Business model scaling and growth hacking in digital entrepreneurship

Figures & data

Figure 1. Framing a call for action on experimenting with growth-hacking levers (strategies).

Figure 2. The dynamic business-modeling for scaling method (adapted from Cosenz & Noto, 2018).

Table 1. Model variables and parameter values.

Variable	Value	Unit of Measure	Source
Potential Users	280,000,000	People	U.S. Census Bureau
Advertising effect	175	Dollar per user	Safko (2012)
Transaction per account	4	Transaction per account per month	Computed through financial-report data
Average value of transaction	20	Dollar per transasction	Computed through financial-report data
Fee for transaction	2.9%	Dimensionless	PayPal website
Growth hacking adopter effect	Graphical function	Dimensionless	Estimated through simulation analysis
Growth hacking user effect	Graphical function	Dimensionless	Estimated through simulation analysis

Figure 3. Highlighting PayPal’s growth-hacking strategy through DBM for scaling.

Figure 4. Experimenting with growth-hacking strategies with alternative scenarios through PayPal’s DBM.

Figure 5. PayPal’s DBM for scaling.

Figure 6. Experimenting with business-model consistency with alternative scenarios through PayPal’s DBM for scaling.

Figure 7. Extended DBM for scaling applied to the case of PayPal.

Cosenz, F., & Noto, G. (2018). A dynamic business modelling approach to design and experiment new business venture strategies. Long Range Planning, 51(1), 127–140. https://doi.org/10.1016/j.lrp.2017.07.001

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Safko, L. (2012). Fusion marketing bible. McGraw-Hill Publishing.

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