The AARRR metrics framework, also called pirate metrics or the AARRR funnel, is a set of metrics used to track and influence critical user behavior that can lead to business growth. The acronym stands for acquisition, activation, retention, referral, and revenue. Startups all around the world have been using this framework to learn whether they are on a growth track and what specific stages of the funnel need optimization. And investors watched those closely too. For many years, AARRR was the golden standard of metrics until someone proposed to flip the script. In this article.
You will learn
The AARRR framework was devised by investor and entrepreneur Dave McClure (founder of 500 Startups) out of necessity for a simple, universal solution that any company data startup can use to: Develop a model of customer behavior that leads to business growth. Improve marketing and development efforts by focusing on metrics that really matter. Naturally, the pirate association is just a coincidence, stemming from how the metrics are pronounced. It has nothing to do with running a startup like a pirate ship. The goal of using this metrics framework is to create a sustainable and scalable business by leaving all the vanity metrics behind and focusing on what makes a business grow. Therefore, the pirate metrics are not only for marketers. CEOs, entrepreneurs, product managers, and investors can use them too.
How does the AARRR
Metrics framework work? As I mentioned earlier, this framework is. Often referred to as a type of marketing funnel. Some of them are activated through. Experiencing the SWB Directory product, and only a percentage of those initial visitors will arrive at the revenue stage and become customers. As in any marketing funnel, the idea is to move people from the first stage to the last. Therefore, these stages become steps you need to take in order to make your business grow. Let’s illustrate that: Or, in other words, how to attract people to your business? How to make them find your message (or have your message find them) and visit your website or your app? And lastly, how to measure all that.