In fact, user growth is a very big topic.
User growth is no longer the blind pursuit of growth in the number of users in the traditional sense of the Internet. User growth is to continuously put forward growth hypotheses, and verify the correctness of the hypotheses through experiments and data analysis, so as to repeat and iterate repeatedly to form a closed loop.
User growth is the first KPI of product operation.
User growth is growth-oriented and result-oriented, so that operational strategies can be implemented.
User growth is a data-driven product, and the key to sustainable product growth is to increase the value of a single user.
Among them, the GROW model is one of the most commonly used analysis frameworks in the process of user growth.
The GROW model includes Goal target setting, Reality status analysis, Options program selection and Will action execution.
The GROW model is an effective tool around setting goals and finding solutions.
We can use the GROW model to sort out a complete closed loop of user growth.
- Goal setting: confirm the operational goals of user growth, and find the desired short-term and long-term goals;
- Status analysis: analyze the current status of the product, clarify objective facts, and find indicators for growth;
- Solution selection: find alternative growth solutions and formulate effective strategies to drive user growth;
- Task execution: set up an action plan and time node for growth, and quickly motivate users to execute growth.
The main line of user growth is based on the AARRR closed-loop model.
This model is based on the core of the product user life cycle to acquire users, activate users, improve retention, complete monetization and realize self-propagation.
New user retention is a key node in the conversion from product launch to user behavior. We just want to find the factors to achieve user growth at this node.
This "factor" is the driving force behind the closed-loop activation of all user growth.
The factors of user growth mainly include interest drive, access path and user behavior.
How to find the factors of user growth is a systematic work, mainly including:
- It is necessary to formulate short-term or long-term growth plans for current products;
- Let the growth plan that can be implemented be implemented in the form of demand;
- Sort out the business and disassemble the growth point of sustainable output value;
- Drive the rapid iteration of products to achieve user growth goals.
The ultimate goal of user growth is to obtain value from users, so specific distribution channels, marketing strategies, and data analysis methods need to be considered.
- Delivery channels include: red envelope sharing, friend invitation, celebrity effect, creation of explosive models, vest effect, new media operation, etc.
- Marketing strategies include: distribution, price bargaining, group buying, etc.
- Data analysis includes: AARRR model, funnel analysis, North Star indicator, user loyalty model, octagonal behavior analysis method, etc.
In short, it is to find the invitation mechanism, incentive mechanism and strategy mechanism to achieve user growth.
The core of user growth is to form a closed loop in the links of program design, operation strategy, data drive and virus dissemination, so as to open up the entire business process of user growth.
1. The fission factor of user growth
After finding the growth factor, it is necessary to adopt the means of fission.
Fission is an effective way to quickly gather users and improve user conversion in the entire user system.
Fission focuses on the six elements of return, value, authority, conformity, preference, and scarcity.
Using fission can quickly achieve multi-level dissemination and gain exponential growth of new users.
The reason why fission growth is so popular is that the essence of user fission is value-centered.
User fission can last for a long time is the value of the product, and value can connect with users.
For example, seed users, online communities, industry KOLs, self-media big Vs, etc., all bring added value to users in the form of fission, so as to continuously obtain user traffic.
Fission is a marketing method with fast start-up, low operating cost and good conversion effect.
The common fission methods are: group fission, bargaining fission and distribution fission .
2. Group-building factors for user growth
Group shopping is a marketing activity in which merchants sell products at preferential prices for specific products within an agreed time period based on the number of people in the group.
The user initiates group joining, and realizes group joining fission by sharing and sharing profits.
Group joining is essentially a commodity purchase process, but the order is no longer a single user, but a group of users.
Common types of group joining include lottery group, trial group, super group, spike group, overseas shopping group , etc. Joining groups can complete fission, increase the number of users, and bring better communication effects to merchants.
Products such as Lian Coffee, Ruixing Coffee, Gift Talk, Take a Little Time, Kuaishou, Douyin, Pinhaohuo, Mengdian, Pinduoduo, etc., have all done very well in the group-building model.
Pinduoduo is the most typical group-joining mode. It adopts direct group-joining, participating in order-making, inviting assistance, sharing reciprocity and other group-joining methods. In WeChat groups or circles of friends, we only need to invite multiple people to participate. Open a group.
Pinduoduo’s group joining process is divided into the following steps: select a product > initiate a group joining > WeChat sharing > join the group with friends > join the group successfully > wait for delivery > confirm receipt > order after-sales.
Pinduoduo uses this principle of group joining to play with user fission, but the essence is to form a closed business loop around user scenarios and business implementation.
In just over two years, Pinduoduo has risen rapidly. From the initial average monthly GMV of 2 billion yuan to the current monthly average GMV of more than 40 billion yuan.
3. The bargaining factor of user growth
Bargaining is to set bargaining rules for the product. Within the specified time, the buyer shares the link of the product to his friends, and the friend clicks on the link to help him bargain, and finally the transaction is made at a very favorable price.
Users initiate bargaining, and through old users attracting new ones, the bargaining fission is realized.
Bargaining can make users fission, because bargaining is the most common consumption scenario, and also consider the user's pain point "consumer benefit", itching point "like to take advantage of the advantage" and cool point "sense of achievement in bargaining", and use the social circle of friends to achieve went viral.
There are two modes of price bargaining, that is, you can buy only after cutting the bottom price, and you can buy without cutting the bottom price .
The amount of each price bargain is random, and only valid users can initiate the price bargain, but friends can be tourists.
These bargaining processes and strategies can be flexibly configured in the background system according to business needs.
Taking the price bargaining activity at the beginning of school as an example, we can set the activity name, activity time, price bargaining mode, price bargaining times, commodity low price and event products, etc. in the background system. The specific business rules can be based on the operation strategy set up.
Users click on the price bargaining activity link to enter the page, and can view the product, event countdown and price bargaining list. Clicking on the product can enter the details page, invite friends to participate in price bargaining, or buy directly after a certain discounted price.
Bargaining is typical user thinking and scenario thinking.
By inviting friends to help Deli, the rapid fission of users is realized.
In addition, it can also convert a group of high-net-worth users and improve user activity, loyalty and contribution.
4. Distribution factor of user growth
Distribution is a multi-level distribution model. It is based on the spread of Moments and uses button-style social relationship chains to develop ways to earn commissions for offline users.
Users initiate distribution, and realize distribution fission through direct sales secondary compound interest.
Common distribution models include supplier distribution, regional distribution, team distribution, direct push distribution, indirect push distribution, self-purchase distribution, etc.
The most popular method of distribution is the three-level distribution.
The core and most attractive part of the three-tier distribution is the infinite fission circle theory and unlimited distributors.
Three-level distribution means that brand owners adopt the model of developing sub-distributors in sales, forming a three-tier distribution sales chain, and the distributors have direct interests are the third level.
Taking the three-level distribution mall system as an example, the use of three-level distribution can promote the sales of goods, making the popularity, promotion, and realization of products more convenient. Using this method of product promotion is easier for people to accept.
Many merchants or channel agents are also playing this distribution model, which is to generate their own distribution-specific QR codes to social circles, and other people can get revenue sharing after placing an order.
To put it simply, everyone can become a first-level distributor, and as long as the subordinates sell products, they can get promotion commissions.
However, the ensuing nationwide distribution has made the interpersonal relationship fragile, and many distributions with high rebates are essentially Ponzi schemes.
The three-level distribution "leading" model, "payment fee" model and "team payment" model are everywhere now, and many of them are playing side-by-side in the gray area of direct sales, micro-business, and pyramid schemes.
5. Conversion factor of user growth
After completing the fission, focus on user conversion.
Conversion is the most important link in each stage of the operation process.
Improving the conversion rate is not simply a few data, a few user models can be solved.
In the process of user fission, in order to better improve the conversion rate.
We need to formulate a closed-loop user conversion strategy: locate the right users, improve product experience and fluency, optimize the conversion path, and focus on repeat purchases and additional purchases.
Increase the user conversion rate through various forms of marketing activities such as fissile group buying, price bargaining and distribution.
It must be to grasp the three latitudes of rigid demand, high frequency and stickiness of users in the process of fission.
Users need to "induce" to solve pain points, stimulate itching points, and create cool points, so as to form user habits for the product and convert a group of high-net-worth users.
6. Value Factors of User Growth
Fission and transformation are the key to user growth based on group buying, price bargaining, and distribution, but there must be effective growth methods and continuous output of product value.
From product-driven, marketing-driven to brand-driven, user growth is all about exploring the core value of the product.
As the amount of information decreases, the relationship chain decreases, the user base shrinks, and high-net-worth users lose.
In front of the user's choice, any company's strategy, model or strategy will become secondary.
Whoever can bring value to users will be able to win the support of users, and whoever can win the market and develop rapidly. Because users want to collect wool, and the platform thinks about cutting leeks.
Everyone is welcome to experience and make suggestions, and let’s make the CRMEB open source mall system more powerful and benefit more developers! Although it is open source, it has all the functions we should have! Group shopping, price bargaining, seckill , coupons, lottery, points, live broadcast, distribution, page DIY... Commonly used mall system functions are all open source and can be used directly!
Author: Youshan Zhuge
The title picture is from Unsplash, based on the CC0 protocol.