Tracing metrics to business value

Metrics are useful only when they clearly connect to the value a product is meant to deliver. A strong success metric should point directly to goals such as improving retention, increasing revenue, or boosting engagement. If a metric cannot be linked to these outcomes, it risks being misleading or distracting.

This link creates focus. Product managers may see many possible signals of progress, but only a few should define success. Choosing too many or relying on indirect effects makes it harder to see whether work truly matters. Instead, teams should identify the main levers that a feature or initiative is expected to move.^[1]

Not every initiative will affect top-line metrics like revenue. Still, each should have a clear measure of impact. For example, a new onboarding survey might not raise revenue directly, but it can be successful if it increases the number of users who share feedback by 40 percent. The insights from those responses can then guide improvements that influence larger business outcomes.