Where do KPIs come from?
How do you set KPIs? How do you decide on what KPIs should be? Or, asked in my favorite way: where do KPIs come from?
These can be daunting, frustrating and frictious questions for product-centered teams to ask and answer together and with their leadership teams.
They’re also the wrong questions to be asking.
It’s has a weird “where do babies come from, mommy?” feel to it, which is not good. These aren’t ‘how to raise a kid’ questions, these are ‘how to run a successful, revenue generating business’ questions.
If this question causes headaches, nausea, difficulty falling asleep or staying asleep — something is wrong. Your body’s reaction is actually a highly refined evolutionary feature. Trust your gut and open the discussion up.
First things first, what is a KPI?
KPIs (Key Performance Indicators), put simply, are metrics used to measure success.
Every app is different. Like, very different. The value proposition, product market fit, and goals for users when engaging in an app vary wildly.
You likely (read: definitely) don’t need levels of utilization competing with Instagram, Medium, Spotify or Hulu to be successful and earn some serious cash from your product.
