Growth Marketing Case Study #5: New Relic
The development of a simple and intuitive interface that allows teams to be created seamlessly and communicate immediately helped more people hit the ground running.
From their start in 2008 until now, they’ve managed to gain 15,400 clients (as of 2020) and monitor over 1 million websites and 1 billion (with a b) apps.
Solve a Problem: The basic rule of entrepreneurship is to solve a need, and New Relic knew that they would have to create something great for a ent community.
Early traction can almost all be traced by the quality of their product and its usefulness, making their focus on providing an excellent tool worthwhile.
Create Salespeople: Early marketing efforts were heavily focused on not only selling to large development firms but specifically Ruby on Rails programmers.
This approach was different in the sense that New Relic went after people instead of agencies, leading to popularity among those who would actually use their product.
Give It Away: A freemium model would give skittish developers a chance to view their program’s analytics, enticing them to upgrade to paid.
New Relic’s marketing was simple, convince prospects to sign up and deploy to get a t-shirt and let the product do the rest.
Spending Money: In addition to shirts, the company is spending money on social ads and traffic at a high rate to gain relevant traffic. The brand is also employing multiple tools and SaaS products to gather the data they need to grow even faster.
Addictive Personality: With the product just being so dang valuable, their customers actually get dependent on the insights gained from it.
This need for the data has led to an almost unheard of negative churn rate (meaning their customers spend more year over year). (more…)