Everyone wants to grow, but not everyone has a clear idea of where they’re going. At Minders, when we start working with a new team, we ask one key question:
What are you actually trying to optimize?
Here’s what we typically see: tons of dashboards, acquisition KPIs, and funnel metrics… but rarely is there a single metric that sets priorities and guides decisions.
That’s where a North Star Metric comes in.
Understanding the Concept
A North Star Metric (NSM) isn’t just another data point. It’s the one that best represents the core value your product delivers to users.
It’s not a snapshot—it’s a compass.
A good NSM connects three dimensions:
✅ The real value your users experience
✅ The product’s current strategy
✅ The long-term impact on the business
In other words, it reflects what your product does well, what users care about, and what your company needs to scale.
👉 For a more technical breakdown, check out this Amplitude guide on North Star Metrics.
Why Having One Clear Metric Matters
When clearly defined, a North Star Metric helps you:
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Prioritize initiatives with focus
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Align product, growth, marketing, and data teams
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Measure the impact of your strategy—not just operational output
Most importantly, it gives you a framework to decide what to do—and what not to do.
What Makes a Good Strategic Metric?
A solid NSM should meet three key criteria:
1. It’s Centered on User Value
It needs to reflect an action tied to the user’s “aha moment”—not just something easy to measure.
2. It Aligns With Strategy
It should represent where your product is headed. Not every metric fits.
3. It Predicts Future Impact
It must be a leading indicator. Metrics like revenue or churn are important, but they show up too late.
Real-World Examples
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Facebook (early days): “Users who add 7 friends in their first 10 days”
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Mobile-first eCommerce: “Mobile orders delivered without incidents”
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Self-serve SaaS: “Accounts with 3+ active users in the first week”
Should You Have More Than One?
Generally speaking, no.
A North Star Metric is a strategic decision. If you have more than one, chances are you’re juggling multiple strategies—or struggling with focus.
In larger companies, it’s okay for different product lines or business units to have separate guiding metrics. But each team should rally around just one.
💡 Tip: Pair your main metric with supporting inputs—secondary KPIs that help you measure progress and are more directly influenceable by the team.
How to Choose the Right One
Start by understanding the kind of “game” your product plays:
🔹 The Attention Game
Are you trying to maximize time spent in the product?
🔹 The Transaction Game
Is success measured by purchases or conversions?
🔹 The Productivity Game
Does your product help users do something better or faster?
Each model has different signals. That’s why not every metric fits every business model. Choose one that truly predicts long-term impact—not just what sounds nice.
Why the Right Metric Changes the Game
Because what isn’t measured well, can’t be optimized effectively.
Without a clear guiding metric:
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Teams chase what’s easiest to move—not what matters
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The user’s value gets lost
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Strategy loses focus over time
On the flip side, a good NSM shifts company culture. It encourages thinking in terms of impact, not just output.
We Help You Define Yours
At Minders, we work with our clients to discover, validate, and implement their guiding metric—not as a vanity KPI, but as a living system that drives real decisions.
Because when you know where you’re going, everything else becomes easier to measure—and to achieve.
Reach out. Some decisions shouldn’t be made in the dark.
