AARRR Definition

AARRR (Aquisition, Activation, Retention, Revenue and Referral) is a group of KPI useful for tracking product success

AARRR is the pirate metric! It was set out by Dave McClure - check out the original slide deck that outlines the model.

AARRR stands for:

  • Aquisition - gaining new users
  • Activation - users signing up or activating their account, obtaining their first value
  • Retention - users continue to use the service
  • Referral - delighted users spread the word
  • Revenue - users create value for your company

Tracking this broad range of metrics is helpful for new startups and established products for identifying where problems may exist. Tracking a series of metrics like this lends itself to a funnel - you’ll always have more users at the top than the bottom. Metabase is a great way of easily creating funnel visualisations.

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