Recently, growth hacking and growth marketing are gaining popularity in the world of digital marketing. While they may seem similar, they are two distinct approaches with different strategies and goals. Both focus on driving growth for a business with varying approaches. Growth hacking prioritizes speed and efficiency, while growth marketing focuses on building a comprehensive and sustainable marketing strategy.
Understanding the dissimilarities between growth hacking and growth marketing can aid your team in achieving measurable and sustainable growth for your company. However, determining which digital marketing tactic will reach your target audience and increase company growth can take time and effort.
In this blog, we will be exploring the similarities and differences between growth marketing and growth hacking. We will also examine each approach and explore its strengths and weaknesses to help you determine which method best suits your business.
Whether you are a startup founder, marketer, or simply curious about digital marketing, this blog is for you!
What is Growth Marketing?
Growth marketing is a holistic data-driven approach to create sustainable growth for a business by focusing on long-term strategies and optimizing the entire customer journey. This approach aims to drive sustainable, scalable growth for a business by continually identifying and implementing cost-effective marketing strategies.
Growth marketing requires you to deliver highly tailored, individualized messaging aligned to your target audience’s needs. This will optimize your organization’s growth rapidly through many channels and aid your team in optimizing the user experience. Further, it allows growth marketers to test and iterate the various marketing tactics to identify what works best for their business.
A few of the common growth marketing tactics include SEO, content marketing, social media marketing, paid marketing, and email marketing. Growth marketers also utilize techniques of A/B testing and multivariate testing to optimize their marketing efforts and improve the customer experience. Overall, it is a dynamic and constantly evolving field that requires a combination of creativity, data analysis, and strategic thinking to drive a business’s long-term growth.
How Does Growth Marketing Benefit Your Business?
- Bring in more traffic, sales, and revenue
- Promote brand awareness and customer loyalty
- Establish a brand perception and reputation
- Aid companies in the long-term and sustainable growth
- Organically grows customer lifetime values
- Understand your target audience’s pain points and needs
Examples of Companies Using Growth Marketing
1. Slack
Slack is one of the fastest-growing B2B software providers that has now become a staple tool in the same manner as Microsoft Word or Google. The company’s staggering growth can be attributed to its growth marketing strategies designed to capture new users, keep them engaged, and encourage them to invite even more new users.
Slack carved out a new market by solving communication problems, implementing referral programs, and addressing issues raised through feedback. The company also analyzes user data to understand growth benchmarks, set targets, and maximize engagement.
Ready to achieve your business goals with growth hacking and growth marketing?
Contact Growth Hackers
2. IBM
IBM is among the companies that have stayed relevant for more than a decade. The company recognized the need for a cultural shift within the company and went on to adopt the mindset of growth marketing, experimentation, and optimization. It has optimized the onboarding process to ensure more website visitors are turned into free trials and paying customers. The company’s data scientists study the pattern of users upgrading from free trials to paid plans.
IBM was able to maximize success in payment by providing instant technical support to help customers complete their purchases.
3. Etsy
Etsy became a successful eCommerce platform after its founders noticed a gap in the lack of an online platform for craft makers and decided to establish itself as a platform. It tried disruptive marketing techniques by tapping into ideas like eco-friendliness and feminism.
Etsy has built a strong, loyal following among its target audience as it provides a cost-effective and compelling alternative to eBay. The company owes its success to the excellent customer experiences it has created for sellers and buyers.
What is Growth Hacking?
Growth hacking is a more experimental, fast-paced approach involving, identifying and exploiting opportunities for rapid growth through unconventional methods. Growth hacking can describe any technique that is designed for rapid market growth. It involves experimentation, ingenuity, and out-of-the-box thinking which can benefit startups and small companies wanting to scale fast.
Unlike growth marketing, which involves long-term planning and brand awareness, growth hacking focuses on quickly achieving specific, measurable results. Growth hacking allows hacks on the fast track to connect with new and established audiences and boost their revenue. The most critical elements of growth hacking are to scale growth, retain customers, generate referrals, measure success, and identify channels for growth. It can be implemented throughout cross-functional teams that combine marketing and technical product development skills.
Growth hacking uses qualitative and quantitative data to identify behavior profiles and customer preferences. Some examples of growth hacking tactics include viral marketing campaigns, incentive referral programs, and product giveaways. Furthermore, it has contributed to the success of many companies like Spotify, Hotmail, and Dropbox. Growth hacking is excellent for kickstarting growth, testing new opportunities, and finding what tactics work for your business.
How Does Growth Hacking Benefit Your Business?
- Discover product ideas
- Generate qualified leads
- Create new business models
- Build brand reputation and identity
- Cost-effective and improves ROI
- Scalable marketing strategies
- Discover data-driven strategies
Examples of Companies Using Growth Hacking
1. Dropbox
Dropbox is known for its creative growth hacks. The company gamified its onboarding process by offering its customers free storage space for linking their Dropbox accounts to Twitter and Facebook and sharing information about Dropbox on those social media profiles. This tactic helped Dropbox get new users and go exponentially with no marketing budget.
2. Facebook
This social media giant has been relentlessly optimizing its application for low-budget android smartphones and low-bandwidth internet connections. Facebook also uses growth hacks to encourage users to add their contacts and email those contacts. The notification emails piqued people’s interest and made them sign up for Facebook to check what was being said by the people who added them to their contacts. This has helped the company acquire millions of new users over the years.
3. Netflix
Netflix is among the first OTT platforms that allowed people to watch what they want when they want. The platform became a success by implementing growth hacking techniques such as acquiring and streaming popular TV shows so audiences would subscribe to watch them. It built a strong social media presence to connect with those who loved to watch motion pictures, television shows, and documentaries. The company also hired the most talented employees to generate fantastic content enticing people to subscribe.
Role of Growth Hackers vs. Growth Marketers
| Growth Hackers | Growth Marketers |
| Highly creative and tech-oriented people who usually work independently | A necessary addition to every company as they help with brand building |
| Spend time on the idea and the execution of the concept | Spend much longer than growth hackers develop an idea and execute the concept. |
| Use creative, easier-to-track, and quicker-to-conclude methods to attract prospects
|
Use tried and tested techniques with consistency |
| Sometimes the earliest adopters or creators of new technology and rely on tools to create marketing campaigns | Specialists in conducting customer research and analyzing customer data to craft marketing campaigns |
| Develop content for mass audiences that are not tailored for specific prospects | Build and deliver highly tailored, individualized messaging that aligns with their customers’ needs
|
| Come up with disruptive, unique, and creative strategies to attract target audiences | Try to maintain growth while developing the brand’s story, value, and customer base |
| Focus solely on creating short-term growth spurts rather than creating brand awareness | Target awareness-building, customer loyalty, and brand perception and reputation |
Don’t wait, unlock your business’s full potential with growth hacking and growth marketing!
Similarities between Growth Hacking and Growth Marketing
- Both techniques seek to gain qualified customers and monetize them long-term.
- Growth marketing and growth hacking have the same goal: to attract new users, turn them into customers, make them loyal, and get them to like and share the product or services as soon as possible.
- They both rely on data and experimentation to achieve their goals, which is critical to all marketing methodologies.
- Growth hackers are constantly strategizing and experimenting, so they need instant access to data through lead generation or contact databases to test and conduct theories. On the contrary, growth marketers use data for developing long-term strategies and maintaining a high-level view of the ultimate desired outcome, brand growth.
- Both growth hacking and growth marketing have similar processes and adapt to new technologies, software, and anything that can catch the customers’ attention.
- They consider the product or service the key and base their strategies and campaigns on their offer.
Difference between Growth Hacking and Growth Marketing
| Growth Hacking | Growth Marketing |
| Aims to get quick results and rapid growth for the company | Focuses on more profound research that can be utilized for an extended period |
| Best for startups wanting to add a little spice to their marketing campaigns | Best option for established businesses and for strengthening their foundation |
| Gives you room to do data-driven business growth experimentation to acquire a higher number of qualified leads in a short period | Uses a systematic process with multiple strategies to acquire qualified leads, generate sales, and create brand awareness for a longer period |
| Implements tactics such as gamified onboarding, interactive content, optimizing their online presence, and content repurposing to attract customers | Implements strategies such as content planning, silent advertising, SEO optimization, link building, and A/B testing to attract customers |
| Designed to help you achieve short-term growth by any means necessary, hence losing the focus on long-term aspects of the growth | Designed for sustainable revenue growth through new customer acquisition and customer activation, retention, and monetization |
| Creates a sense of urgency with data-backed strategies and time-tested tweaks for a successful campaign | Focuses on a series of small successes that keep the growth machine running |
| Rely on technical skills and can develop new technology and creative growth hacks that can catapult a business sale to the next level | Can solve complex business problems, identify qualified leads and know how to differentiate the product from its market alternatives |
Which One is the Best for Your Business?
Businesses worldwide are buzzing about growth hacking and marketing because they seek rapid, sustained growth that improves revenues and ROI. However, when you analyze both concepts and define their roles, it is clear that they should be used for different purposes or at various stages of your company’s growth plan. And if you are still wondering which concept suits you, let us summarize.
Your team can utilize growth hacking:
- If your company is yet to launch or needs a head start in a competitive industry.
- If it’s been a while since your company last surprised its customers. People love innovations and surprises, and they keep your business fresh.
- If you want to scale your sales and revenue during holidays or other special seasons
- If you have an established brand but want to add some spice to your marketing campaigns, you should go for growth hacking.
- If you don’t have a product/market fit yet.
Your team can utilize growth marketing:
- If your company has a product or service but needs a strong brand name in the market.
- If your company is looking for sustainable or long-term growth.
- If your company wants to build a loyal customer base, that will bring you more business.
- If you want to promote brand awareness and create a positive brand perception.
- Choose growth marketing if there is a clear market and demand for your product.
Closing Thoughts about Growth Hacking vs Growth Marketing
Growth marketing and growth hacking help companies scale and share the same goal but pursue different methods. Growth hacking aims to get quick results, while growth marketing aims for sustainable growth. In short, growth hacking might be the right option if you have a market-fit startup with a short runway, a product or service with some built-in virality, and little to no serious competition.
But when your competitor starts coming up and you do not have a strong brand presence, growth marketing might save your company and give it stable growth. We hope this blog can help you understand the similarities and differences between the two concepts and select the right one for your business.
Growth Hackers is one of the top growth marketing agencies helping businesses from all over the world grow. There is no fluff with Growth Hackers. We help entrepreneurs and business owners implement growth hacking and growth marketing, increase their productivity, generate qualified leads, optimize their conversion rate, gather and analyze data analytics, acquire and retain users and increase sales. We go further than brand awareness and exposure. We make sure that the strategies we implement move the needle so your business grow, strive and succeed. If you too want your business to reach new heights, contact Growth Hackers today so we can discuss about your brand and create a custom growth plan for you. You’re just one click away to skyrocket your business.
