Product Metrics can easily be referred to as the quantitative data that a business can track to gauge the success or failure of it’s product. There are several metrics used to track different products and these may differ based on the industry; e.g the metric for a B2B SaaS company would vary significantly from that of an E-Commerce company.

Types of Metrics

• Pirate Metrics(AARRR):

  • Acquisition: This is when a user signs up for a product
  • Activation: This is when a user first completes a set of defined actions
  • Retention: This is when a user makes use of a product frequently
  • Revenue: This refers to how the product makes profit
  • Referral: The channels users use to tell others about the product

• HEART Metrics: This describes a user’s experience while using the product

  • Happiness
  • Engagement
  • Adoption
  • Retention
  • Task Success

• Business Metrics: This refers to the primary product metrics that a company would track

  • Monthly Recurring Revenue (MRR)
  • Annual Recurring Revenue (ARR)
  • Customer Lifetime Value (CLTV)
  • Customer Acquisition Cost (CAC)
  • Churn Rate

Relevant Resources:

• Picking the Right Product Metrics to Track and Optimize
• Product Metrics
• UX Metrics Using HEART
• AARRR Pirate Metrics Framework
• Startup Metrics for Pirates: AARRR! - Dave McClure
• These Are the Metrics Great Product Managers Track