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Growth Hacking

Getting Started With the Pirate Funnel (AAARRR)

In my previous post I talked all about the Pirate Funnel, and how it will help your start up. Now enough with the theory, time to apply the AAARRR-framework to your own business.

As a growth hacker you’ll put al your time and effort in finding the bottleneck of your company, because these are the most important for rapid growth. Filling in the Pirate Funnel will easily reveal your bottleneck. Let’s do it!

  1. Define the steps

So before you can fill in the AAARRR-framework, you have to define the steps. Take a look at your own business and write down the most important actions customers can take. This can be logging in, adding something to their basket, or simply adding a task.

Make these actions measurable. Then, make sure you got all the steps written down. Having a lot of steps is good, but limit it to ten maximum. This way, you won’t lose focus on the numbers that matter.

2. Fill in the AAARRR-steps

Ready for the confrontation? These numbers won’t lie. Find the right number for every step and write them down. You’ll find these numbers in Google Analytics, Adwords, Facebook Ads, …

If you can’t find the right number, you can make an estimate if you want to. Remember: progress > perfection.

Don’t forget to pick a timeframe for these numbers. This can be the last 30 days, but you can also write down last years numbers. Unless you made some big changes, like a new website, it is best to pick the biggest timeframe.

3. Find that bottleneck

This one’s pretty easy. Just look at the percentages of customers surviving a step.

Now find the lowest percentage. This is where most people gave up.

VoilĂ , your bottleneck!

4. What now?

You found the problem, well done. Now, find out why the customers disappear. Talk to the customers, send them a survey. The conversation with the customer is vital, as only they hold the key to solve the bottleneck.

Time to call a meeting: gather around and put your minds together. You have succesfully allocated the problem, now you can come up with a solution!