Product Driven Growth from Lean Product Meetup
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Transcript of Product Driven Growth from Lean Product Meetup
Stacking the Odds for GrowthHow Product and Marketing Work
Together to Drive Growth
December 10, 2015
Everyone Wants Explosive Growth
But Extreme Competition for Attention
$0
$20
$40
$60
$80
$100
$120
$140
$160
3.5X more online ad $/user in USA last 12
years
3.5x
And Channels in Constant Flux
Credit: James Currier
Today’s Requirements for Growth
1. Unlock organic growth
2. Clear North Star metric
3. Full company participation
4. High tempo testing process
Today’s Requirements for Growth
1. Unlock organic growth
2. Clear North Star metric
3. Full company participation
4. High tempo testing process
Requires Product/Market Fit
• Without PM Fit, all growth unsustainable
Validate Product Market Fit
• Leading indicator: Ask users “How would you feel if you could no longer use this product?”
– Very disappointed (40%+)– Somewhat disappointed– Not disappointed– N/A – I already stopped using
• Lagging indicator: Retention cohorts
Understand Product Market Fit
Understand “Must Have” Users• Why did they seek product (intent)?
• How are they using product?
• How describe when recommend it?
Key Benefit - Narrow by Must Have• Ask 1st group: “What is key benefit?” (open ended)
• Ask 2nd group: “What is key benefit?” (multiple choice), “Why is that benefit important?” (open ended)
Leverage to Unlock Organic Growth
Home Page Messaging• Hook: A/B test “hook” based on intent
• Promise: A/B test promise statements (stay true to “must have benefit”)
• Description: A/B test descriptions(best response)
Onboarding to “must have experience”
Today’s Requirements for Growth
1. Unlock organic growth
2. Clear North Star metric
3. Full company participation
4. High tempo testing process
North Star Metric for Growth
• Reflects value delivered to your customers
• Examples: Airbnb nights booked, Uber rides
• Captures several metrics (i.e. retention reflected in MRR and MAU)
Lens for All Growth Efforts
Ask: How does this test impact our North Star metric?
Submetrics via Growth Accounting
AcquisitionActivationReferral
Retention Revenue(expand)
Simple Example
North Star Metric
Today’s Requirements for Growth
1. Unlock organic growth
2. Clear North Star metric
3. Full company participation
4. High tempo testing process
Product
support
Growth is Cross Functional
External Channels
Promise
1st Experience
Ongoing Experience
Acquisition
Activation
Revenue
Retention
Referral
biz devMarketing
PR
Product
Growth Team Coordinates Efforts
External Channels
Promise
1st Experience
Ongoing Experience
Acquisition
Activation
Revenue
Retention
Referral
Marketing PR
support
biz dev
Growth Team
Building Core Growth Team
• Start with Growth Master (PM Growth)
• Add dedicated people to core as needed to hit testing tempo goals
• Core often includes designers, growth engineers, analysts…
• Execute High Tempo Testing Process
Today’s Requirements for Growth
• Unlock organic growth
• Clear North Star metric
• Full company participation
• High tempo testing process
Testing Drives Growth
• Day 1: No certainty about how you will grow
• Rapid testing across all levers
• More testing = More learning
AcquisitionReferralActivationRevenueRetentionResurrection
High Tempo Testing: Twitter
High Tempo Testing Process
Unbridled Ideation
Unbridled Ideation
• Build large backlog of ideas (my team now 700+)
Inputs for Growth Testing Ideas
External Experts
Internal Experts
Ideas Tests Results
Core Growth Team Drives Process
Prioritize Backlog
Formalize ideas in Experiment Doc
• Include research, hypothesis, target lever
Compare Ideas by ICE Score
Launch Tests
Select Tests in Weekly Meeting
• Choose tests to launch (no brainstorming)• Assign a project manager to each test• PM Growth assist in releasing each test
Example Growth Meeting Agenda
15 min: KPI review & update focus area
10 min: Review last week’s testing sprint
15 min: Key lessons learned from analyzed tests
15 min: Select tests for this week’s sprint
5 min: Check growth of idea backlog
Capture Learning
Capture Learning Details
• Every test leads to learning• Organize learning for easy access
Share Learning with Team+
External Experts
Internal Experts
Ideas Tests Results
Core Growth Team Drives Process
Example: New User To-do-list
• Data: low % of newly registered users commenting in 1st week
• Hypothesis: Increase % of first week commenters
• Test: Use a to-do-list to guide new users (start with easy activities)
Result: New User To-do-list
• Result: over 700% lift in 1st week commenting
• Idea credit: community manager (inspiration Quora)
Another Example - oEmbed
• Data: Embeds = longer sessions
• Hypothesis: Same action = more embeds
• Result: 41% increase in embedded media
• Idea Credit: EngineerSlides
Videos
Recap: Requirements for Growth
1. Unlock organic growth
2. Clear North Star metric
3. Full company participation
4. High tempo testing process
Join GH Projects Private Betaat Projects.GrowthHackers.com
Where Teams Drive Results with High Tempo Testing:
1) Team Ideation 2) Prioritize Testing 3) Capture Learning