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PublishedSeptember 27, 2026 at 08:15 PM
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version: "1.0.0" name: metrics-design description: Playbook for designing product metrics — North Star, leading vs lagging KPIs, event instrumentation, success thresholds, and the vanity-metric traps. Used by metrics-architect. when_to_use: | Use when defining what success looks like before a build, designing instrumentation, or sanity-checking a metrics plan. Primarily for metrics-architect. allowed-tools: Read, Write


Metrics Design — playbook

Metrics designed AFTER the build are too late. Metrics that cannot drop are vanity. The goal: ONE North Star, a few leading and lagging KPIs around it, and an instrumentation spec engineering can implement without ambiguity.

1. The North Star — one number

The North Star is the SINGLE number that, if it improves, the strategy is working.

  • Tied to a strategy bet, not to vague "engagement".
  • Measurable in a defined unit and period (e.g., "weekly active payers").
  • Honest — it has an up direction AND a credible down direction. If it

cannot drop, it is vanity.

Examples by archetype:

  • B2B SaaS — weekly active accounts using a key feature.
  • Consumer app — 7-day retained users.
  • Marketplace — matched transactions per week.
  • Dev tool — weekly active projects.

2. Leading vs Lagging KPIs

Around the North Star, pick 2–3 of each:

Leading — predictors. They move FIRST. If they improve, the North Star will likely improve later.

  • Sign-ups, activation rate, onboarding completion, time-to-first-value.

Lagging — outcomes. They CONFIRM. They follow leading by days or weeks.

  • Retention cohort curves, revenue, NPS.

A KPI set with no leading indicators is rear-view-only. A KPI set with no lagging indicators is "we are doing things" without "are they working?"

3. A common frame: AARRR (Pirate Metrics)

  • Acquisition — how do users find us?
  • Activation — do they have the first valuable experience?
  • Retention — do they come back?
  • Referral — do they bring others?
  • Revenue — do they pay?

Useful for spotting metric gaps; not the only frame. Adopt or skip based on strategy.

4. Event / instrumentation spec

For every metric, engineers need to know:

  • Event name — signup_completed, feature_x_used — never "user_action".
  • Properties — user_id, plan_tier, source, timestamp, etc.
  • Trigger condition — exactly when it fires (server-side after DB write,

client-side on confirmation, etc.).

  • Idempotency / dedup — can the same event fire twice? If yes, how is

it deduplicated?

Ambiguous events produce useless data. Engineers cannot guess intent.

5. Success thresholds — set a number

A KPI without a threshold is a thermometer with no fever line.

  • Set a target: "weekly active accounts > 30% of paid accounts."
  • Set a floor: "retention day-7 not below 25%."
  • Numbers, dates, percentages — not "improve" or "increase."

6. Vanity-metric traps to avoid

  • Total counts without a denominator (total users, total events).
  • "Engagement" as a single number — mash-up of unrelated signals.
  • Pageviews for products that aren't ad-supported.
  • Sign-ups without activation — "we got 1000 sign-ups, 12 ever used it."
  • Any metric that cannot credibly drop.

7. Output shape

A metrics plan that shows: the North Star (with strategy-bet link), leading + lagging KPIs (with the logic), the event/instrumentation spec (exact names, properties, triggers, dedup), success thresholds (numbers), and baselines (or "no baseline — first measurement").

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