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What is a
North Star Metric?
Drive Your Company’s
Sustainable Growth
With A North Star Metric
The North Star Metric
What Is A North Star Metric?
The North Star Metric
The North Star Metric is a powerful concept that has
emerged in recent years from Silicon Valley
companies with breakout growth.
The North Star Metric
It helps teams move
beyond driving fleeting,
surface-level growth to
instead focus on
generating long-term
retained customer growth.
The North Star Metric
The North Star Metric is the single metric that best
captures the core value that your product delivers
to customers.
The North Star Metric
Optimizing your efforts to grow this metric is key to
driving sustainable growth across your full customer
base.
The North Star Metric
Finding your
company’s
North Star
Metric
What Is A North Star Metric?
The North Star Metric
Airbnb’s North Star Metric is nights booked.
This captures value delivered to both guests and hosts.
What Is A North Star Metric?
The North Star Metric
Facebook’s
NSM is Daily
Active Users.
With more users on the Facebook
platform the team is able to optimize
everyone’s feed to deliver more value to
users.
The North Star Metric
To uncover your North Star Metric, you must
understand the value your most loyal customers
get from using your product.
What Is A North Star Metric?
The North Star Metric
Then you should
try to quantify this
value in a single
metric.
What Is A North Star Metric?
The North Star Metric
There may be more than
one metric that works,
but try to boil it down to
a single NSM.
What Is A North Star Metric?
Focusing Your
Team with a
North Star Metric
The North Star Metric
What Is A North Star Metric?
The North Star Metric
When growth is broken down to actual value
delivered to customers, it becomes clear that this is
not just a marketing responsibility.
What Is A North Star Metric?
The North Star Metric
Most teams within an organization play
some role in delivering value to customers.
But product & customer
support teams play a key
role in ensuring prospects
and customers experience
the core value of a
product.
Sales and marketing attract
new customers into the
funnel.
The North Star Metric
The North Star Metric
Coordinating these teams to work together on
growth initiatives can be challenging without a
metric that focuses them around a common goal.
What Is A North Star Metric?Using Your North Star
Metric to Drive Growth
The North Star Metric
The North Star Metric
Once you understand your North Star
Metric, it’s important to document
the variables that work together to
move this metric.
What Is A North Star Metric?
The North Star Metric
These variables include parts of the customer lifecycle
like signups, new user activations & improving
engagement/retention of users.
What Is A North Star Metric?
By understanding the relationship of
interdependent variables & your
current conversion rates, you’ll gain
insights into potential high leverage
opportunities for growing your NSM.
The North Star Metric

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What is a North Star Metric?

  • 1. What is a North Star Metric?
  • 2. Drive Your Company’s Sustainable Growth With A North Star Metric The North Star Metric
  • 3. What Is A North Star Metric? The North Star Metric The North Star Metric is a powerful concept that has emerged in recent years from Silicon Valley companies with breakout growth.
  • 4. The North Star Metric It helps teams move beyond driving fleeting, surface-level growth to instead focus on generating long-term retained customer growth.
  • 5. The North Star Metric The North Star Metric is the single metric that best captures the core value that your product delivers to customers.
  • 6. The North Star Metric Optimizing your efforts to grow this metric is key to driving sustainable growth across your full customer base.
  • 7. The North Star Metric Finding your company’s North Star Metric
  • 8. What Is A North Star Metric? The North Star Metric Airbnb’s North Star Metric is nights booked. This captures value delivered to both guests and hosts.
  • 9. What Is A North Star Metric? The North Star Metric Facebook’s NSM is Daily Active Users. With more users on the Facebook platform the team is able to optimize everyone’s feed to deliver more value to users.
  • 10. The North Star Metric To uncover your North Star Metric, you must understand the value your most loyal customers get from using your product.
  • 11. What Is A North Star Metric? The North Star Metric Then you should try to quantify this value in a single metric.
  • 12. What Is A North Star Metric? The North Star Metric There may be more than one metric that works, but try to boil it down to a single NSM.
  • 13. What Is A North Star Metric? Focusing Your Team with a North Star Metric The North Star Metric
  • 14. What Is A North Star Metric? The North Star Metric When growth is broken down to actual value delivered to customers, it becomes clear that this is not just a marketing responsibility.
  • 15. What Is A North Star Metric? The North Star Metric Most teams within an organization play some role in delivering value to customers.
  • 16. But product & customer support teams play a key role in ensuring prospects and customers experience the core value of a product. Sales and marketing attract new customers into the funnel. The North Star Metric
  • 17. The North Star Metric Coordinating these teams to work together on growth initiatives can be challenging without a metric that focuses them around a common goal.
  • 18. What Is A North Star Metric?Using Your North Star Metric to Drive Growth The North Star Metric
  • 19. The North Star Metric Once you understand your North Star Metric, it’s important to document the variables that work together to move this metric.
  • 20. What Is A North Star Metric? The North Star Metric These variables include parts of the customer lifecycle like signups, new user activations & improving engagement/retention of users.
  • 21. What Is A North Star Metric? By understanding the relationship of interdependent variables & your current conversion rates, you’ll gain insights into potential high leverage opportunities for growing your NSM. The North Star Metric