20 product management metrics every product manager should track

You are passionate about understanding your customers better. You gather feedback, sit in on sales calls, and comb through support requests. You strive to find out how well your product solves the problem it was designed to fix.

You crave even deeper insights too. How do customers use your product? You want to know right down to individual features and moments of friction that you can remove. Product management metrics are a set of tangible indicators of the health and performance of your product.

The right product metrics will help you understand your customers better and identify valuable opportunities for improving their experience. Product managers have access to all kinds of data, from company financials to product usage. There are hundreds of metrics that you might have access to — but just because you can track a metric does not mean you should.

You need to identify the key performance indicators (KPIs) that map to business and product goals. Tracking and analyzing progress towards KPIs can provide meaningful insights about how well you meet customer needs and deliver a Complete Product Experience (CPE).

The value comes when you can tie metrics to a greater meaning — discovering insights about what is needed to continue to grow. So when you read the list of metrics below, do not assume that you need to track each of these just because they show up in this list. Consider which metrics are most relevant to your goals and matter most to your business.

What are the most common product metrics?

Metrics will vary based on your strategic planning process, industry, company size, and product type. You should assign a success metric to each product goal that you are targeting and share these important indicators with the broader organization to demonstrate high-level progress.

You may also want to track more granular metrics to understand product performance and team momentum. Additional metrics may not be directly tied to goal achievement but can help you round out the story and identify areas of concern that you might need to address.

The most common product metrics can be grouped into the following categories:

  • Business metrics: Data about company performance.

  • Product metrics: Usage data that illuminates how users interact with your product or offering.

  • Customer satisfaction: Metrics that help you understand how happy customers are with their overall experience.

  • Roadmap progress: Data about how the product team is progressing against the plan.

The list below includes some of the most commonly tracked metrics by product managers of SaaS products. If these metrics do not fit your product or offering, use the suggestions as inspiration and identify others that will suit your needs better.

Business metrics

Every decision you make to build a better product has the capacity to benefit the business. In SaaS companies, you need to understand how the business attracts prospects and converts them to paying customers. You also want to see how well the product is retaining those subscription users. Consider tracking the following business and marketing metrics:

  • Annual recurring revenue (ARR): Annual value of recurring revenue from all customers, excluding one-time fees and variable fees.

  • Churn: Percentage of customers that you lose during a certain time period, typically calculated monthly and annually.

  • Conversion rate to trial account: Rate at which website visitors sign up for a free product trial.

  • Conversion rate to paid account: Rate at which trial users convert to a paid account.

  • Customer acquisition cost (CAC): Average cost to capture a new customer, segmented by channel (e.g., organic, paid ad, event).

  • Customer lifetime value (LTV): Average revenue from customers over the life of the relationship.

  • Monthly recurring revenue (MRR): Recurring revenue at the end of a given month, segmented by new customers vs. existing customers.

  • Website visitors: Number of unique and repeat visitors to your website each month.

Product metrics

Understanding how people are actually using your product is crucial for knowing which areas need attention. Depending on your product type, you will have different metrics at your disposal. Commonly tracked product metrics that show product health include:

  • Daily active users (DAU) or monthly active users (MAU): Number of customers who use your product on a daily or monthly basis.

  • Feature usage: Number or percentage of customers who use a certain feature or set of features.

  • Session length or sessions per user: How long a user typically uses your product or how often they use it in a given time frame.

Customer satisfaction metrics

There are few things as validating as hearing your customers rave about what you have built for them. If you want to achieve long-term success, you need to earn real love and loyalty from customers. Metrics that demonstrate customer love include:

  • Customer satisfaction score (CSAT): Customer survey that measures how satisfied customers are with your product or company.

  • Net promoter score (NPS): Customer survey that measures how likely customers are to recommend your product or company to others.

  • Referrals: Number of new customers that come as a referral from another happy customer.

  • Retention: Rate at which customers keep and renew their accounts.

  • Virality: Speed at which customers share and promote your product to others.

Roadmap progress metrics

Product managers need to evaluate work in progress so you can deliver on time. You might track the status of epics or feature sets as well as potential blockers that need to be addressed. Other team- and roadmap-related metrics include:

  • Features shipped: Number of new features shipped in a given month.

  • Sprint burndown: Rate at which work is completed and the amount of work that remains to be done.

  • Velocity: Rate of progress or average amount of work completed in a given sprint or time frame.

  • Work-in-progress: Current features and tasks that are actively being worked on.

How to use metrics to make better product decisions

The numbers alone cannot tell the full story. Once you start tracking metrics, you can begin to spot trends and look out for any spikes in the data. You then need to complement quantitative data with qualitative discovery at different parts of the customer journey.

For example, if trial-to-paid customer conversion rates are low, you cannot immediately assume that the product is unsuitable. You need to dig in to understand your customer journey. What is the pathway to becoming a paid user? You may also need to look more closely at particular features or even your pricing structure.

The table below includes a small sampling of questions to help spark your discovery. Of course, you will want to supplement with questions of your own.

Attracting and acquiring customers

  • How do people find out about our product?

  • Is each section of our website engaging/accurate?

  • Are we aligned internally on product positioning and messaging?

  • Is our trial signup process streamlined?

Converting to paid customers

  • Is it easy for trial users to convert to paid customers?

  • Are there specific product features that correlate with paid signups?

  • Where do trial signups fall off in their product usage?

  • How long does it take for trials to convert to paid accounts?

Product usage and customer retention

  • What are the most and least popular product features?

  • How long do users spend in our application?

  • How long does it take users to complete specific tasks?

  • Over time do customers expand their usage or add new users to their accounts?

Team efficiency

  • What is slowing down our release process?

  • Is our feature prioritization framework clear and easy to follow?

  • Has team velocity improved or worsened in the last 6 months?

  • How can we improve team or individual capacity?

The table above should give you a sense of the types of questions to ask when looking at spikes or dips in data. It is true that you need to closely watch the metrics that you collect, but do not fall into the trap of seeing the numbers as anything more than directional guidance. You need to explore the meaning behind the numbers.

You can ask questions like those above to your internal teams — but you should also speak directly to customers. Their observations can reveal truths that internal teams may not have uncovered. Consider gathering qualitative data from customers in the form of interviews, ideas portals, empathy sessions, and surveys — just to name a few methods.

Using quantitative and qualitative data in concert can be incredibly empowering — because you can get closer to the "why" behind product metrics and determine meaningful adjustments you can make in order to improve your product and your customer's experience.

Data alone will not help you delight customers or make them love you. Lovability is about knowing customers like family and having data. You need insight based on a real understanding of your customers' challenges and what kind of customer experience they would benefit from. — Lovability

No matter which metrics you choose to track in accordance with your product goals, the overall objective should be the same: Improve your product and deliver on the CPE. This requires that you zero in on the data that brings the greatest insights to the business about what is needed to continue to grow and perform.

Embracing a CPE mindset means thinking broadly about what you are creating. A purpose-built roadmapping tool like Aha! Roadmaps gives you that full picture. You can set product strategy, gather customer feedback, and report on roadmap progress — all in one place. Try Aha! Roadmaps for free for 30 days.

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