Metrics That Matter

When This Skill Activates

• Choosing which metrics to track
• Instrumenting product analytics
• Creating dashboards
• Defining success criteria

Core Frameworks

1. North Star Metric

The ONE metric that best captures the core value you deliver to customers

• Measures value delivery (not vanity)
• Leading indicator of revenue
• Captures product vision
• Actionable by team

• Airbnb: Nights booked
• Facebook: Daily active users
• Slack: Messages sent
• Amplitude: Weekly learning users (in Spotify)

2. AARRR Framework

• Acquisition: How users find you
• Activation: First value experience
• Retention: Users coming back
• Revenue: Monetization
• Referral: Viral growth

Action Templates

Template: Metrics Dashboard

# Metrics Dashboard: [Product/Feature]

## North Star Metric
**Metric:** [name]
**Current:** [value]
**Target:** [goal]
**Why this metric:** [captures core value]

## Supporting Metrics

### Acquisition
- Signups: [X per day]
- Channels: [breakdown]
- Cost per acquisition: [$X]

### Activation
- Activation rate: [X]%
- Time to first value: [X minutes]

### Retention
- Day 1: [X]%
- Day 7: [X]%
- Day 30: [X]%

### Revenue
- ARPU: [$X]
- LTV: [$X]
- Conversion rate: [X]%

### Referral
- K-factor: [X]
- Referral rate: [X]%

## Leading vs Lagging
**Leading (predict future):**
- [Metric that predicts outcome]

**Lagging (measure past):**
- [Metric that measures result]

Quick Reference

📊 Metrics Checklist

• North Star defined
• AARRR covered
• Leading indicators identified
• Vanity metrics avoided

• Tracking instrumented
• Dashboard created
• Goals set
• Review cadence established

Key Quotes

"The best metrics measure value delivery, not just activity."

"If you can't measure it, you can't improve it."