Lecture 6 – Growth (Alex Schultz)

What matters most for growth?
– Retention is the single most important thing for growth.
– You need a great product
If your retention curve doesn’t flatten out, you don’t have product-market fit. Don’t hire a growth hacker, find product-market fit.

The retention rate is different for a different domain. You have figure out the right retention rate for your domain.

Building for the power user is different from building for the marginal user. They are both important. Building for the marginal user is important for growth.

What is the north star metric for your company so everybody can focus on optimizing for that.

 

TACTICS
– Virality
– SEO
– ESPN
– SEM
– Affliates / Referral Programs
– …

VIRALITY – has three attributes
1. Payload – Number of people you can share it with in one shot
2. Frequency – How often you can take the shot
3. Conversion Rate – What is the conversion rate?
If all three are high, your product is super viral. If one out of Payload and Frequency is high, you can still get viral.

For virality, if your K factor is less than 1, you will not get viral.