74% of marketing funnels do not make money – growth funnels

74% of marketing funnels do not make money – growth funnels


A survey of 3,167 growth hackers with a combined marketing annual spend of +$500m USD highlights why marketing funnels fail. – funnel growth hacking

01. Growth Hacking Funnels AAARRR Growth Funnel 1 - Growth Thinking - think, design, growth hack a design approaching to growth hacking

A new study by Growth Thinking found that 74% of growth marketing funnels do not make money – the Growth Funnel Performance Report analyzed 3,167 growth hackers and their growth marketing funnels.

Growth thinking author, Nader Sabry, analyzed 3,167 growth hackers’ growth marketing funnels who have designed, built, and managed a minimum of 3 funnels in the past 24 months and spend over $1,000 a month on their funnel.

Some of the key findings in the study are

  • 74% of funnels do not make money due lack of know-how and talent.
  • 91% of funnels are 50% less automated in product led growth funnel
  • 80% of funnels use 10 tools or fewer when comes to growth hacking funnel
  • 41% of funnels are in their 5th generation – growth funnel metrics
  • 57% of conversations are at a conversion rate of 1% or less.
  • 71% of optimization required in awareness yields 50% and fewer efforts

The Growth Funnel Performance Report covers vital aspects of growth funnels and their performance like funnel effectiveness, design, setup, capabilities, optimization, and the famous AAARRR pirate funnel framework and how they perform. Although most funnels underperform, No-code and Low-ode solutions improve conversions. This is driven by a wide variety of new integrations and new automation platforms.

The most effective funnels studied showed an average return of investment of 345%, driven by automation and integrations. Roughly 71% of those funnels studied use some form of automation, yet only 4% can harness +70% of the automation capabilities viable to them.

Alongside several of the challenges with funnels, talent and know-how are the top barriers. The talent pool in the growth hacking industry is scarce, with estimates of 1 million growth hackers needed by 2030, whereas, today, it is estimated around 10,000   

As stated by Nader Sabry, “Although talent is scarce, and growth systems are underdeveloped, the growth hacking industry is quickly emerging. Rising from its sketchy history, it is proving to be a viable discipline even for fortune 500s.” 

Learn more here Growth Funnel Performance Report