A north star metric is the key measure of success for a product team.

It defines the relationship between client problems and revenue the business aims to generate.

It gives the team clarity and alignment on what needs to be optimized, it communicates the impact and progress to the rest of the company and it holds a product accountable to a particular outcome.

Most companies measure their product teams by how much they ship, when instead they should have an impact driven approach.

A good north star metric measures customer value, represents product strategy and is a leading indicator of revenue.

Facebook example: In its early days, Facebook chose “# users adding 7 friends in first 10 days” as their key metric.

A company may have 1-3 core product metrics, not more. Learn more on how to choose them here.

Credits: Dan Martell on Twitter

TO DO: Identify product’s north star metric to define relationship product has with business revenue.

Related

Migrate to a new domain without losing…

The last thing you’d want as a site owner is to lose the… 

  • 9

A free extension to add gifs to your email

Humans are visual creatures and spicing up one of the most… 

  • 10

Prosthetics that pick signals from…

Bionic arms such as the Hero Arm, by Open Bionics, are used… 

  • 9

Become the best designer you can be with…

If you’re solely interested in getting the best design… 

  • 9

Analysing Iris data set with Python

The Iris flower data is a data set introduced by the… 

  • 9

Sage advice for founders looking to get…

Traction means having a measurable set of customers that… 

  • 11

Melitta: The Queen of Caffeine

An office without a coffee machine is just a sad place to… 

  • 9

A comprehensive essay on PyTorch internals…

PyTorch is a Python-based machine learning library used for… 

  • 9

Stay humble, stay hungry

Perhaps, comfort zone is man’s biggest enemy. That, and… 

  • 10

Discover interesting things to explore and do

We curate authentic and awesome content. Sign up for our newsletter for your daily dose of inspiration !