The Science of Quality Growth
Business Growth is not about moving metrics using anecdotes and short-term tactics. A healthy and sustainable growth plan should go hand-in-hand with great products that ensure members continue to receive increasing value.
Measuring success
For Linkedin product, we have one primary success metric, which we call our “true-north metric.” ( NSM )
For a true-north metric like long-term engagement, we might relate it back to a desired outcome, such as “active members after six months.”
Design your true-north metric
At LinkedIn, we’ve invented a true-north metric called Quality Signup. Quality Signup tracks the number of new members who have taken steps to establish their identity and grow their network within their first week as a member.
For example, Facebook is known to track users who connect with 10 friends in seven days. Pinterest tracks Weekly Active Repinners. And Slack tracks teams who have sent 2,000 messages.
Step 1: Start with value propositions
creating a custom true-north metric is to understand how your product aligns with the value propositions your business provides.