Lean Analytics: Use Data to Build a Better Startup Faster (Lean (O'Reilly))

Remember: the One Metric That Matters changes over time. When

Once you find your revenue “sweet spot,” aim about 10% lower to encourage growth of your user base.

Create a culture of accountability, and then reward those who step up and deliver.

Later, your discussions become more quantitative and more convergent, as you try to find the right solution for a problem.

One other thing you’ll notice about metrics is that they often come in pairs.

Describing a customer lifecycle in this way is a good method for understanding the key metrics that drive your business. This is where Lean Startup helps. You need to know which aspects of your business are too risky and then work to improve the metric that represents that risk.

“Only once we understand ‘why’ can we really look at ‘what’ and ‘how’.”

Treat your paying users as a separate customer base and track their behavior, churn, and revenue separately from your nonpaying ones.

A good metric is one that’s easy to understand at a glance. Don’t overwhelm people with a firehose of numbers. They’ll