A growth hacker works with growth. It includes digital marketing; digital product development and other activities that may lead to growth. There is no recipe for success and testing is central in growth hacking. The best growth hackers are sought after in the labour market. At the same time, there is no guarantee that a growth hacker who has produced good results in a project can repeat the success of another company.
We have used the cost calculator for Smart Money.no and a basic salary of NOK 550 000 as a starting point. Besides compensation of employees, you have to count on costs related to: recruitment, training and possibly. churn costs (The person ends and you have to recruit a replacement). The table shows the costs of employing a growth hacker in the first year. During the table we discuss the points that are special for employing growth hacker.
See calculator used as basis for calculation * means that further explanation is available
Working time assumptions
- Number of days in work: 230 days
- Sickness absence or other absence: 10 days
- Number of hours per day of private tasks: 0,5 hours
- Number of days of extra work (paid): 0
Error-taking
It's hard to hire growth hackers because the development is going fast and it's hard to keep up to date. Misuses are expensive! According to management networks costs a miss-in-command from 700000 to 900000 kronerr. This includes notice time and costs associated with new recruitment and training processes.
Churn(person ends)
It's hard to keep on good growth hackers. If the company does not have a professional environment, the probability of your candidate ending up in the job will increase after a short time. If this happens, your built-in internal competence will disappear and you will have to start again. Then you have to start recruiting new growth hacker again and the cost of year 2 and 3 mirrors first year.
Recruitment costs
Recruitment of a new training costs from 90 000 – 150,000 kroner(source: Technical weekly). If you choose to perform the entire process yourself, it probably costs as much as possible and the risk of misemployment is significantly higher. You have to spend a lot of time on the process; you have to make job descriptions, attract candidates, coordinate interviews, give work tests, check references, personality tests and much more.
Wages and salaries
The level of wages and salaries of growth hackers is between 350 000 – 850 000 per year. The level of pay depends on the competence, experience and the results previously provided by the person. According to Google’s earlier HR Chief Laszlo Bock , and a study based on 85 years of research and recruitment data, the number of years of experience is a poor preacher of future success in a position. It may mean that the chance of successful employment is probably smaller if you go for a person with long experience!
Training
So we're going to calculate it. 50 000 kroner for training. We include time spent by other employees. Growth hacking includes many different professional disciplines and it is difficult to keep up to date on all themes. The best way to learn is to have a connection to a pulsating professional environment that people learn from each other every week. If you do not have a professional environment, you have to take a course, go to conferences and stay up to date in your leisure time. Conferences involve an expense, but also the employee being away from the job. According to Google's former HR manager, anyway most of the foreign exchange and training investments because they do not lead to change of behaviour!
Pension
Most young growth hackers are (dessir) not busy with retirement. It is imposed by a minimum of 2% and a maximum of 7%. So in our calculation, we've used 4%. Here you can read more about how good the pension scheme should be.
Insurance
In addition to the savings to pensions, there are a number of other insurances that may be involved. This is disability pension, spouse pension, child pension, group life (death and disability), accident insurance, health insurance, occupational accident insurance (obligatory), travel insurance All insurance is subject to employer's pension except for occupational accident insurance.
Welfare costs
Expenditure on Christmas tables, Christmas gifts, lunches, company parties, overtime food, newspapers, magazines, paid training, etc. It is provided that these costs are not taxed on an advantage and are not therefore charged with an employer’s charge.
Alternatives to permanent employees
INEVO is working on revolutionizing how companies work with digital marketing. INEVO recruits, develops and places Operating market assistants(OMA) out of enterprises. An OMA works with 1-2 companies in the same way as an employee, but they are connected, and followed up by a professional environment. An OMA may be that alternatives to permanent employees for enterprises that want predictability, security and continuity without employing.
Sources:
- Cost calculator, Smart money, 2020
- How much does it cost to recruit a new colleague?, Technical Weekend, 2013
- Swine animal with misarrays, Ledernett, 2018
- You learn most when you learn least, Harvard Business Review, 2019