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HOW TO CHOOSE THE RIGHT METRICS
FOR YOUR STARTUP?
#TFWORKSHOP
1
TheFamily


code: lamifasisi
WIFIWIFI
DISAGREE ON TWITTER!
#TFWORKSHOP
#TFWORKSHOP
BALTHAZAR DE LAVERGNE
PARTNER @THEFAMILY
HOW TO CHOOSE THE RIGHT METRICS FOR YOUR
STARTUP?
METRICS
✓ Slack has 2M daily active users
✓ Deezer has 6.6M subscribers
✓ 240 people attending this workshop on meetup.com
VANITY VS BUSINESS
✓ #sessions, applicants etc.
✓ #transactions, active users etc.
COMMUNICATION
✓ Adapt depending on who you talk to
✓ What should you hide ?
GROWTH IS THE
METRIC
✓ DON’T GET DISTRACTED
✓ RUN AFTER IT
GROWTH FORMULA
✓ Compound growth
✓ (Week N / Week 1) ^ ( 1/N ) - 1
MEET THE
EXPONENTIAL
✓ 10 000 users
✓ One year at 7% WoW—> 337 000
✓ Two years —> 11 373 991
YOU WANT THAT ?
✓ What you measure gets better
✓ So focus on one metric
✓ WoW, MoM ?
WHAT METRIC SHOULD
YOU CHOOSE ?
FIGURE OUT WHAT
YOU AIM FOR
BEFORE P/M FIT
✓ Conversion rate, emails, pre-orders, …
AFTER P/M FIT
✓ DAU, MRR, #of transactions …
ORGANISE YOUR
METRICS
✓ Choose the most downstream metric
✓ Create your funnel
ECOMMERCE
✓ Point of contact (CTR)
✓ Visitor (Bounce rate)
✓ User (Conversion rate)
✓ Buyer (Conversion rate)
✓ Customer (Referral, Repeat)
:APP
✓ Point of contact
✓ Download
✓ Activation
✓ Buyer
✓ Ambassador
SAAS
✓ Point of contact
✓ Demo / Trial
✓ Converted User
✓ UpSell
FOCUS ON
TRANSFORMATIVE
IMPACT
✓ Especially in the beginning
✓ No incremental
✓ No A/B test
AARRR
✓ A simple framework
✓ Don’t be fooled by the order
ACQUISITION
✓ It’s a growth problem
✓ Anything should be considered
✓ Organise your days
ACTIVATION
✓ You NEED that
✓ % of conversion
✓ Focus on value & experience
RETENTION
✓ Find the Ahah moment
✓ Use a cohort
✓ Focus on the important features
REFERRAL
✓ Word of Mouth, Incentive
✓ Virality: K factor. K = i * c
✓ K > 1
REVENUE
✓ Every good company makes money
✓ MRR, ARR …
FOCUS ON RETENTION
BUSINESS METRICS
UNIT ECONOMICS
CAC
LTV
PAID VS FREE
ACQUISITION
✓ Margin ?
✓ Time needed ?
✓ Segmenting ?
✓ Scale ?
GOOD METRICS ?
✓ CTR
✓ Email opening rate
✓ Landing page conversion rate
✓ Retention (Before/After P/M Fit)
✓ Growth
✓ #of users
SEE YOU SOON!


LOVE.
THEFAMILY.CO

___

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"How to choose the right metrics for your startup?" by Balthazar de Lavergne