What’s a KPI?
According to ProductPlan, a KPI, which stands for Key Performance Indicator, is “a quantitative metric that organizations use to track progress toward business goals. In plain English, it’s a way to measure the things that matter most.”
The Difference Between KPIs and OKRs
Before we dive into the 12 most important KPIs for product managers, we need to take a moment to address the difference between KPIs and OKRs.
The 12 Most Important KPIs For Product Managers
KPIs are used to track specific goals, which means that the KPIs that product managers use may be different than the ones used by leaders in marketing , sales , customer service , etc. Here are the key product management metrics and KPIs that you need to be aware of:
Business Performance KPIs
Business performance KPIs are often overlooked — they shouldn’t be. While these metrics aren’t always directly related to product management, they’re essential to your company as a whole and can be used to spot important business trends.
Product Usage KPIs
When you understand how customers use your product, you can make strategic decisions regarding functionality, new features, additional products, etc. Here are the main product usage KPIs you’ll want to track:
Product Development KPIs
Product Quality KPIs
Completing projects quickly is important. But only if the products you create are well-made and useful to your company’s target customers. With this in mind, make sure to track these two product quality KPIs at all times:
Don’t Rely Too Heavily on Product Manager KPIs
Product manager KPIs can be incredibly useful. But they can also be dangerous if you and your team alter your behaviors to meet them at all costs. Instead, take a big-picture approach to product management and use KPIs as tools, not the end all be all.
Boost Your Product Management Efforts
Effective product management will help your company increase profits and better satisfy its unique customer base. To boost your PM skills, keep in mind the most important KPIs for product managers that we mentioned in this article:
- Customer Count
- Net Promoter Score (NPS)
- Market Position
- Monthly Users
- Number of Sessions Per User
- Users Per Feature
- Time to X
- Delivery On Time
- Resource Availability
- Team Velocity
- Support Tickets + Escalations
- Testing
