What are the key Product Growth metrics you need to track?
Every organisation has plans to grow at a steady pace year-by-year. But, the need of the hour is to gradually move towards product based growth - how to create a successful product by focussing on not just the development of new product features but also on growing, engaging, and converting the active user base of the product.
As we all know, the AARRR framework is the base for any product’s growth. Keeping it in mind, following are the key product metrics to track the growth of your product -
1) App Uninstall
Churn should be closely monitored and prevented at any cost.
It's important to analyze push notification frequency regularly. The right number of notifications can boost engagement for your app, but too many of them can drive users to uninstall the app. This is one of the primary reasons of uninstall.
2) App Install
Keep a track of how many people you are acquiring daily/weekly/monthly and which sources are giving the majority installs.
3) Daily Active Users(DAU)
How many people are active on your platform on a day-to-day basis. A decrease in DAU means you need to analyze if something is amiss.
4) Monthly Active Users(MAU)
How many people are active on your platform monthly.
5) D1 Retention%
How many people are you retaining on Day 1 after the user installs your app? If your new users are not being retained on the first day, how are you going to retain them in the long term? This is an important question you need to ask yourself.
6) Conversions
How many orders are being placed in a month?
7) Conversions%
Converting more and more users is a sure-shot way to meet your revenue targets if you are providing value to the users through your products.
8) AOV(Average Order Value)
How much on average is being spent by a user per order? Increasing AOV should be your primary metric to be tracked.
It's important to evaluate metrics related to user acquisition, activation, conversion, churn, and retention on a regular basis to determine what all needs to be improved to help grow your product.
