Micro SaaS Academy

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Measurement and Analytics

SaaS Metrics Fundamentals
MRR - Monthly Recurring Revenue
How much revenue your SaaS generate a month
ARR - Annual Recurring Revenue
ARR = MRR x 12
Customer Acquisition Cost - CAC
CAC =total $ spent on sales and marketing over a period / # of customer acquired within period
Customer Lifetime Value (CLV or LTV)
LTV = Customer Revenue x Customer Lifetime
Churn
Churn rate =(# of churned customers in a period / total # of customers to start period) x 100
Vital to know, you'll want to close the leaky bucket
It becomes more relevant as your app grows
Customer Tracking and Analytics
Recording Tools
These let you watch each individual session
Examples: Hotjar, Crazy Egg, Smartlook
Analytics Tools
Overall analytics for tracking items such as churn
Examples: Heap, Mixpanel
North Star Metric
For example, Facebook's 7 friends
Pick a metric that you think is reflective of your ideal new user
Create 5 email campaigns
Create 2 projects
Check their analytics each day in the first week
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