Growth hacking
Growth hacking is a data-driven way to grow a product through rapid experiments across marketing and product. Sean Ellis coined the term in 2010.
Growth hacking is the practice of finding what makes a product grow by running many fast, cheap experiments, then doubling down on what works. Sean Ellis, who worked early with startups such as Dropbox, coined the term in 2010 when he was trying to describe the person he wanted to hire to replace himself: someone whose true north is growth.
Where it comes from
Ellis noticed that traditional marketing (ads and PR) often did little for young startups with small budgets and a product that was still changing. He argued for someone who blends product sense, data and marketing, and who tests ideas quickly. The label stuck and later spread into a standard growth-team role at many companies.
How it works
A growth hacker follows a loop that looks a lot like the lean startup cycle:
- Find a metric. Pick one that reflects real progress, such as activation rate or weekly signups.
- Generate ideas. Landing pages, onboarding changes, referral prompts, new channels.
- Run small tests. Each idea gets a time limit and a pass or fail result.
- Keep winners and repeat. Combine what works into a repeatable growth loop.
Example
Your free trial converts 4 percent of 1,000 monthly signups, or 40 customers. You test a shorter signup form. If conversion rises to 5 percent, you gain 10 customers a month without more traffic. At $29 per month that is $290 in new MRR from a form change. Several small wins like that add up fast.
What it is not
- Tricks. Hacks that spam users or break platform rules burn trust and stop working.
- A substitute for a good product. Growth work multiplies something that already works. It does not fix a product nobody wants.
- Only marketing. The best experiments often change the product itself, such as onboarding, pricing or sharing features.
For small and bootstrapped teams
You do not need a growth team to use the idea. Pick one metric, run one test a week and write down the result. Pair it with the focus advice from the traction framework: find the one channel that works before you try five. The danger for small teams is scattering effort across many experiments and measuring none well. Keep tests small, use enough traffic to see a real difference and stop tests that are not moving the number.
Related terms
- Growth loop
- PLG (Product-led growth)
- Activation rate
- Viral coefficient (K-factor)
- Traction
- Lean startup
Sources
- What is growth hacking?, GrowthHackers
- Do Things that Don't Scale, Paul Graham