Growth Loop: Bitly
How bitly built an entire business around a growth loop
Bitly, a URL shortening service we all know and love, is an excellent example of how a growth loop can lead to sustainable business growth. Bitly's growth loop is centered around the value it provides to its users, which is the ability to shorten and track links. The growth loop begins when a user creates a shortened link using Bitly. Bitly then provides the user with data on how many clicks the link received, as well as other useful metrics.
The value Bitly provides to its users drives the next step in the growth loop. Users who see the value in the data Bitly provides are more likely to create more shortened links and share them more frequently. This, in turn, creates more data for the user to analyze, leading to a continuous loop of data creation and analysis.
Bitly also implemented social proof into their growth loop by allowing users to see how many times a link was clicked. This social proof acts as a motivator for users to continue using Bitly, as it demonstrates the value their links are providing to others. It is commonly used as a way to track the effectiveness of a link and I have always found it useful for a very fast and dirty way of AB testing call to actions on links.
Bitly's growth loop is powered by the value it provides to its users, the social proof it generates, and the continuous creation and analysis of data. By continually improving the service, Bitly has been able to maintain a loyal user base while attracting new users through word of mouth and referrals.