Metrics, Metrics Bogdan Rîpă, April 2015 bogdanripa@gmail.com

Structure 1.  Me talking about metrics (30’) 2. You working on your metrics (15’) 3. Us discussing your metrics (30’) 4. General Q&A (remaining)

Why measure?

Facebook AU (MAU)

WhatsApp MAU

WhatsApp acquisition WhatsApp

$19B / 469M MAU = $40.5/MAU Facebook

$54.6/share * 2.23B shares / 1.228B MAU = $99/MAU

More FB data (EOY 2014) Valuation

$78.45/share * 2.23B shares / 1.393B MAU = $125.6/MAU (up from $99 in Jan 2014)

Revenue $12.466B / 1.393B MAU = $8.95 / MAU / year

Funnels

Funnels (EverPix) Free Signups

Activated Accounts

Uploaded 1 photo

Paid subscribers

775

649 (84%)

422 (65%)

50 (11.7%)

6.5%

Funnels (online shop) ●  Have seen the ad / forum post / Facebook post / etc ●  Landed on your website ●  Added at least 1 product to cart ●  Have seen the checkout page ●  Checked out / paid ●  Returned for a 2nd purchase, 3rd, etc

o  Shared their shopping experience o  Left a product review o  Recommended to a friend

Funnels (Pirate Metrics)

VIRALITY FACTOR

Testing

Testing ●  Cohorts ●  A/B Testing ●  Landing pages

MAU, Churn, Retention

What are these? MAU = Monthly Active Users (DAU, YAU, etc) Churn = % of customers lost over a period of time Retention rate = 1 - Churn Average LifeTime of Customer = 1 / Churn

A basic chart Old customers (retained)

New customers (acquired)

Lost customers (churn)

# of customers

What tools to use? - analytics + -

Google Analytics Free Linked to adwards

Page-centric, Bad cohort Designed for websites / advertisers, not product ppl

MixPanel Easy Funnel creation Custom reports (JS based) Individual user tracking

Paid Reporting

KissMetrics Feature-wise, looks promising Expensive / limited free trial

Excel Because you know how to use it Automation, of course

What tools to use? - landing LaunchRock DIY - based on existing templates instapage.com unbounce.com

How about CSAT?

Would you recommend? On a scale of 0 to 10, how likely are you to

recommend our product to a friend or colleague?

NPS = (promoters - detractors) / total #(9,10) - #(0,6)

#(0,10) NPS =

NPS Examples

How about revenue?

Revenue jargon to watch ARPU = Average Revenue Per User Average LifeTime of Customer = 1 / Churn MRR, ARR - for recurrent businesses CAC = Customer acquisition cost LTV = ARPU * 1/Churn - Cost Of Serving (COGS)

Structure 1.  Me talking about metrics (30’) 2. You working on your metrics (15’) 3. Us discussing your metrics (30’) 4. General Q&A (remaining)

Now lets’ work on our funnels

Q&A