Be a Data Hero and Drive Business Results

Be a data heroAnd drive business results

Hala saleh

2014 Hala Saleh | @HalaSaleh1 | 27Sprints 2

• Intro• Don’t Be a Data Puker• Metrics: The Good, The Bad, &

The Ugly• Lean Analytics & “The One Metric

That Matters”• Other Metrics Matter Too

Be A Data Hero!


What does progress look like?

Month1 Month2 Month3 Month4 Month50

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1076

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# Subscriptions


100% of us lie to ourselves


100% of us lie to ourselves

“We’re killing it!”“The market isn’t ready.”

“Our user base has increased100% We’re on a solid growth path.”

“We got 10K views this week. Conversion will be a breeze!”

“My Tweet got 13 Retweets. I NAILED it (and am a genius).”

“My FB status got 231 Likes. I am kind of a big deal.”


DON’T BE A DATA PUKER

Data


Data Reporting vs Data Analysis

By Avinash Kaushik, author of Web Analytics 2.0:


Data Puke

* From www.kaushik.net/avinash


Not-Data-Puke

* From www.kaushik.net/avinash


Break The Reporting LifecycleTypical reporting lifecycle:

Boss asks for specific metrics

You find out how to get the datasYou report the

requested metrics

Nothing happens


Break The Reporting LifecycleTypical reporting lifecycle:

Boss asks for specific metrics

You find out how to get the datasYou report the

requested metrics

Nothing happens

Break This!


Rebel! Ask Business Qs!

• Asking the right questions

provides context.

• Data analysis should lead to

Actions & Business Decisions.

• Exercise: In groups, list 3 to 5

good business qs.

REBELWITH A CAUSE

(Hint: Good Business Qs require analysis that leads to actions.)


METRICS: THE GOOD, THE BAD, & THE UGLY


Good Metrics1) Comparable:

“90% click-through rate”, or “Decreased click-through

rate”?

2) Understandable:

Ever heard “What the heck are search impressions?”

Mmhmm.

3) Ratios:

“Purchases per free account” & “Purchases per paid

account”, or “Purchases”?

AND


Good metrics (Cont’d)4) They

Changethe way

We

Behave


Bad metricsQuiz: So what are characteristics or examples of

‘bad metrics’?

Probably: Not comparable, not contextual, don’t

answer a specific business question, not

understandable by audience.

Definitely: Bad if they are the wrong

metric to track at the wrong time.


Ugly Metrics

Now you’re just being mean.

Stop calling people (and metrics)

names.


LEAN ANALYTICS & THE ONE METRIC THAT MATTERS


FAQ:

1. Do “lean analytics” qualify as “big

data”?

2. But I don’t work for a startup, is this

section for me?

3. Wait. What are “Lean Analytics”?

Lean Analytics


5 Things To Consider:

1. Qualitative vs. Quantitative Metrics

2. Vanity vs. Actionable Metrics

3. Exploratory vs. Reporting Metrics

4. Leading vs. Lagging Metrics

5. Correlated vs. Causal Metrics

Choosing the right metrics


• With a startup or a new product, FOCUS pays

off.

• Finding the One Metric That Matters (OMTM)

doesn’t mean ignoring other metrics and KPIs.

• It DOES mean identifying the ONE metric that

you focus on ABOVE ALL OTHERS for your

current stage & Business Model.

The One Metric That Matters


4 Good Reasons to Have an OMTM*:

1. It answers the most important question you

have

2. It forces clear goal-setting and thresholds

3. It focuses the entire company or team

4. It creates a culture of experimentation

Why Have an OMTM?

* From Lean Analytics: Use Data to Build a Better Startup Faster


Your business model and Stage inform the

metrics you should focus on & track.

Other Metrics Matter Too

Ex Business Models:

1- E-Commerce

2- SaaS

3- Free Mobile App

4- User-Generated

Content

Ex Business Stages:

1- Empathy (Awareness)

2- Stickiness

3- Virality

4- Revenue

5- Scale


CASE STUDIES (SOME EXAMPLES)

EXAMPLEEXAMPLE


Free Mobile AppMetrics to Focus On: Free Mobile Apps:

- Downloads (Includes App store Analytics)

- Customer Acquisition Cost

- Launch Rate

- % of Active Users

- % of Paying Users

- Avg. Revenue Per User

- Churn

- Virality


E-CommerceMetrics to Focus On: E-Commerce Businesses:

- Conversion Rate

- Purchases per time period

- Abandonment %

- Revenue Per Customer

- Top Search Terms

- Virality


SaaSMetrics to Focus On: SaaS Businesses:

- Acquisition + Retention

- Activation

- Stickiness

- Conversion

- Churn 0100200300400500600700800900

1076

231

567

819

# Subscriptions


1. Identify Data Puke & Understand “Good

Metrics”

2. Ask Business Questions

3. Shift From Reporting to Analysis

4. Find & Highlight Your OMTM

5. Figure out what other metrics to focus on

based on Business Model & Stage

Summary (Action Items):


Q & A?

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Hello my name is: Hala

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Data & Analytics

Be a Data Hero and Drive Business Results