know how to set up marketing campaigns, do research for SEO and more. Marketers also need to be proficient in UX/UI to carry out testing and implement better customer touchpoints online.
Automation: Automation is a key part of growth marketing. There are a host of activities to manage and it's not possible to do so without the tools to automate various tasks. Automation helps manage drip campaigns, chatbots, lead capture forms, workflows and more.
Content writing and copywriting: Writing for the internet is a valuable skill because it is used for several purposes. Your brand awareness campaigns, conversion rates, blogging success and so much more depend on good content writing. Content writing is essential; businesses that post more than 16 blog posts per month get 3.5 times more traffic than brands that publish less frequently.
What are the essential tools?
You need to have the right tools in place to help your marketing efforts. Let's take a look at some helpful tools that can provide data, automate tasks, and manage your campaigns.
CRM Tools and CEM tools: Customer Relationship Management and Customer Experience Management both enable businesses to manage customers' journeys. However, CEM is more customer-focused and is oriented toward improving customer experience, building loyalty, retention and more.
A/B testing tools: Growth marketers rely on A/B testing to refine their digital marketing campaigns. An A/B testing tool can help you create variations of your apps and website and present them to your audience. You can even use it for your email marketing campaigns. Fifty-five percent of marketers don't believe they're sending out relevant content, and only 14% of subscribers say that they get useful emails. You'll be able to narrow down on the best content that can boost traffic or achieve any other goal you have.
Analytics tools: Free analytics tools like Google Analytics as well as premium ones can help track user behavior and give you additional insights. You'll be able to monitor your website, get information about visitors, site health, and so much more.
Email marketing tools: You need to have an email marketing tool to help you nurture your leads and turn them into paying customers. You can integrate your email marketing with other platforms, such as CRM software to create campaigns.
UX/UI tools: It's essential to build your website and app platforms based on UX/UI principles. The right tools can help you create appealing and user-friendly interfaces that can improve user experience. This can impact traffic, conversions and engagement.
Growth marketing is the key to quick business growth.
Now more than ever before, it's possible to create fast business growth thanks to the availability of data and automation.
Growth marketing can help you approach business growth from an experimental and data-driven frame of mind.
We've taken a look at what growth marketing is and the elements that make it up. You'll be able to determine if growth marketing is right for you and can know what you need to implement it in your business. When you apply growth marketing to your business, you'll see rapid growth in a short period of time.