Product metrics - AARRR framework applied to five imaginary products
Five examples, illustrating how the AARRR framework can be applied to assess product metrics:
1. SaaS (Software as
a Service) - Project Management Tool
Acquisition:
- New User
Sign-ups: 1,200 new accounts created this month.
- Traffic Sources:
45% organic search, 30% PPC, 25% referrals.
Activation:
- Onboarding
Completion Rate: 70% of new users completed the onboarding process.
- First Project
Created: 900 users created their first project within a week of sign-up.
- Time to First
Code: 2 days on average.
Engagement:
- Daily Active
Users (DAU): 2,000 users log in daily.
- Task Creation
Rate: 150 tasks created per user per week.
Retention:
- Churn Rate: 5% of
users stopped using the tool this month.
- Monthly Active
Users (MAU): 15,000 users log in monthly.
Monetization:
- Monthly Recurring
Revenue (MRR): $50,000 from subscriptions.
- Upgrade Rate: 20%
of users upgraded from free to paid plans.
2. E-commerce -
Online Retail Store
Acquisition:
- New Customer
Registrations: 5,000 new customers created accounts this month.
- Traffic Sources:
40% social media, 35% email campaigns, 25% organic search.
Activation:
- First Purchase
Rate: 25% of new users made a purchase within the first week.
- Add to Cart Rate:
60% of visitors added items to their cart.
Engagement:
- Average Session
Duration: 10 minutes per visit.
- Product Page
Views: 8 product pages viewed per session.
Retention:
- Repeat Purchase
Rate: 40% of customers made a second purchase within three months.
- Email Open Rate:
25% of promotional emails were opened.
Monetization:
- Average Order
Value (AOV): $75 per order.
- Customer Lifetime
Value (CLTV): $300 per customer.
3. Mobile Gaming App
Acquisition:
- App Installs:
10,000 new installs this month.
- Referral Rate:
15% of users invited others to the app.
Activation:
- Tutorial
Completion Rate: 80% of new users completed the tutorial.
- First Game
Played: 70% of users played their first game within the first day.
Engagement:
- Daily Active
Users (DAU): 5,000 players log in daily.
- Average Session
Length: 25 minutes per gaming session.
Retention:
- Day 7 Retention:
30% of users still active seven days after install.
- Monthly Active
Users (MAU): 20,000 players log in monthly.
Monetization:
- In-App Purchase
Revenue: $15,000 this month.
- Average Revenue
Per User (ARPU): $1.50 per user.
4. Healthcare -
Telemedicine Platform
Acquisition:
- New Patient
Sign-ups: 1,500 new patients registered this month.
- Traffic Sources:
50% online ads, 30% referrals, 20% organic search.
Activation:
- First
Consultation Rate: 40% of new users booked their first consultation within a
week.
- Profile
Completion Rate: 75% of users completed their profile information.
Engagement:
- Daily Active
Users (DAU): 800 users log in daily.
- Consultation
Booking Rate: 2 consultations booked per user per month.
Retention:
- Repeat
Consultation Rate: 50% of users booked multiple consultations.
- Monthly Active
Users (MAU): 4,000 users log in monthly.
Monetization:
- Subscription
Revenue: $20,000 from subscription plans.
- Consultation
Fees: $10,000 from individual consultation fees.
5. Education - Online
Learning Platform
Acquisition:
- New Student
Enrollments: 3,000 new students signed up this month.
- Traffic Sources:
40% SEO, 35% PPC, 25% partnerships.
Activation:
- Course Enrollment
Rate: 60% of new users enrolled in their first course.
- Lesson Completion
Rate: 50% of new users completed the first lesson of a course.
Engagement:
- Daily Active
Users (DAU): 1,500 students log in daily.
- Course Completion
Rate: 30% of enrolled students completed courses.
Retention:
- Subscription
Renewal Rate: 70% of users renewed their subscriptions.
- Monthly Active
Users (MAU): 7,500 students log in monthly.
Monetization:
- Course Purchase
Revenue: $25,000 from course purchases.
- Average Revenue
Per Student (ARPS): $8.33 per student.
These examples demonstrate how the AARRR framework can be
tailored to different industries to measure and optimize user acquisition,
activation, engagement, retention, and monetization with specific sample data.
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