Vanity metrics vs. real success metrics

Not all metrics reflect meaningful progress. Vanity metrics often look impressive but give little clarity on whether a product is succeeding. These can be raw counts like total downloads or total registered users. Such numbers may rise quickly, yet they do not show whether people actually find value in the product. They can create a false sense of success because they are easy to measure but lack long-term insight.

Actionable Metrics, on the other hand, are tied directly to decisions that improve product outcomes. They indicate whether users return, whether the business model is sustainable, and whether the product addresses ongoing needs. Examples include customer retention rate, recurring revenue, or daily active users. Unlike vanity metrics, actionable metrics are harder to influence with surface-level tactics, which makes them more reliable for guiding product strategy.^[1]

To practice, review a list of potential metrics and decide which are vanity and which are actionable. This distinction keeps teams focused on growth that drives lasting value, rather than chasing numbers that only look good on paper.^[2]