Product Management Metrics

The most important Product Management metrics and KPIs. Learn about what metrics and KPIs are best for you, vote, and contribute your own.

Activation Rate

Activation Rate helps companies determine how quickly and effectively their new users are achieving perceived value. It measures the number of new users that have performed a predetermined “key action” within a set period of time, where the key action is assumed or known to deliver initial customer value.

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Average Server Response Time

Average Server Response Time is the average amount of time an application’s web server takes to return the results of a request to the user. It is affected by several factors including network bandwidth, number of users, and number and type of requests submitted.

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Customer Effort Score

Customer Effort Score (CES) is a measure of how easy or difficult it is for customers to interact with your company, for example, to make a purchase, to access a free trial, to resolve a problem, to navigate your website, or to get something done in your product. It’s measured by surveying customers after a specific interaction, and asking them to rate how easy or difficult it was to do what they wanted to do. Examples of difficult or high-effort interactions are ones that add friction for customers, for example, making them repeat information, interact with multiple people or screens, or wade through generic content to find information relevant to them.

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Customer Health Score

A Customer Health Score is a single, calculated number that reflects a customer’s health across multiple dimensions. By monitoring Customer Health Scores, you can detect early signals of increased friction or declining customer engagement. You can also identify highly engaged and loyal clients, who would make excellent advocates.

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DAU/MAU Ratio

DAU/MAU Ratio (Daily Active Users to Monthly Active Users ratio) measures how active monthly users are on a daily basis. In other words, this engagement metric measures the number of days in each month that users performed an activity that qualifies them as active users. A higher DAU/MAU Ratio generally indicates high stickiness, meaning users consistently return to the app.

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Daily Active Accounts

Daily Active Accounts measures the number of unique accounts with at least one user who has interacted with an application or platform in a day. An active account may include one or more users, who may each have varying degrees of activity.

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Daily Active Users

Daily Active Users are the number of unique users of an application or platform that have interacted with it in a day. This metric is used to track daily user engagement. Daily Active Users includes both new users and existing users who have interacted with the application.

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Gross Margin

Gross Margin is a profitability ratio that measures Gross Profit as a percentage of total revenue. Typically, it is calculated as Gross Profit divided by revenue.

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Gross Profit

Gross Profit is the amount left over from total revenues after Cost of Goods Sold (COGS) has been deducted. COGS will typically include the cost of making and selling the product or the cost of services provided by the company.

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Logo Churn

Logo Churn is the enemy of any subscription company. Logo Churn is the number or percentage of subscribers to a service that discontinue their subscription to that service in a given time period.

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Monthly Active Accounts

Monthly Active Accounts measures the number of unique accounts with at least one user who has interacted with an application or platform in a month. An active account may include one or more users, who may each have varying degrees of activity.

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Monthly Active Users

Monthly Active Users are the number of unique users of an application or platform that have interacted with it in a month. This metric is used to track monthly user engagement. Monthly Active Users includes both new users and existing users who have interacted with the application.

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