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5 Essential Startup Metrics

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An actionable metric is one that ties specific and repeatable actions to observed results. Split testing can produce the most actionable of all metrics because they explicitly refute or confirm a specific hypothesis. You can use split-tests (A/B) to take action on anything from minor copy tweaks to major changes in the product or its positioning.

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5 Essential Startup Metrics

  1. 1. Sales Metrics: CREATING A GROWTH ENGINE Actionable Metrics: MAKING BETTER DECISIONS Customer Metrics: BUILDING TRACTION Proof: BUSINESS MODEL Financial Metrics:: CASH FLOW An actionable metric is one that ties specific and repeatable actions to observed results. Split testing can produce the most actionable of all metrics because they explicitly refute or confirm a specific hypothesis. You can use split-tests (A/B) to take action on anything from minor copy tweaks to major changes in the product or its positioning. A Revenue Run Rate allow you to know how likely you are to hit your forecasts, captures directional trends, picks up patterns (e.g. seasonality), and can tease out potential problems with your pricing strategy. Venture investors invest in momentum, traction is your story of momentum. It's told through quantified evidence of market demand for your product. It shows a clear path to scale and new business acquisition. Proof of repeatable business and large market demand provable by data. You need a productized, not customized, offering customers are paying for. Money is at the heart of any business. Among the most important metrics is knowing your financial health. How much cash goes out the door every month is of critical importance and your gross margins measure your operating profitability. 5 rUv Startup MetricsEssential Labs

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