<aside> 👉 Focus. Avoid spreading the team too thinly across many tactics, double down on the things that show promise, and never lose sight of the North Star.
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This is what Growth teams are best known for. Iterative experiments are A/B experiments in an established area. Examples could be changing the color of a button, building a new email type, etc. Typically, the average success rate for iterative experiments can range from 30% to 70% and often depends on the domain the team is working in.
These are either tech investments or user experience investments. Tech investments should increase the capacity of the team to drive more impact in the future. Examples include building a new tool to automatically localize copy experiments or refactoring a major piece of code to run experiments more easily in that area in the future. User experience investments are investments to make the product experience more delightful without the expectation of driving growth (or possibly even slightly hurting growth). The goal of user experience investments is to strike a balance between trying to drive metrics and protecting the brand reputation. Examples could include improving an email unsubscribe flow to make unsubscribing easier and clearer.
Big bets to open up new opportunities. Take a lot of effort with lower probability of success, 20%-40%, but can be very impactful if they work. Examples are building out new growth channels like partnering with universities or a complete overhaul of our new user onboarding flow.
Iterative Experiments (33%) – Quick wins to build confidence in the team
Investments (33%) – Set up the team for long term success (e.g. logging pipelines, reports, etc.)
Big Bets (33%) – Start exploring the problem space, see what pays off, and start to form a longer-term strategy
Typically, after 2-3 quarters a team has gotten some traction in the area and has started to figure out what works. This is where they enter the growth phase, where they typically really focus in on iterative experiments and driving impact. The growth stage lasts many quarters or years and this stage embodies what a stereotypical Growth team looks like.
