Growth Hacker's Digest - Edition 4
As we approach the end of the year, just wanted to check in with you all on how your year was. What worked for you and what didn't work? What are your goals for next year? Learning what’s on your mind will help me curate articles that are better suited to your needs in the future. Personally, this year involved a big change for me: moving from paid work at a Fortune Top 50 company to independent consulting. It’s a big jump, but I’m fortunate enough to be part of a weekly mastermind where I can draw constant advice from. I recommend that you join a mastermind too.
For this week’s letter, Scott from Birdleaf.io was kind enough to provide a discount code for his product. To get it, click his article below and keep it handy in case you need support for your email marketing in the future.
As for the picks of the week:.
- For Consultants / Freelancers: We touch on the topic of negotiation and client pricing through “productized consulting”. This is a new concept pushed by a new generation of consultants who want to reduce the pain of lead qualification and client negotiation. On top of that, we also look into the topic of lead generation with Philip Morgan’s “Minimum Viable Funnel”.
- For SaaS CMOs / Heads of Marketing: As a C-level SaaS marketer, you need to know where you are with regards to your funnel metrics and unit economics. David has summarized it very well in his post below. Personally, while this is great, most CMOs need more metrics beyond these. I’ll be sharing a lead and sales funnel tool next week in my blog so watch out for that!
- For All: Most marketers view landing page optimization in terms of a/b testing button colors and images. This is a wrong perception. We’ll get into the gritty nuts and bolts of conversion optimization with the help of Patrik McKenzie's content which you can deploy to your design team tomorrow.
Kenn at GrowthHackerKit | @kennyfrc
New at GrowthHackerKit
by Scott @ BirdLeaf.io
by Brian Casel
As a consultant like some of you, I dreaded one specific thing: getting into pricing negotiations. I assumed that clients would value me because of my domain expertise and skillset but it feels like the customer only cares about cost reduction. After a couple of months having to deal with that nonsense, I had come up and practiced two ways that you can deal with it effectively: 1) figure out a way to position yourself as an “investment” rather than an “expense” and 2) figure out a way to productize your services.
To position yourself as an investment, you need to think of specific services that provide a direct improvement to the ROI of the client. Great examples for marketers include AdWords Optimization & Conversion Rate Optimization. For developers, an example would be Software Rescues like this. As for things that position yourself as an expense, that includes content marketing, SEO optimization, and MVP-building services. Think about it: it’s better to say “you need to pay me $XX,XXX or else you lose out on $YYY,YYY” instead of “well, our quality of work is just better”. You need to quantify your added ROI to your client for you to negotiate effectively.
If you can, you can even remove the negotiation process entirely by “productizing” a service. In other words, you commit to a specific, predictable outcome to your client for a specific cost. A great example is a lead generation service where you get 50 leads for $1,000. A fantastic list where you draw inspiration from is right here: Ultimate Badass List of Productized Consulting Services
by Philip Morgan
Another consultant problem is lead generation. That’s because we overrely on referrals and the problem with referrals is that there is no sense of predictability to it. As a consultant with predictable monthly expenses in the form of mortgages and groceries, that situation doesn’t work. You need to build a predictable lead funnel for predictable revenue in your business. Philip Morgan in this article has designed for himself a great Minimum Viable Funnel (MVF) in a to-do list format which you can immediately take and apply to your own consulting or agency practice. I recommend that you spend the time to read through everything in his list and set a goal for yourself to implement a part of that funnel week after week.
ANALYTICS & MEASUREMENT
by David Skok
If you’re a CMO, the bigger your startup or business gets, the more important it is for you to systematize and improve your metrics dashboard to keep you on tabs with your business. There’s just no more time for you to do “check ins” with your employees because there simply is no time. If you’re starting to feel the brunt of such scaling problems, you need to make sure that your team updates either an excel sheet or an internal system week after week to help everyone jointly manage the business and for you to make better decisions. David Skok wrote a HUGE post on SaaS metrics that you should read through and check out. The corresponding excel template is also right here for your convenience.
Next week, I’ll show you how to complement this tool (which covers the fundamental metrics of your SaaS business) with a lead & sales funnel excel sheet that I use week-on-week in my other work as a CMO.
by Patrick McKenzie
Generating great traffic yet struggling at conversion rate is a common problem among marketers. This leads to a lot of questions around conversion rate optimization. However, where a lot of conversion optimization advice fails is that it focuses too much on color schemes and logo types. That type of practice helps for established web applications but it makes zero sense for new startups. New or pre-scale startups need to focus on something else: user flow, copywriting, clarity of proposition, and following the “single action principle”. Patrick McKenzie covers it in depth in this video + slide presentation here. If you’re new to conversion optimization, you can get started with the basics with the corresponding links on landing page value proposition, landing page design , and landing page copywriting.
Date: December 14, 2015