Accelerating Growth with the Flywheel Metrics Worksheet

Accelerating Growth with the Flywheel Metrics Worksheet

Watch below to see how we increase Activation and Retention to generate more Referrals and Revenue for cheaper Acquisition costs

Creating a “Flywheel Effect” is the secret to growing product revenue FAST.

To go from linear to exponential growth, you’ve got to accelerate beyond just getting more signups.

Flywheel Growth creates a holistic product experience that attracts your ideal customers, helps them in a more meaningful way, and turns them into fanatics who spread your product like wildfire.

It’s much more than just getting more sign-ups — it’s about fully activating the ones you already have, retaining them with transformative value, and incentivizing them to refer other signups which reduces your Acquisition Cost and feeds the flywheel, accelerating growth further.

Use the metrics in this worksheet to diagnose problems, brainstorm opportunities, and A/B test hypotheses to increase revenue growth.

Instructions for a Quarterly Planning Process

Every quarter, run through these steps based on your Vital Signs and Target Rates you’ve set.

Before investing in building more product features, know your numbers and then create a portfolio of big bets (riskier but huge potential) and small bets (low hanging fruit that’s known to win) to attack your targets every 3 months.

Monitor your Vital Signs as you A/B test your Bet Portfolio of work and then watch your growth chart go up-and-to-the-right.

  1. Set your baseline metrics with a recent snapshot in time and mark the measurement for each metric in the tables below.
  2. Define “Active” as whatever the minimum value your product provides that makes it sticky with your ideal customers.
  3. Include a per-unit breakdown of the total cost of the product — this includes marketing costs, engineering labor, support, etc.
  4. Set new target rates based on your baseline metrics in step 1
  5. Track these metrics on a real-time dashboard like Google Data Studio or Databox
  6. Create a "project portfolio" of big and small bets to hit your targets
  7. Deploy and A/B test your project portfolio
  8. Monitor your metrics, diagnose, hypothesize, and iterate quarter over quarter ♾️

Want help with your project portfolio? Book a brainstorm call with Todd to deep dive into your metrics.

Vital Signs

Daily Active Users (DAU)
Monthly Active Users (MAU)
Cost to Acquire a Customer (CAC)
Customer Lifetime Value (LTV)
Cost of Goods Sold (COGS)
Average Revenue Per User (ARPU)

Target Rates

Sign-up Rate
Conversion Rate
Activation Rate
Churn Rate
Growth Rate
Referral Rate