Tencent Interactive Entertainment Community Product User Growth Formula!

The development of the Internet has entered the second half of the fight for the stock market . It is no longer a "concept-driven" era where one concept can conquer the world, nor is it a "product-driven" era where the ultimate product experience alone can impress all users.

Basically, every product will form a competitive red ocean in a short period of time . In addition to differentiation, how to market oneself and acquire more users has become the primary issue in today's "operation-driven" context, and the concept of "growth hacking" has also emerged.

If a product manager is a person who "has a dream and wants to change the world", then the core goal of a growth hacker is always and only one - " growth ". It is a combination of three roles: marketing, product development, and data analysis. The core is to obtain massive growth in the fastest way, at the lowest cost, and with the most efficient means.

What is data growth?

There is a relatively popular AARRR model that can solve the data growth problem. It focuses on the entire life cycle of users in the product or business model, covering five major modules: " user acquisition, increasing activity, increasing retention, obtaining revenue, and self-propagation ".

The job of a growth hacker is to focus on and optimize the growth and conversion among various indicators within the product system. It is a relatively global and diverse role.

If we summarize it in a few sentences, we think it is: " Coordinate limited resources, pay attention to overall changes, reduce useless losses, improve effective conversions, expand user scale, and improve product benefits ."

The following is a summary of the data growth formula.

From 0 to 1:

Use high-frequency testing to find the right growth engine

The core of data growth is to understand the product first. To carry out data growth, the first step is to understand how your product can attract users.

A. Find the right growth engine

In the stage from 0 to 1, you need to find a suitable "growth engine", which is not the "core competitiveness" in the traditional sense.

Specifically speaking, "core competitiveness" is a relatively top-down decision . It may be supply chain, product points, financial strength, scientific research strength and other non-user-facing content, but the "growth engine" is the product of actual user data feedback.

For example, the public account "XX Game Assistant" operated by a third party initially provided game information services. Later, it was discovered that players were very interested in the LOL hidden points function, so it immediately transformed into a hidden points customization and series testing tool, achieving very good data growth results. The following products also have the same effect.

B. A/B TEST is the basic basis for iterative selection and the focus from stage 0 to 1

The principle of A/B TEST is to control variables, conduct small-scale testing to quickly produce results, and emphasize rapid trial and error.

We found that Hupu APP has always used the classic BBS flow instead of the currently popular picture and text feed flow, which is largely the result of quick testing.

C. When the budget is not enough, imitation and innovation can reduce testing costs

In fact, it is to make micro-innovations or incremental innovations based on ideas that have already achieved data results.

For example, a platform account once tweeted "Tencent's first tactical competitive mobile game is coming" and received very good data feedback. In the absence of a budget for testing, other products can imitate similar copywriting, such as "Tencent's first XXXX mobile game is coming".

D. If you don’t have enough ideas, you can try this innovative method.

As shown below:

Growth formula from 1 to 10:

(Original exposure + secondary exposure) * conversion rate

The growth formula emphasizes only one point: "Whether it is new additions or interactions, in general, there are two problems: one is how to get more people to see it, and the other is how to get more people to participate ." In essence, growth is to do everything possible to improve the three indicators of the growth formula and the five corresponding capabilities:

A. What is the misunderstanding of the data growth formula (the data in the figure are simplified data in equal proportion)?

Sometimes you may ask, "Why didn't I gain followers even though I did some activities?" In fact, there are several misunderstandings:

• Misconception 1 : Working in isolation - high conversion, no exposure (materials with high conversion rates do not receive more original delivery)
• Misconception 2: Twice the effort for half the result – great exposure, no conversion (materials with poor conversion effects receive a lot of investment resources)
• Misconception 3: Uneven distribution - invalid exposure accounts for too large a proportion (user stratification problem)

B. How to create a hit product through the growth formula?

Hot-selling content requires the product to have the ability to grow on its own. The core of the self-growth ability is the "forwarding rate". The "forwarding rate" can come from activities or content, but there is only one core problem to be solved: "What benefits do users get after forwarding? Revenue > sharing cost",

The method of increasing the forwarding rate through activities is more to induce benefits. When making the content, you can consider this sentence more: "The purpose of users forwarding to the circle of friends and commenting is often to strengthen their own personality in the circle." For example, in order to create the image that I know a lot about IT, I forwarded the 20th anniversary goose - because this activity told my friends that I registered QQ in 1999, which was faster than many people.

From 10 to 100 retention formula:

Participation rate ∝ (historical expectations + this time’s freshness – average threshold)

Growth hackers focus on global data growth. Attempting to attract followers without retaining them is like drawing water with a bamboo basket . This is the most undesirable behavior. Therefore, I have also compiled the following retention formula.

A. Data growth should focus on both short-term benefits and long-term value

The participation rate is positively correlated with (historical expectations + this time's freshness - average threshold). Users have an excitement threshold. Although repeated short-term stimulation will increase the freshness of this time, it will also increase the user threshold again and again and reduce historical expectations. Therefore, title parties, welfare parties, and inducement parties cannot be used for a long time. Growth focuses more on the integrated area in the figure below rather than a single peak.

B. Use love to enhance historical expectations

During the operation of a product, it may go through three stages: "merchant stage", "server stage" and "good friend stage". If you make friends with users with your heart and love, when it enters the good friend stage, users will also increase their historical expectations and open their hearts to make friends with you.

From 0 to ∞: Ownership is very important

Always maintain a sense of hunger and excitement, and have the ability to quickly adapt and self-learn to cope with increasingly rapid changes

In addition, in addition to skills, growth hackers also need to have other soft qualities. A sense of ownership is very important. You need to always maintain a sense of hunger and excitement. You need to have the ability to respond quickly and self-learn to cope with increasingly rapid changes. Only then can you immediately draw your sword and laugh at the sky, and gallop across the world like a madman.

Author:Leo

Source: Product Hunter (ID: qqchanpin)