The AARRR Growth Framework

aarrr framework - mukil ganesan

Acquisition
Where do you get your users from? (or) What’s the most successful channel through which you acquire users? What’s the channel with the minimum acquisition cost? The first stage is all about nailing these.

Activation
The ‘aha’ moment activates your newly acquired users. It’s a series of actions made by your users to understand the product completely. You’ll be able to zero-in on the path to awesomeness by studying the usage pattern of your users.

Retention
For SaaS businesses, user retention is a very crucial metric-growth highly depends on the number of users they retain. The team needs to go all out on keeping their users subscribed to their product.

Referral
Word-of-mouth & referrals work out well for all business. The challenge here is to turn your users into loyal advocates. All businesses implement a referral model to bring in more users. In most cases, incentives power these referrals. References are a way to increase your user base within a short span of time.

Revenue
How are we going to increase revenue? Improving your CAC-CLV is a sound strategy to grow your business and gradually maximize your revenue. You can also promote your other value-adds, upsell your users to higher plans, convert them to annual subscriptions, and do much more.

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