A Basic Intro. to AARRR
Before we dive into Google Analytics, let us revise about AARRR.
AARRR (Acquisition, Activation, Retention, Referral, Revenue) is a framework developed by Dave McClure. It is basically a funnel gone through by your customer.
- In Acquisition, you get visitors to your site from various channels.
- In Activation, visitors convert into actual users with their first experience.
- In Retention, users come back to your site again.
- In Referral, users refer your site to their peers.
- In Revenue, your users pay you money to use your product.
AARRR aka Growth Funnel visualised, from http://blog.twoodo.com/288/best-intro-guide-to-saas-startup-metrics/product-sales-conversion-pirate-metrics-funnel/
As you can imagine, the amount of users going from the from the acquisition stage to the revenue stage get fewer and fewer. That is why they also call the AARRR framework the ‘Growth Funnel’.
In this post, we would be focusing on the first part: AAR, which would be enough for most sites that are fresh and new.
Jack Ma, the founder of Alibaba said “If I can be successful, 80% of the young people in the world can be successful.” In recent years, there is an increasing trend among young adults to start their own business. Unfortunately, according to the report of Forbes, things always go wrong — over 80% of startups failed. Here, we have chosen 2 reasons of startup failure and discuss it further. We hope potential entrepreneurs can understand what is or what is not real about startups.
You’ve got a great idea in mind. You and your co-founder just sit down and make a product roadmap. One of the critical questions you are very likely to go through is: what is the proper frontend-to-backend resource ratio?
Our MVP rule.
80% Frontend vs 20% Backend is our golden time investment ratio.
We love backend architecture. However, we’ve also worked with many clients and MVP products. Our learning is simple. You should spend 80% of your time on the frontend of your product, and here’s why:
Image owned by Techcrunch – http://techcrunch.com/2016/01/28/facebook-shutters-its-parse-developer-platform/
As Facebook announced it will be shutting down Parse by Jan28, 2017, thousands of developers would be thinking what to do with their Parse app. There are basically three approaches to handle the situation:
1. Migrate to another BaaS (such as Firebase, Kinvey, etc)
2. Migrate to the open source Parse server and self-hosted it on AWS/Google App Engine/Heroku
3. Migrate to a managed open source Parse Server services such as parse-hosting.com
So which one better suits me?