Sunday, July 24, 2016

Four Differences: Growth Hacking Vs.Traditional Marketing

Four Differences: Growth Hacking Vs.Traditional Marketing
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Traditional marketing- the oldest form in the book has now been upgraded to Growth Hacking which is the most successful and cost effective method nowadays. In a startup’s life, the entrepreneur is looking for ways to grow attention for customers to their business. Traditional marketers have a broad focus and while their skills seem valuable, they are not necessary in early stages of a startup.

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1. People:

Traditional marketers are cost effective, they look for the cheapest ways to advertise their business. As well as with their skills they have learnt with experience, they are quite limited with their growth solutions so they look for more traditional outcomes such as radio commercials and print advertisements. They generally don’t give an overview of the business or product they are selling. The best way to successful traditional marketing is keeping it short and sweet. Customers do not enjoy lengthy advertisements as they do not have time to sit there and read the whole thing.

Growth hackers on the other end are creative and very skillful when it comes to the growth solutions. They are data driven and their computer skills are very high as they can work their way around, to spread their message. Growth Hackers give a brief overview of the business and product, as customers need to know the basics of what they are going to buy. Their skill set is also larger than the traditional marketer as they have a wider knowledge about most things that are trending around the world.

2. Channels/Platforms

Traditional marketers use paid advertising channels such as various social media platforms and newspaper and television advertisements. The most successful example of traditional marketing is the Super Bowl advertisements in the USA because they are both entertaining and comedic. As already there is a greater audience watching the Super Bowl, the success of the advertisement will be a lot higher than if it were on at a normal time.

Growth Hacking is a bit different to traditional marketing as smaller startups use prominent companies and piggy back  off them. A recent example is the use of Craigslist for AirBNB. The site allows users to convert their spare bedroom into a hotel room for a cheaper cost. When users fill out a form to list their bedroom on AirBNB they give an option to put their listing on Craigslist also.

3. Approach

Growth Hackers make the product what the customer would like. This allows the advertisement to expand traffic as they are not focusing on just one niche market. A wide range of market research and time is put into the successful growth of the product. Methods of research could include online surveys and questionnaires.

Traditional marketers use customer research differently. They create a product and advertise it to a niche community who would be interested. With continuing to try and expand to the customer’s interests, advertising to different segments and see who would like the product the most. Their main drive is to create as much attention to the product in smaller groups compared to Growth Hackers.

4. Clear, definitive funnels

Traditional marketers do not have clearly defined funnels of research as they focus more on brand awareness and reputation with hardly any measureable results. They do not have a clear, set goal and look at ratings of the product rather than focusing on the quality of the results. Traditional marketers lack in this section because they do not have the knowledge or skill set to set goals like Growth Hackers.

Growth Hackers have a clear definitive plan which they keep in mind with every project they are given. Download and traffic goals are clear to all contributors. They also gather feedback from customers who are using the product and try to create a solution with the continuation of bettering themselves. Hackers continue to experiment different ideas, choosing the best solution. They have the resources and skill set to create these goals.

These are the four main differences of Growth Hackers and traditional marketing techniques. It is clear that hackers are more successful nowadays as the online community is a lot broader and more interested in advertisements than the traditional ways of commercial advertising. The online community reaches a population of 3.17 billion users.