The Pirate Metrics

 

AARRR stands for Acquisition, Activation, Retention, Referral and Revenue and is pretty much the bee’s knees when it comes to understanding your customers, their journey and optimising your funnel as well as setting some valuable and actionable metric goals for your startup.

Why AARRR?
AARRR is widely accepted as the five most important metrics for a startup to focus on. That is because these metrics effectively measure your company’s growth while at the same time being simple and actionable.

The five most important metrics to focus on

  1. Acquisition — “Where are users/customers coming from?”

  2. Activation — “How good is the user’s/customer’s first experience?”

  3. Retention — “How many of our customers are we retaining and why are we losing the others?”

  4. Referral — “How can we turn our customers into our advocates?”

  5. Revenue — “How can we increase revenue?”