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AARRR Framework

Dave McClure's AARRR framework provides a high-level overview of important metrics. We then use tactics such as event tracking to instrument those metrics.

The AARRR framework is:

  • Acquisition
  • Activation
  • Retention
  • Revenue
  • Referral

For an early stage product, we work to improve them in this order:

  1. Activation: visitor finds the product desirable enough to try, is able to use it and get to aha moment in shortest time possible
  2. Retention: user regularly uses product, it is doing the job they hired it for, customer is happy
  3. Revenue: user pays for product
  4. Acquisition: we know where our users come from, are able to try new channels, run tests, and kill or double-down on different channels
  5. Referral: users refer other users, the ideal acquisition channel
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