Distinguishing metrics from KPIs and OKRs

Metrics, KPIs, and OKRs often appear together, but each plays a distinct role in product management. Metrics are the raw measures that describe activity or outcomes, such as the number of sign-ups, average session length, or bounce rate. They provide useful observations, but on their own, they may not signal success or failure.

KPIs, or key performance indicators, are a smaller set of metrics elevated because they connect directly to performance and business goals. For instance, while website traffic is a metric, conversion rate is a KPI because it shows how effectively traffic turns into meaningful outcomes. In other words, every KPI is a metric, but not every metric qualifies as a KPI.

OKRs operate at a higher level by pairing an objective with measurable key results. For example, a goal to increase engagement in a mobile app may include key results like boosting daily active users by 20 percent or extending average session time. Metrics and KPIs then serve as the evidence to track progress toward those results.^[1]