Newsletter Subject

The Growth Newsletter #180

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demandcurve.com

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neal@n.demandcurve.com

Sent On

Thu, May 16, 2024 11:45 AM

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The 4 high-level ways to drive growth ‌ ‌ ‌ The Growth Newsletter #180 The 4

The 4 high-level ways to drive growth (and how to use them)  ‌ ‌ ‌ [Demand Curve]( [Read on demandcurve.com]( The Growth Newsletter #180 The 4 high-level ways to drive growth (and how to use them) Hi :D Today, we're diving into the 4 ways to eat more pie than you're currently eating.  Let's dive in 🥧  – Neal Brought to you by [dofollow.com](—the B2B SaaS link building specialists.  Pages ranking #1 on Google have an average of 3.8x more backlinks than their competitors.  How can you compete with competitors that have had years to build links?  [dofollow.com]( helps startups rapidly scale organic traffic with powerful backlinks from the top 1% of sites—including Hubspot, BigCommerce, Canva, and 100s more.   Find out more with a free backlink assessment: - Audit of your content and strategy - In-depth competitor backlink analysis - Low-hanging fruit you can reap in the next 90 days  [Claim your backlink assessment]( Want to be featured in front of 101,794 founders and marketers? [Learn more here](. The 4 high-level ways to drive growth (and how to use them) Insight from [a great article from MKT1](.  Fundamentally, there are only 4 high-level ways to drive growth.  This image from [MKT1]( summarizes it perfectly: A startup can do a million things to grow (we’ve covered over 455 of them [here](), but given extremely limited resources, you should find the highest leverage place to apply pressure to grow now.  Understanding these 4 primary levers helps you prioritize. Let’s dive into each:  1. Get more $$$ from your current slice of pie - Charge more money from existing customers (make sure to increase [perceived value]( too). - Sell more products to existing customers (upsell/cross-sell) - For SaaS, increase revenue per customer by adding new features and tiers, increase the number of seats they use, or increase product usage. - Reduce churn so revenue can grow over time. The [SaaS Quick Ratio]( is a handy metric for determining whether your growth and churn are healthy.  2. Capture the same pie more efficiently  You’re always getting new customers, but you can do it better. You can generate more revenue with the same or less cost and effort.  There are really only two fundamental ways to do this: - Increase conversion rates with better funnels (copy, landing pages, lead magnets, sales, etc). - Lower acquisition costs with better creatives, targeting, lead quality, (and conversion rates ;0)  Note: Check our [Growth Vault]( for 84+ tactics to increase conversions  3. Capture more of the same pie  You’re growing within the same market segment but can get MORE leads: - Double down on what’s working, but always experiment with creative ideas. - Watch out for diminishing returns (increasing acquisition costs), especially on ads, if you’ve been going after the same market for a while and keep increasing budgets. That’s especially true if it’s a niche market. - If you’re steadily growing, don’t wait until you cap out before expanding the pie because it takes longer than you think. - Set up a different [growth engine]( (content or sales instead of ads)  Note: No matter how good you are, you will never get the whole pie, sorry!  4. Expand the pie (or test new pies entirely) - Go after new markets/segments (industries, company sizes, geos, verticals). - If you’re very early stage, this is just trying to find product-market fit. - Depending on the new segment, you can either use the same [growth engine]( (ads) or you need to set up another one (i.e., outbound or content). - Create new content, messaging, and funnels tailored to the new “pie”. - Always run small tests before going all in. Make sure to prioritize your tests using the[RICE/DRICE frameworks](. - Double down if you have similar or higher conversion rates with this new market or segment.  How to use it  Every few months, pick one of these to prioritize and go hard on it. What matters most will depend on your current circumstances (and likely stage). For example: - A very early-stage company is either focusing hard on one market/segment or testing several to find product-market fit. - A startup with PMF will likely want to improve conversion rates with well-optimized funnels, [great onboarding](, and strong retention. - Then they'll want to focus on capturing more of the same pie by ramping up their current growth engine (ads) or setting up a second (outbound). - Then they might want to get more from their current customers by charging more and upselling and cross-selling. - Then, they might want to expand markets/segments as they reach saturation in their current ones.  Stop just picking random things to prioritize. Instead, choose intentionally. To dive deeper into this framework, check out the rest of [MKT1's great article](.  What did you think of today's newsletter? 😍 Loved it: Forward to a friend, or reply—a simple 😍 will do! It really helps. 🤷‍♀️ Meh: You can unsubscribe [here](), or manage your subscription [here](. 🤔 I'm new here: You can join the party [here](. 🤩 Give me more: Check out all previous growth tactics in our [Growth Vault](. Something fun  May this both haunt and delight you.   How we can help you grow - Read our free [playbooks](,[ articles](, [growth guide](, and [teardowns](—we break down the strategies & tactics used by fast-growing startups. - Enroll in the [Growth Program](, our marketing course that has helped 1,000+ founders get traction and scale revenue. - Become [UNIGNORABLE](. Join the waitlist for the next cohort of our popular audience building course. - Need help running ads? We’ve built [the]([ ads agency]( for startups. - Looking for a growth freelancer or agency? [We’ll match you]( with a vetted partner for free. - Get in front of 101,794 startup founders by [sponsoring]( this newsletter. Thanks, everyone! I hope you all have sunny weekends ;0 [Neal]( [Neal O'Grady]( [Grace]( [Justin Setzer](   © 2024 Demand Curve, Inc. All rights reserved. 4460 Redwood Hwy, Suite 16-535, San Rafael, California, United States [Unsubscribe]() from all emails, including the newsletter, or [manage]( subscription preferences.

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