The metrics you are going look at depend on the STAGE you are at and the BUSINESS (ecom, SaaS, marketplace etc)
Acquisition Cost > visitors > freemium > enroll > User
Disengaged user > signed up and never use it > try to reactivate the disengaged users > churn > former users > Trial is over / not freemium
Engaged > trial > paying customers > capacity limit (upselling) > disengaged / dissatisfied > all things must end = former customers
All the 5 pieces are in their > AARRR (Acquisition, Activation, Retention, Revenue, Referral)
Each of these have a Metric...
- Customer Lifetime Value
- Support Data
- Viral Coefficient
- Reactivation Rate
- Paid Conversion
You need to have these for your business model - > If you have business model, this is a spreadsheet turned into a picture.
Eg: like a user story!
We assume we will have 50 customers a day, and off those 10 will become users, of those we'll have 3 will become customers .
If you don't have these - you don't have a business - it's a hobby.
Usually, business are not tracking the proper metrics, so you need to fix that fist.
- Draw your systems diagram (like above)
- Have your business plan with your assumptions
- Measure what reality is
- Figure out what is most unreal (plan/assumption) and fix it
- If you can't fix it you either have to change your business model or give up and go do something else