GM section: collate current metrics

Now that we’ve identified the key growth levers, the next step is to assess our current metrics. It'll help us craft strategies to achieve the goal. Based on the current metrics, you'll calculate the nuke scenario:

1. Identify the north star metric for your product

2. Build a mathematical growth equation to achieve the north star

3. Collate the current metrics and establish a nuke scenario

4. Calculate the incremental growth based on your growth model

5. Learn how to present your growth model in a structured manner

Collating current metrics

Collate the current metrics for all the levers mentioned in the growth model. Make sure you collate data on direct, and indirect levers to your NSM.

For eg: if your NSM is revenue, you need to collate data on the following metrics:

Current monthly new users

Visit to signup rate

Sign-up to trial rate

Trial to purchase rate

1st purchase to 2nd purchase rate

Retention rate - M3/M6/M12/M18/M24

Current definition of casual users

Current definition of core users

Current definition of power users

Activation metric definition

Retention metric definition

Monetizable user definition

Current frequency of casual users

Current frequency of core users

Current frequency of power users

Establish a nuke scenario

What will happen if we stop acquiring customers and only rely on retention? This is what we're going to figure out in this section:

To calculate the nuke scenario, you need to identify your current metrics and calculate the user base.

📊 Identify Current Metrics:

Current User Base: Total number of existing users.
Retention Rates: The percentage of users retained over specific time periods ( monthly)

🙋‍♀️ Calculate User Base:

Use retention rates to project the number of users who will remain active over future periods.
Example: If you have 10,000 users with a monthly retention rate of 80%, after one month, you would retain 8,000 users (10,000 * 0.80).

Here’s a template you can use to input your data and calculate users in M12 if there there is no acquisition of new users. Once you have this number, you will need adjust your goal aligned to your NSM accordingly.

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