What metrics should I track in the early months?

Key early-stage metrics to track

Track metrics that reflect customer interest, product usage, and financial runway. Keep the list short and focus on metrics that inform decisions.

Essential metrics:

• Customer acquisition: leads, conversion rate, and cost per acquisition (CAC)
• Activation: number or percentage of users who reach a defined ‘aha’ moment
• Retention: weekly or monthly retention rate and churn
• Revenue: MRR (monthly recurring revenue) or total revenue and average revenue per user (ARPU)
• Cash: burn rate and runway in months

How to use them:

1. Set baseline numbers and weekly or monthly targets.
2. Segment metrics by channel to optimize marketing spend.
3. Use cohorts to see if users are improving over time or whether retention is declining.

Practical tracking tools

Simple dashboards using spreadsheets, Google Analytics, and basic product analytics (Mixpanel, Amplitude) are fine for early-stage startups. Automate data collection only when it reduces manual work.

Focus on drivers

Metrics are most useful when tied to actions: improving onboarding to raise activation, reducing friction to lower CAC, or raising prices to improve ARPU. Prioritize experiments that move one key metric at a time.