What is Growth? The 3-2-1 model explained

In this episode of Datadrivet, Joni Lindgren and Jasmin Yaya define Growth as a way of working, with a model they call 3-2-1. Growth is retention, monetization and acquisition, worked through behaviour analysis and fast testing by one cross-functional team.

The three are the areas growth work covers:

• Retention, keeping the customers you have.
• Monetization, turning usage into revenue.
• Acquisition, bringing new customers in.

The two are the working methods:

• Analysing user behaviour, so you act on what people do.
• High tempo testing, running experiments quickly rather than betting big on a single launch.

The one is the organisational piece. One cross-functional team drives growth together instead of handing pieces of it off to separate departments.

The three areas tell you where to look. The two methods tell you how to work. The one team setup lets analysis and testing happen instead of stalling between functions.

Pull any one of the three out and the others stop working.

Listen to the full episode of Datadrivet for the hosts’ walkthrough of the model. To see how your own growth numbers compare to others in your model, use the benchmark tool: https://benchmark.scilla.studio