Measurement for Growth€¦ · What is Growth? Growth hacking is a process of rapid experimentation...

Measurement for Growth

Louis Gray@louisgray

01. Date 201801. Date 2018

Who is Louis Gray?

• Analytics Advocate, Google Analytics○ Googler since 2011

• Silicon Valley marketer since 1998○ PR, comms, demand gen, etc.

• Tech blogger at louisgray.com

UC Berkeley Alum: 1999(Mass Communications & Political Science)

Twitter: @louisgray

© Google Inc. 2018. All rights reserved.

Agenda

• What is Growth

• Growth Strategies

• Measurement for Growth

What is Growth?


What is Growth?

Growth hacking is a process of rapid experimentation across marketing channels and product development to

identify the most efficient ways to grow a business.

Growth hackers are marketers, engineers and product managers that specifically focus on building and engaging the

user base of a business.

- Wikipedia

AcquisitionGetting people to visit your site

ActivationUsers get a great first time experience

RevenueHow do we sell the product

ReferralUsers invite others

RetentionMaking sure users come back

Digital Marketer

Growth Hacker

Growth Hacker vs Digital Marketer

Growth Marketer / Growth

Google Confidential & Proprietary Analytics 360 Suite and DoubleClick

Product Market Fit

PMF = Being in a good market with a product that satisfies the market.

As a consumer, how would you feel if the product didn’t exist anymore?

Ex. Uber in China failed to competitor Didi

Analytics

Experimentation(Testing)

ProductDesignEngineering

Product MarketingContent Marketing

SEOGrowth

Team Organization

Growth combines elements of many different roles, organizing these roles into a Growth team


Typical Growth Framework

Structure depends on the size of the company

Typically, startups will have 1 growth lead or small team, and as a company scales, each business area may have a growth team focused on a particular area


The AAA Growth Marketing Framework

Monthly Actives

Perceived Value

Realized Value

Ongoing Value

Impressions New Accounts

Conversion Rate CPA

Success Rate Avg Time to

Value

Adoption RateRetention Rate

DESIRED OUTCOME

STRATEGIC GOAL

KEYMEASURES

STRATEGIC DRIVERS

PRIMARY TACTICS

Paid media, SEO, Email, Blogs, Social, Content, Partners

Email, In-product, Help Center

Email, In-product, Help Center, Newsletters, Blog, Social, Webinars

Acquisition

Activation

Adoption


Centralized Product Growth Team

Growth Engineers

Growth Marketing

Growth PM

Data Scientist

Content & Education

SEO

Media & Ads

Programs

Con

tent

Strategy,Data, &

Metrics

Email

Measurement for Growth


North Star Metric

The North Star Metric is the single metric that best captures the core value that your product delivers to customers. Optimizing your efforts to grow this metric is key to driving

sustainable growth across your full customer base.

- Sean Ellis


North Star Metric - Examples

Daily Active Users (DAUs)

Nights booked

Weekly rides

The North Star metric should comprise value from both the user and the company


North Star Metric - Examples

Monthly Active Users (MAUs)

Monthly Active Experiments (MAEs)

Monthly Active Users (MAUs)

The North Star metric should comprise value from both the user and the company


North Star Metric

Analytics

Experimentation(Testing)

ProductDesign

Engineering

MarketingContent

SEO North Star

Metric


Key metrics by life-stage

Activate Adopt

Activated Users

Success RateAvg Time

CPAU

Inactive UsersRetention Rate

Acquire

Impressions

ConversionsConversion Rate

New UsersSign-up RateCPA, CPNU

Adoption Rate


Acquisition



Acquire

Impressions




Impression → Click

Acquisition strategies:● Facebook, Twitter, Instagram● Blog content● Display advertising● Organic & SEO traffic● Referral & Affiliate traffic


Multi-product acquisition campaignOptimized paid media programs - Google Display Network


Capturing an Acquisition

● Campaign tagging● Page tracking● Event tracking● Form tracking● Cross-domain tracking & referral

exclusions● Have the right data structures in

place


Use the dataLayer to Collect Custom Information


Use Event Tracking for Form Field Interaction

● onChange events to measure each form field interaction

● Single page forms, multi-page signup or checkout flows, etc

● Can help pinpoint exact fields where conversion may drop or errors may occur


Event Category


Event Action


Event Label

Optional Form Field


Activation



Activate

Activated Users


CPAU


Acquire

Impressions




Network Effects

LinkedIn, Facebook, Twitter, Slack

● Only effective when you can achieve network growth

● Facebook: when you add 7 friends in 10 days, feed is more useful and product is more sticky

Experiment with messaging, signup flows, in-product messaging, etc to encourage users to increase their network


Time to First Interaction

Examples:● Uber: Time to first ride● Deliveroo: Time to first order● Ecommerce: Time to first

purchase

AdWords: Signing up is important first step, but activation is creating and running the first campaign


Time to First Interaction

Google Analytics: Acquisition happens when a user signs up for an account. Activation happens when the user actually installs the tracking code and starts using the product.

How can we make this time period shorter?


Experiment with Activation cues in product - Guided Flows


Activation programs – Optimizing for “base value” realized

Develop strategyand creative

Engineering implements

triggers

Launch and iterate

Pull data

EDU content

GoalDrive as many new users as possible to realize base value from the product while making it as easy as possible.

Key Metrics● Activations completed● Success Rate (%)● Avg Time to Value (wks)


Adoption



Activate Adopt

Activated Users


CPAU


Acquire

Impressions



Adoption Rate


Welcome to Analytics

Day 0

Trigger: Sign Up

Monthly Performance

Report

Day 30

Goal:Encourage repeat usage, reduce customer churn, provide product value to users

Key metrics: ● Open rates● Click through rates● Return / re-engagement rates● Monthly retention rate

Email Nurture Campaigns

Trigger: Automatic


Full Funnel Analysis

Understanding and acting on the full funnel of the user experience from first interaction to closed lead (and re-engagement) is a critical part of Growth Marketing

New Salesforce integration:● Send lead status changes as events

to GA360● Re-engage and re-target along the

funnel / drop off points● Use your offline data to influence

online nurture campaigns


Retention & Lifetime Value

Measure User lifecycle: ● LTV by user-ID● Time to repeat purchase● Frequency / recency of purchase● Experiment with offers, nurture

campaigns, or push notifications to decrease time to repeat purchase, drive increased retention and LTV


Targeting for Re-engagement

In-App or Push notification targeting:

Target audiences that contain at least one of “Purchasers”, “LTV >0”, or “High scoring users” with an offer for a free character in your game as a way to incentivize your high value users to come back.

Measure: ● Message views/interactions● Repeat visits● Offer acceptance or purchases

So, then, aren’t we ALL Growth Marketers?

Maybe not.

The biggest difference between a Growth minded organization and a more traditional product & marketing driven organization is the willingness to take risks.

North Star metricsFull funnel analysisTeam organizationExperimentation mindsetVelocity > AccuracyRisk = Reward


Summary & Checklist● Growth Marketing may or may not equal Digital Marketing, depends

on the organization❏ Is your organization Growth-minded?

● Growth teams are fast acting due to team structure, culture of rapid experimentation and risk taking❏ Do you have the right team structures in place?

● The AAA Growth Framework: Acquisition, Activation, Adoption❏ How can you use this in your organizations?

● Reminder: Please don’t call it Growth Hacking

THANK YOU!Louis Gray@louisgray

Measurement for Growth€¦ · What is Growth? Growth hacking is a process of rapid experimentation...

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