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How High-Performing Companies Use North Star Metrics In Practice

ConversionXL

How did Outreach grow in just a few years to 50,000 monthly active users , $10 million in new bookings, and net revenue retention (NRR) of more than 140%? By focusing intently on a single measurement, known as a north star metric. The north star metric defines success for the whole company and aligns teams on a growth trajectory.

Metrics 120
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Facebook Advertising / Marketing: Best Metrics, ROI, Business Value

Occam's Razor

FBe's recommendation was (paraphrasing a 35 min talk): Don't invent new metrics, use online versions of Reach and GRPs to measure success. Compute ROI: (cost of Facebook campaigns + salary of people running campaigns + agency creative costs) vs. profit from incremental product sales. Metrics are a problem.

Metrics 165
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Conversion: The Most Important Internet Metric of All (Revisited)

abovethecrowd.com

Over 13 years ago, in March of 2000, I wrote a blog post titled “ The Most Powerful Internet Metric of All. ” The key thesis was this: if an Internet company could obsess about only one metric, it should be conversion. As such, it is time to pound the table again – conversion is by far the most powerful Internet metric of all.

Metrics 93
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The Most Important Business KPIs. (Spoiler: Not Conversion Rate!)

Occam's Razor

We can all use head fake metrics to calling out useless activity metrics. [ Cost Per View. None of them are KPIs, most barely qualify to be a metric because of the profoundly questionable measurement behind them. ]. Conversion Rate obviously is a fine metric. Conversion Rate is a fine metric. This is great.

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Model Building from the Ground Up

ConversionXL

Throwing $300k at something that “feels right” could have huge opportunity costs. If you’re looking for how much money to invest in the mining location, net profit after one year may be a criterion. If you’d like to purchase the site, opportunity cost of investment may be the way to go. Labor requirements and costs?

.Net 69
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How to Segment A/B Test Results to Find Gold

ConversionXL

The more well-known your company becomes, the harder it gets to directly impact primary KPI’s at the aggregate level because the majority of customers who buy are going to do so irrespective of if your button color is red or blue. But ultimately whether this is worth it depends on the cost to do this. Image Source.

Chad 112
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Groupon's S-1: From Zero to Like? Billions in 30 Months ? AGILEVC

Agile VC

How They Make Money: Groupon keeps a share of the coupon value (typically 40-50%) as its net revenue (1). in net revenue and passes $0.58 2010 Net Income: -$389M (net loss) (2). Financial Snapshot: 2010 Revenue: $713M. Run Rate Revenue: $2.6B (Q1 2011 annualized). 2010 Gross Profit: $280M. to the merchant.