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AARRR (Pirate Metrics)

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What is AARRR?

AARRR, also known as Pirate Metrics, is an acronym to remember the 5 core levers that can help a business to grow. The letters stand for Acquisition, Activation, Retention, Referral and Revenue.

Acquisition Finding new customersHow do customers find you?
ActivationMaking sure they like the productHow quickly do customers get to your “Aha-moment”?
RetentionKeeping customers happyWhat % of customers do you retain?
Why are you losing others?
ReferralGetting people to tell their friendsHow do you turn customers into advocates?
RevenueMaking moneyHow can you increase revenue?

Below we have included the original presentation from Dave McClure, founder of the venture capital firm 500 Startups and inventor of the Pirate Metrics (AARRR) framework.

Why use Pirate Metrics?

The Pirate Metrics framework gives you a simple yet comprehensive framework to understand and optimise the entire customer journey, helping you identify opportunities, measure the impact of your growth marketing efforts, and make data-driven decisions.

“Startup metrics for pirates: AARRR! Acquisition, Activation, Retention, Referral, Revenue. Focus, prioritise, and improve these 5 key metrics, and you will be successful in growing your business.”

Dave McCure

How can I use AARRR in my marketing?

Pirate metrics can be thought of as similar to the buyers journey in that it provides a lens through which to think about the customer journey and how people interact with your business.

Dave McClure, the founder of 500 Startups, first introduced the AARRR framework in his 2007 presentation, “Startup Metrics for Pirates”. You can view the slides here https://www.slideshare.net/dmc500hats/startup-metrics-for-pirates-long-version or download a pdf copy here.

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