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Minimum viable test

Date post: 24-Jan-2017
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Minimum Viable Tests to 2X Your Growth (without Paid or Sales) @conradwa
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Page 1: Minimum viable test

Minimum Viable Tests to 2X Your Growth (without Paid or Sales)

@conradwa

Page 2: Minimum viable test

Is it possible to progress in a smallish, but growing market

with 20+ competitors?

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Teachable MRR curve

Yep…

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$3M+ ARR, without paid or sales.

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Your situation will be different.

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…your product, market, contract value, messaging,

sales process, resources, business model, etc. is unique.

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And it’s all changing…

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What this means is most supposed “expert” advice is

probably bullshit.

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@conradwa

Here’s what’s worked for me when experimenting with

product-led growth…

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Co-Founder & Advisor

3 years growth consulting

An email list of 17,000 founders and practitioners.

Built a repeatable growth machine through 1M users and $3M ARR.

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Right now, I’m bringing together thoughts on product-led growth on: http://growhack.com before

launching my next product in 2017.

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Repeatable growth happens when you have a core metric and a model.

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That’s step 1

Step 1 Step 2 Step 3 Step 4 Step 5

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We started starting at

Weekly Active User (WAU) as our initial value

metric in product development.

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Although the product was still

buggy, users surveyed said it

was a “must have…”

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Which is when we transitioned to Monthly Recurring Revenue

(MRR) as core metric.

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For the next year, we hit an aggressive 20%+ MRR MoM

growth (net of churn).

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Actually it was more like 30-40% MoM, but shut down all growth

activities in December and January due to support overload.

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MRR works for us because it took into account all parts of our

business like churn and retention.

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Your metric is likely different. Not an easy answer, so it’s

okay to spend time thinking it through.

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Find yours, then make all decisions from the context of what will move that north star

number 20% every month.

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Step 2: have good ideas and prioritize them.

Step 1 Step 2 Step 3 Step 4 Step 5

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Early on, you care mostly about prioritizing for impact and effort.

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Pop Quiz: Where will a growth experiment have the most impact?

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The deeper it is in your funnel

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Step 3 is about actually running tests, quickly.

Step 1 Step 2 Step 3 Step 4 Step 5

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Fun Fact: most of your experiments will

probably fail.

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To improve your odds of success, increase the rate

and quality of your growth experiments.

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One great way to do this?

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Run smaller growth experiments.

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Acquisition Experiment

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We found out that a post Noah Kagan did within his Facebook group led to 40

Teachable sign ups.

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So we guest blogged with SumoMe.

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And spent time creating a deal with AppSumo

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Activation Experiment

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Should we spend 3 weeks creating an email automation

sequence?

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Instead, we started with a 7-day email sequence that took two

days to implement.

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From this we learned there were many use cases for Teachable.

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So we tested a survey after sign up to segment

users.

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And tailored messaging to each group that would significantly

improve our onboarding.

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Referral Experiment

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Each referral improvement is a multiplier on

your funnel.

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To test our referral program, we just asked for users to email their

audiences.

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When that seemed to work…

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We co-hosted one webinar with user Mariah Coz generated

$100,000 which we split. Mariah’s now trained hundreds of

Teachable users.

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Practical takeaways in running minimum viable tests

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It’s rare that any test should go longer than 1 month.

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I’m personally skeptical of any test longer than 3-7 days.

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My challenge to you is: When you’re looking at your list of growth experiments to help, how can you

launch each in 1 day?

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Then over time and you bring

on more resources you can focus on

larger experiments.

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Notorious projects that fit this category include:

• Site redesigns • Metrics overhauls • Marketing automation builds

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What would happen if we failed with an experiment?

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I created an email course called

profitable course idea designed to

improve engagement.

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The 6-email course averaged 60% open rates which was great

but…

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The challenge is we just transitioned to an MRR goal…

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…but I didn’t build for a process to upsell was tacked on later

and conversion to our new MRR goal was low :(

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So we tested sending

users who’d joined to a webinar.

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The webinar was a small test. It was a simple product demo, and took almost no

time to prepare for.

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But yet, our attendee to paid conversion was

~10% on our first demo. Woah..

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Step 1 Step 2 Step 3 Step 4 Step 5

Optimize and THEN figure out how to automate.

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Today, we convert 30% of anyone who attends a Teachable

webinar.

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Then we turned THAT content and optimized it for SEO on our

blog…

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Step 1 Step 2 Step 3 Step 4 Step 5

And automation you ask?

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We now have a team to run webinars with our Head of Growth Andrew

Guttormsen leading up the effort. We also our own webinar software on top of

YouTube and hired a full team to run them.

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We took this to the next step with the Teachable Summit, which is a series of 7 live online events that brought an audience of 20,000

people and generates $250k/event.

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How much time are you spending on your growth tests?

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Stay in touch: http://growhack.com


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