Lenny's Podcast · Sep 5The original growth hacker reveals his secrets | Sean Ellis (author of “Hacking Growth”)
Only 5% of signups used the product and paid channels capped at $10,000 a month. After a three-month roadmap freeze usage hit 50%, channels scaled to $1 million a month, and 80% of new users came by word of mouth. Emailing non-downloaders and showing a check-marked free option lifted downloads 300%.
Tips
- Fix activation before scaling acquisition channels▶ 55:54Signup-to-usage went from 5% to 50% in three months, and the same channels that capped at $10,000 a month scaled to $1 million a month with a three-month payback and 80% of new users from word of mouth.
- Ask churned signups why they left, in a note from support▶ 59:01The next test improved the download rate by 300%, from a channel sending 200,000 people a day with about 20,000 registering.
- Fix activation first, then engagement, referral, revenue, and last acquisition▶ 26:53
- Pick an early, experience-based activation moment and check it against retention▶ 1:03:03At LogMeIn, doing a remote control session was the activation event.
- Talk to customers daily and ask how they found you▶ 1:10:28
- Add referral incentives only after word of mouth already exists▶ 1:15:00At LogMeIn, 80% of new users came from word of mouth, so he held off adding incentives for fear of breaking the engine.
