How do you define and track leading vs lagging indicators in product strategy?
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Paytm
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Abhijeet Das
Platinum PM
Platinum PM
ago
Lagging indicators = Outcome
To name a few -
- Revenue
- Market share
- NPS/ CSAT
- CAC
- Churn rate
- Retention rate
Leading indicators = Signals
To name a few -
- Acquisition rate
- Activation rate
- DAU/ WAU/ MAU
- Time to onboard
- Task completion time
While driving a product's success, it is important to look at the leading indicators, because they are quick to measure and hence can lead to faster course correction as and when required.
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