Top 50 Impact Metrics for Early Stage Startups
Using Ai to optimize for impact in 2023 — by Zecca Lehn
We asked GPTchat: “What are the top 50 social impact metrics that startups can easily track, and that add value to revenue focus and growth?” to gain more insight into how startups can utilize metrics to drive greater impact. From there, we used Perplexity.ai to provide sources around each of the 50 impact metrics, using the same Q “How to efficiently measure X for early stage startups?”.
1. Number of individuals or communities impacted
Health disparities cannot be measured in individuals, but rather in groups of people who have experienced greater social or economic obstacles to health based on their racial or ethnic identity[1]. There are several methods that can be used to measure health disparities[2][3], such as summary measures, pair-wise comparisons, and other measures of disparity. Additionally, strategies to measure and track progress toward health equity have emerged[3].
2. Reduction in carbon footprint
Startups can measure and track progress toward reducing their carbon footprint by first conducting an in-depth assessment of their current carbon output levels[1]. This can be done by breaking down their emissions sources and collecting data on quantities[1]. Additionally, there are start-ups that offer services to help companies measure, reduce, and offset their emissions[2]. Finally, startups should focus on one dimension first — the potential to reduce greenhouse gas emissions — when measuring climate performance potential[3].
3. Increase in energy efficiency
Startups can measure increases in energy efficiency by exploring the “entrepreneurship gap” in the energy field[1], using real-time data analytics to optimize energy supply and reduce peak electricity demand[2], and modeling and evaluating various implementation scenarios to make energy efficiency projects more attractive to investors[3].
4. Access to clean water
Startups can measure access to clean water by making their staff aware of the importance of clean water and sanitation[1], using a start-up such as Waterplan to monitor and manage their water usage[2], and working together with other organizations to improve access to clean water worldwide[3].
5. Reduction in poverty
Startups can measure and track progress toward poverty reduction by following the ILO’s approach to poverty reduction through small enterprise development[1], monitoring progress on the MDGs as suggested by the Asian Development Bank[2], and using guidelines for the development of poverty reduction strategies and PRSPs provided by the IMF[3].
6. Increase in education and literacy rates
It is difficult to measure the increase in education and literacy rates for startups as this is a complex issue that requires more than just technological solutions. Startups can help by providing educational resources and tools[1][2], but measuring the impact of these initiatives is challenging[3].
7. Increase in employment and income levels
Measuring the increase in employment and income levels for startups is difficult as it requires data from multiple sources and a comprehensive understanding of the startup’s operations. Startups can be evaluated based on their job creation rate[1], relationship between startup success and job growth rates[2], and job creation, growth, and survival among the universe of startups in the US[3]. However, these metrics do not necessarily reflect an increase in employment or income levels.
8. Improvement in public health
Strategies to address health equity and methods for measuring progress vary widely[1], and the metrics used to measure progress may not necessarily reflect an increase in health equity. Common metrics used by startups include revenue, user growth, engagement, churn, customer acquisition costs, lifetime value, and Net Promoter Score (NPS)[2]. Additionally, organizations should collect relevant data on sociodemographic factors to better understand the impact of their efforts[3].
9. Increase in access to basic services such as healthcare and sanitation
Organizations should focus on developing strategies to improve access to these services in low-resource settings[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, big data can be used to analyze and manage data related to healthcare[3], which may help organizations better understand the impact of their efforts.
10. Reduction in crime rates
Organizations should focus on developing strategies to reduce crime in their communities[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, startups should be aware of the risks associated with their business and take steps to mitigate them[3].
11. Increase in civic engagement and participation
Organizations should focus on developing strategies to increase civic engagement in their communities[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, startups should be aware of the different approaches to civic engagement and take steps to ensure they are engaging citizens effectively[3].
12. Increase in access to financial services
Organizations should focus on developing strategies to increase access to financial services in their communities[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, startups should be aware of the different approaches to providing financial services and take steps to ensure they are providing them effectively[3].
13. Increase in access to technology and the internet
Organizations should focus on developing strategies to increase access to technology and the internet in their communities[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, startups should be aware of the different approaches to providing access to technology and the internet and take steps to ensure they are providing them effectively[3].
14. Reduction in gender inequality
Organizations should focus on developing strategies to increase access to technology and the internet in their communities[1], and use data and research to monitor the impacts of their efforts[2]. Additionally, startups should take steps to ensure they are providing equal opportunities for women in the tech sector[2] and consider investing in female-led start-ups[3] to help close the gender gap.
15. Increase in social inclusion and diversity
Early stage startups should not only measure and track progress toward social inclusion and diversity, but also actively work to create an inclusive environment. Strategies for doing so include setting goals and measuring progress[1], acknowledging individual emotions and experiences[2], and understanding why diversity is important[3].
16. Improvement in environmental quality
Early stage startups can measure improvement in environmental quality by analyzing the relationship between quality management and economic growth[1], assessing the benefits of a given improvement in environmental quality[2], and understanding the implications of institutional quality and financial development on sustainable economic development[3]. Additionally, they can consider producing in a more labor-intensive fashion rather than a lower level of production to achieve an improvement in environmental quality[4].
17. Increase in access to legal services
Measuring the “increase in access to legal services” for early stage startups can be done efficiently by tracking the number of startups that have received legal advice or assistance. This could include tracking the number of startups that have consulted with a lawyer, received legal advice, or had their contracts reviewed. Additionally, surveys and interviews with startup founders can provide valuable insights into how access to legal services has improved over time[1].
18. Increase in access to housing
Factors such as the number of startups that have received housing assistance, the amount of money invested in housing projects, and the impact of those investments on startup success would need to be taken into account[1][2][3]. Additionally, surveys and interviews with startup founders can provide valuable insights into how access to housing has improved over time.
19. Increase in access to transportation
Measuring the “increase in access to transportation” for early stage startups can be done efficiently by tracking metrics such as the number of trips taken, the average trip duration, and the total distance traveled. Additionally, surveys and interviews with customers can provide valuable insights into how access to transportation has improved. Other metrics such as customer satisfaction scores and customer retention rates can also be used to measure the impact of increased access to transportation.
20. Increase in access to nutritious food
Measuring the “increase in access to nutritious food” for early stage startups can be done efficiently by tracking metrics such as the number of meals served, the average cost per meal, and the variety of foods offered. Additionally, surveys and interviews with customers can provide valuable insights into how access to nutritious food has improved. Other metrics such as customer satisfaction scores and customer retention rates can also be used to measure the impact of increased access to nutritious food[1].
21. Increase in community resilience
Measuring “increase in community resilience” for early stage startups can be done efficiently by collecting actionable intelligence and meaningful data from the community[1]. This data can then be used to assess the community’s resilience to different water-related challenges, such as urban drought[2].
22. Reduction in corruption
To measure the “reduction in corruption” for early stage startups, one could use industry-level growth to calculate the proportion of firm revenues extracted by government officials as bribes[1]. Additionally, one could measure the impact of regulations and corruption on firm entry[2], or use a measure of corruption based on ICRG and BI indexes[3]. Finally, one could look at the reduction in corruption equivalent to two points in Mauro’s estimates[3] or a reduction in corruption of 0.8 of a standard deviation as suggested by Harvard University[4].
23. Increase in transparency and accountability
Transparency and accountability are not measurable in terms of efficiency, but rather in terms of effectiveness. To measure the increase in transparency and accountability for early stage startups, one could look at testimonies from government officials[1], reports from companies[2], or annual reports from legislatures[3].
24. Increase in political stability
Political stability is not measurable in terms of efficiency, but rather in terms of effectiveness. To measure the increase in political stability for early stage startups, one could look at research papers[1], journal articles[2], or academic reports[3].
25. Increase in economic stability
To efficiently measure an increase in economic stability for early stage startups, one should consider factors such as investment choices in 18-hour cities[1], the impact of technical solutions on energy efficiency[3], and the economic stability of socially disadvantaged and veteran farmers[4]. Additionally, researchers can explore new thoughts to assess the impact of increased economic stability on members[5].
26. Increase in access to justice
To efficiently measure an “increase in access to justice” for early stage startups, one could look at the impact of regulatory reform proposals on access to virtual justice[1], the effects of technological efficiencies on access to justice[2], and the potential of litigation finance to increase access to justice[3]. Additionally, it is important to consider whether any increase in access for some is offset by a decrease in access for others[4].
27. Increase in freedom of expression
The phrase “increase in freedom of expression” implies that there was a lack of freedom of expression prior to the early stage startups, which is not necessarily true. Therefore, it would be difficult to measure an increase in freedom of expression for early stage startups without first establishing a baseline for existing levels of freedom of expression.
28. Increase in press freedom
To efficiently measure an “increase in press freedom” for early stage startups, organizations should track the number of press freedom violations over time[1][2][3]. Additionally, they should look for evidence of increased access to information and resources, such as the release of political prisoners and improved reliability and continuity of systems[4].
29. Increase in access to information
To efficiently measure an increase in access to information for early stage startups, benchmarking best practices can be used to compare the business to its competition and provide insight into how it stands[1]. Additionally, the Wideband InterNetworking Engineering Test (WINTEST) can be used to measure functionality and produce a significant increase in access to information[2]. Price transparency and access to information can also be increased by leveraging the SEC’s S-1 filing requirements[3], while nonprofit organizations can benefit from books on marketing that address the challenges and opportunities presented by an Internet-fueled increase in access to information[4]. Finally, essays on macroeconomics and labor markets can help identify job qualities early on in a new job, as well as reduce the necessity for physical job searches due to an increase in access to information about potential jobs[5].
30. Increase in access to quality healthcare
Measuring the “increase in access to quality healthcare” for early stage startups can be done efficiently by collecting data on the number of people who have access to healthcare services, the quality of those services, and the cost of those services. This data can then be compared over time to measure any changes in access to quality healthcare for early stage startups Additionally, surveys and interviews with stakeholders can provide qualitative insights into how access to quality healthcare has changed.
31. Increase in access to mental health services
A systematic review of the literature on telemedicine use can be used to measure an increase in access to mental health services for early stage startups[1]. Additionally, creating an increase in access to mental health services and supports for students in need, as well as promoting better mental health, can also be used to measure this increase[2].
32. Increase in access to affordable and appropriate technology
To efficiently measure the “increase in access to affordable and appropriate technology” for early stage startups, CEOs should look at return on digital investments[1], build an MVP the market wants[2], validate the app with early adopters[2], iterate to meet product-market fit[2], build a skilled and unified founding team[2], include salaries and related costs like benefits, office space, and computers in their startup budget[3], and monitor cash flow to stay lean from day one[4]. Growth is essential for a successful startup[5].
33. Increase in access to vocational training and skills development
To efficiently measure “increase in access to vocational training and skills development” for early stage startups, one could use the GSA (Gathering Structured Assessment) process[1], which gathers innovation-related data from TVET institutions using an evidence-based assessment of the institution’s capabilities. Additionally, surveys or existing data can be used to measure innovation in education[2], while measures such as increased participation and access to training, developing a training culture, and improving productivity for small businesses[3] can be used to assess the needs of small businesses. Finally, measuring entrepreneurs’ growth is possible but hindered by a lack of comparable measures[4].
34. Increase in access to higher education
To efficiently measure the “increase in access to higher education” for early stage startups, one should consider the social rate of return on higher education R&D[1], the impact of equity promotion policies[2], and the increased pass rates and employability scores on eCampus[3]. Positive social outcomes for both individuals and society should also be taken into account[4][5].
35. Increase in access to credit
To efficiently measure an increase in access to credit for early stage startups, one can look at the effects of increased access on start-up formation in the MENA region[1], annual GDP per capita growth[2], cost of credit and increase in access to credit under a system of optional Federal chartering for non-bank lenders[3], additionality measures increase in access to credit and improved lending[4], and the effect of a 1% increase in access to credit on firm growth[5].
36. Increase in access to markets
To efficiently measure “increase in access to markets” for early stage startups, a four-step methodology based on the IMPACT Framework can be used[1]. This approach looks at factors such as access to markets, trainings, financial assets, business infrastructure and non-financial support[2][3][4][5]. Additionally, assessing applicable legislation and understanding the commitments of political parties in parliament can help provide further insight into the impact of increased access to markets[5].
37. Increase in access to business development services
To efficiently measure “increase in access to business development services” for early stage startups, one should look at the key performance metrics (KPIs) of the product to determine if it is a market fit[1]. Additionally, tracking the growth of the startup ecosystem over time can help policymakers make decisions[2]. Other ways to measure growth in a startup include looking at financial statements[3], estimating market size[4], and analyzing customer feedback[5].
38. Increase in access to market information
Measuring the “increase in access to market information” for early stage startups can be done efficiently by studying the determinants of growth in small and medium enterprises[1]. This study looks at the power on efficiency in production of goods and growth of SMEs, which can be used to measure the increase in access to market information[1].
39. Increase in access to networking opportunities
Measuring the “increase in access to networking opportunities” for early stage startups can be done in a variety of ways[1]. It is important to have clear metrics with which to track the growth of the startup ecosystem over time[2]. Entrepreneurs should take advantage of both in-person and virtual networking opportunities[3], and evaluate their startup potential by asking key questions such as what is the founding team’s background and how did they come together to work on this specific idea[4]. Startups can also benefit from accelerators, which provide a playbook from past startups and make connections to investors[5].
40. Increase in access to training and capacity building
To efficiently measure the “increase in access to training and capacity building” for early stage startups, organizations should leverage guided learning[1], align and link capability building to business performance[2], and measure long-term impact effectively[3]. Villgro’s IMMpact Training Program is an example of a program that provides impact measurement training for early-stage enterprises[4]. Additionally, research suggests that a set of characteristics drive new venture growth, which can be used to measure success[5].
41. Increase in access to legal and regulatory support
To efficiently measure the “increase in access to legal and regulatory support” for early stage startups, state and local policymakers should repeal regulatory barriers[1], improve rule of law and democracy through legal reforms[2], provide support beyond capital[3], understand the market realities and common challenges of healthcare startups[4], and build an advisory board with expertise in areas such as hiring, regulatory affairs, or industry knowledge[5].
42. Increase in access to investment capital
To efficiently measure the “increase in access to investment capital” for early stage startups, tracking early-stage funding rounds can be used to evaluate the ease of access to funding[1]. Equity dilution should also be taken into account, as it is determined by the amount of outside investment raised[2]. Investors often ask questions about the scope for scale and key growth drivers of the business[3], which can help determine if there is an increase in access to investment capital.
43. Increase in access to technology transfer
Measuring the “increase in access to technology transfer” for early stage startups can be done efficiently by tracking the number of startups that have adopted new technologies, the rate of adoption, and the impact of those technologies on their operations. Additionally, surveys and interviews with startup founders can provide valuable insights into how technology transfer has impacted their businesses.
44. Increase in access to policy and advocacy support
Governments can provide grants to early stage startups as a policy instrument to increase access to policy and advocacy support[1]. Measuring the effectiveness of such policies can be done through a respondent-centric approach, which takes into account the perception of value from the recipients[2]. Other transactional instruments such as R&D grants and tax incentives can also be used to nurture high growth start-ups[3]. A technology policy framework for online services should also be developed in order to regulate tech and increase access to policy and advocacy support for early stage startups[4]. Finally, federal policies should be implemented in response to declining entrepreneurship in order to increase economic productivity[5].
45. Increase in access to strategic planning and management support
To efficiently measure the “increase in access to strategic planning and management support” for early stage startups, it is important to first identify the target market and fill as many of the quadrants of the compass as possible with strategic options[1]. Then, create an action plan that lists the metrics to be tracked[2], such as performance measures and progress towards goals[3]. Finally, track these metrics regularly to assess success[2].
46. Increase in access to business model innovation support
Measuring the “increase in access to business model innovation support” for early stage startups can be done efficiently by tracking the number of startups that have received such support. This can be done through surveys, interviews, or other data collection methods. Additionally, tracking the success rate of those startups that have received such support can provide an indication of how effective the support has been.
47. Increase in access to impact measurement and management support
Early stage startups can efficiently measure an increase in access to impact measurement and management support by first listening to stakeholders, creating a theory of change, keeping the measurement light and inexpensive, worrying about bias, and introducing topics on the general background of impact measurement[1][2][3]. Additionally, setting reporting expectations with key impact metrics is important for investors[4].
48. Increase in access to mentoring and coaching
A mentorship or coaching program for early stage startups can be efficiently measured by tracking the performance of the startup before and after the program is implemented[1][2]. Additionally, feedback from both mentor and mentee should be embraced to assess the success of the program[3]. Establishing a mentorship program at a tech startup can also encourage employee growth and development[4], while mentors can provide advice on planning and execution to benefit the startup[5].
49. Increase in access to incubation and acceleration services
To efficiently measure the “increase in access to incubation and acceleration services” for early stage startups, a feasibility study should be conducted to determine the project’s market, financial base, and potential long-term impact[1][2]. Additionally, applicants should have a clear vision/mission statement and polished pitch deck/executive summary ready[3]. Finally, corporate incubators should consider investing in startups within their focus area and define additional activities that could help increase access to services[4][5].
50. Increase in access to exit and succession planning support
Measuring the “increase in access to exit and succession planning support” for early stage startups can be done efficiently by tracking the number of startups that have received such support. This can be done through surveys, interviews, or other data collection methods. Additionally, tracking the number of successful exits and succession plans achieved by these startups can provide a more comprehensive measure of success.
We also asked GPTchat: “What is the common theme across all of the above metrics?”
The common theme across all of the above metrics is that they all relate to the improvement of various aspects of people’s lives and the communities they live in. These metrics focus on increasing access to resources and services, as well as reducing negative social and environmental impacts. They measure the impact of a startup on individuals, communities, and society as a whole, highlighting the company’s positive contributions to social and environmental issues.
Disclaimer: All rights reserved by posi2ive 2023. No advice given above for any purposes. Some responses were edited for accuracy and relevance. If in doubt, do your own research.
