Guide:
How to use pirate metrics to increase conversion, retention & LTV
The AARRR framework (also known as Pirate Metrics) provides you with a five-step roadmap to acquire, activate and retain customers, motivate them to refer your business and therefore increase your revenue.
Read in our pirate metrics guide:
- How to gain awareness for your company and product and acquire new leads
- How to activate and convert customers with the right incentives
- How to keep your customers loyal and happy and optimize your customer lifetime value
- How to use your happy customers as brand ambassadors
- How to create new revenue streams and optimize your pricing
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What to expect
What are the pirate metrics?
The AARR-framework is a set of five trackable metrics that identify user behavior for successful product-led growth businesses: Acquisition/Awareness, Activation, Retention, Referral, Revenue.
The AARRR framework is lovingly named “pirate metrics” due to the acronym’s similarity to the pirate utterance “AARH”. It acts as a helpful map to increase revenue by optimizing the customer and subscription journey along different touchpoints.
With our guide, we aim to explain the importance of each step of the AARRR framework and provide you with actionable best practices and use cases, so you have the right tools to optimize your subscription journey.
Discover subscription hacks
Make the entire subscription journey count
A smooth customer experience does not only matter when you want to acquire new customers. Even an easy and flexible cancellation process can have a big impact on your overall retention and revenue since a happy farewell can easily turn into a happy return.
Read in our guide, how to increase the possibility of engaging and re-engaging loyal customers and reducing churn.
Pricing & CLV optimization
Dig up new ways to increase your revenue
A healthy business makes sure that their customer acquisition costs (CAC) are always much lower than their customer lifetime value (CLV). The standard ratio or balance is 1:3 (CAC:CLV).
What you invest in the customer acquisition needs to make at least three times the revenue. This is especially important for subscription businesses. Since most use incentives such as discounts, free trials or freemiums, the first months/the first year is the most expensive.
CLV is only one aspect of successful revenue management. Read in our guide, how you can use smart pricing hacks, reduce churn, and identify crucial customer journey touchpoints that can make or break your retention.
Conquer your revenue goals
Download our pirate metrics guide to successfully implement the AARRR framework into your customer journeys and increase your customer lifetime value and revenue.