In order to ensure shared accountability for product-led growth metrics, start by defining the metrics that matter most within the 5 growth pillars: Acquisition, Activation, Revenue, Retention & Referral. Utilizing Inturact’s SaaS Actionable Metrics Framework can help you do this.
Once the team agrees that these are the metrics to concentrate on, and tracking on them is set up, determine the goals for each metric.
See Trevor explain the SaaS Actionable Metrics Framework in this video.
Here is a real-world dashboard example of a tracked actionable metrics funnel.
Something important to note is that we consider the Northstar metric a customer-driven metric, not something chosen by the executive team. This is usually a Retention metric that we discover drives the highest value customer. However, determining this metric requires time and data analysis.
Tracking Shared Team Accountability
In order to ensure shared accountability, agree which team has primary responsibility for growing each of the metrics: Sales, Marketing, Product, or Customer Success / Support. Once this is agreed upon, break this down even further and assign an “owner” on each team to each of the metrics. A scorecard is reviewed on a weekly meeting and the owner is responsible for filling out the metric number and determining if the metric is meeting its goals or not. If not, then the team discusses why and puts in place a strategic test to try to get it back on track.
On larger teams, these metrics are broken down into specific scorecards for each team. If a metric is not performing well consistently then it is brought to a leadership meeting to determine what actions can be done to help assist in bringing the metric up to par.
Determining The Hand Off
Who is responsible for the customer when they first engage? This primarily depends on the customer acquisition model and the related customer journey. This simply needs to be agreed upon as a team. This can be a challenge within a hybrid model where a customer can engage through a free trial account and a demo.
For this, we look at where the handoff to the sales rep occurs for a demo. If we concentrate on the customer lifecycle stages starting from a “Lead”, we model the handoff and assign responsibility to a customer that starts with a free trial and moves to a demo according to this flow:
However, no matter what your customer acquisition model is, we first recommend mapping out your customer lifecycle stages and try to align them. From there determine if you need any handoff points and the rules associated with them. At the end of the day, it will come down to the team agreeing on this and everyone working in the same flow.
Important Post-Acquisition Touch Points
Let’s take this conversation further into the product and talk about Activation.
Activation is the user onboarding, or customer onboarding, a process in which a company begins to experience your product. At InnerTrends we consider a user onboarded, or activated when they achieve the promise of your business for the first time.
So what is the promise of your business? Every business solves a problem and when a user realizes your product solves that problem for the first time we consider that delivering on the promise of your business. For example, Sarang Bhatt, Head of Customer Success at Wootric considers free trial customers to be activated when they have survey feedback flowing into their CX analytics dashboard.
So how do you map out the onboarding steps to getting to that promise?
Here is a link to our Activation Guide. Make a copy and follow along.
First, we like to create a checklist that includes all of the steps (no more than 10 ideally) that a new user should accomplish in order to be considered onboarded on your product. Take your time, no rush.
Next, we want to look at only the required steps within this checklist. If there are any supporting steps that are important but not required please move them to the side for now.
From here we breakdown our onboarding steps into 3 parts.
Primary Activation Metric
The final step of your checklist will be your single “Primary Activation Metric”. This should be the metric that considers your user as onboarded. You will want to make sure this metric represents the first time a user will experience the promise of your business. If this is not true, please rethink your checklist, you may be missing the mark on the final onboarding step.
Secondary Activation Metrics
All the required steps that lead up to the primary activation metric become your secondary activation metrics and the user onboarding steps.
Tertiary Activation Metrics
Any steps that were not required but important to the onboarding process should be added within your tertiary activation metrics.
What do you do with these metrics?
Track & Analyze the Metrics for Optimization
Now that you have your user onboarding process defined, you will want to set up tracking around these events so you can look for opportunities to optimize this process and help users experience the promise of your business more efficiently. Use a platform like Mixpanel, InnerTrends, or Amplitude for this.
Ask for Customer Feedback at Touchpoints to Learn What to Improve
Tracking funnel metrics will tell you just how many customers are moving closer to success and how many are not. To understand why though, you must ask your customers. When a user becomes onboarded why not ask them how the experience was? For example, trigger an email or in-app Customer Effort Score survey using a platform like Wootric.
Feedback at this first critical milestone will gauge sentiment and will give you insight into the behavioral metrics you are tracking. It’s extremely valuable to know how satisfied they were with the process or how much effort it took to complete your steps so you can continue to improve it!
User onboarding is just one area that is important to define but you will want to also continue the journey into Revenue, Retention, and Referral metrics.
User our free Actionable Metrics Canvas template to get your team fully aligned on the most important metrics for growing your business.
Create a friction-free customer journey. Monitor sentiment at critical touchpoints using Net Promoter Score, CSAT or Customer Effort Score metrics with Wootric.