The Differences Between Growth Hacking and Lean Startup
And The Process Behind Them
There are many different ways to define a startup. Some people say that it is a new business, but others might say that it is an entrepreneurial project. In this article we will focus on the Lean Startup model and Growth Hacking techniques.
Growth Hacking:
Growth hacking is one of the terms used to describe various ways to test a product or service with minimal investment. It involves identifying the right users, optimizing existing features and making minimal changes in marketing efforts, among other things.
Lean Startup:
The Lean Startup model is a development process that is based on a series of incremental changes. It includes building an MVP (Minimum Viable Product), conducting user testing, continuously monitoring the performance of the product and refining it.
The main goal of the Lean Startup method is to release a product in an iterative way. The product can be adjusted and improved again until it meets the users’ needs.
The method helps to understand if there are potential problems with the product and if there are problems with its functionality. It also allows you to make necessary changes in order to meet users’ expectations.
It allows startups to minimize risk, which means that the startups will not have big investments when launching their products. It also allows them to test the market and find out if their products have potential or not.
Therefore, it reduces risks for investors and provides startups with more time to make improvements in their products and services before releasing them on the market.
It allows startups to invest in testing only what they need while they are doing it — as opposed to all at once — which means that they don’t need as much money for developing their products as traditional businesses do when they launch them on the market.
The Lean Startup method has also been applied to businesses that do not need to invest in development, but need to test the market in order to make necessary changes.
It is also important for them to develop a strategy and make it possible for the users to provide feedback on their products and services. The main idea of this model is that if you want your business to be successful, you should build something that users are willing to pay for and can use.
Growth Hacking vs Lean Startup:
Growth hacking is one of the most popular methods of testing a product or service with minimal investment. As mentioned, it involves identifying the right users, optimizing existing features and making minimal changes in marketing efforts, among other things.
In the context of growing hacking, it is considered to be a process of defining a problem, developing an experiment and measuring the results.
In contrast, lean startup is a business model that has gained a lot of attention in recent years. This model involves a team of people who are dedicated to building something that has the potential to generate revenues for them.
They focus on continuous learning and optimizing the development process in order to deliver products or services faster than competitors. Unlike growing hacking, lean startup is a process that involves continuous learning, iterative design and prototyping.
The Process of Growth Hacking:
In the context of growth hacking, one of the main purposes is to create something that generates revenue. This means that it has to be measurable. As such, it should be able to attract users who are willing to pay for it.
In order to test a product or service with minimal investment, growth hackers identify the right users and build a campaign in order to make their business model profitable. This requires learning how these people use their products or services in order to optimize their marketing efforts in order to create an engaging experience for them.
It also involves testing the idea and identifying new features that will increase the product’s value for these people. The process of testing is done on existing features and marketing strategies in order to make them more effective for users.
The Process of Lean Startup:
In contrast, lean startup involves the development of a product or service which has the potential to generate revenues for investors. Therefore, it should be ready when you go live with it by identifying what users want from your product or service.
Based on this information, you can improve your product or service by adding new features that meet the needs of these users. In order to achieve this, you should build a prototype that is capable of attracting users who are willing to pay for it.
This requires identifying your users and learning how they use your product or service in order to optimize the development process. You should also build a campaign that will make it profitable for you when you go live with your product or service.
About the Author
I hope that my post has helped you know more about Startups. Feel free to leave a comment and tag me and I will answer them. Follow my profile to get the latest content I post to stay ahead of the curve.
I am the Founder of Cudy Technologies, a full-stack EdTech startup helping teachers and students learn better. I am also a mentor and angel investor in other Startups of my other interests (Proptech, Fintech, HRtech, Ride-hailing, C2C marketplaces, and SaaS). You can also find me on Cudy for early-stage Startup Founder mentorship and advice.
Connect with me on LinkedIn if you have further questions. Let me know that you are a reader of my Medium posts in your invitation message.
