02 Mar

What are Pirate Metrics? AARRR

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In this blog post, we understand what they are and when it is best to deploy them


Even for those who have taken every business class imaginable, starting up a company is not a simple task. 

It takes a lot of attention to small details that run along with essential strategies that allow for company expansion. 

Start-ups and companies of all sizes fail all of the time in our modern world, but those in the know understand that success can be predicted if you know the right method. 

Pirate Metrics has proven time and time again to work for businesses of all sizes. 


What are Pirate Metrics?

When starting your own business, you will ultimately run into a lot of metrics that are meant to help you determine how valid your business truly is and if it will ultimately be a success. 

Not all metrics are equal, but time and time again, five specific metrics stand out in the crowd. 

These five metrics are known as Pirate Metrics and are highly regarded as the main framework for how any business should begin in order to gain true insight into its success. 



Essentially, this is how you intend on enabling future customers to find your business. 

Acquisition channels are routes that you will focus your attention on in order to gain clients. 

This can be anything from social media, events, organic search, direct outreach, partnerships and many more.

Basically how your acquisition metrics measure up will determine how successful your initial customer base will be. 

Remember, this doesn’t need to be expensive or delivered at scale, but being consistent in the right channels will get you noticed by your ideal customer.



This is where you have the opportunity to not merely reach your customers, but get them excited about what you are selling. 

The acquisition phase draws the customer in, but in order to achieve the activation part, you must have something that makes that customer stick around. 

This is where you provide your customer with something to hold onto. 

Previous customer testimonials featured on your site, trial options, upgrades for investing in premium plans, and even customer service all play a role in activation. 

Look at what adds value to your prospective customers and devise a few ways to deliver that value through your website, social profiles or mailing lists.

Whatever the channel, ensure you can measure the engagement and activities.



Your overall sales are the third part of the Pirate Metrics that you need to consider. 

Once you have provided the customer something to get excited about, provided your sales processes are clear and regularly optimised, they should go on to purchase your product or service, driving sales. 

Keeping track of how much money is coming into the business is easy, but also explore why customers are buying and how they are becoming customers.

Converting from a free trial/give-away? Longer-term negotiations? Immediate purchase through an advert etc.



Does your business have a lot of one-time customers, or do your customers come back on a regular basis to purchase more? 

Customer retention is an essential tool for success.

Regular subscriptions to specific products or services offered are a great way to ensure customer retention, provided the customer feels valued and appreciated. 

One-off customers might be great for some companies, but the vast majority want to invest in customer retention by offering top rated services and products to their clients.

Loyalty programs, regular communication and education, exceptional account management, email marketing, and other methods add value to customer retention

Net Promoter Scores, Customer Satisfaction Measurements, and Customer Lifetime Value metrics help you track your retention success. 



How often is your client base referring others to your business?

Referrals are amongst the most important metrics because people love to talk.

Additionally, referrals are even more important due to the way people communicate. 

For example, if a person has a bad experience at a restaurant, they are likely to leave a bad review or even shame it on social media. The fallout from this can reach far more customers. 

However, a good customer experience has the likelihood of being presented to about 3 people. 

Customers tend to be less likely to praise a business on social media sites, but they will sometimes offer a good review

One way to ensure your customers want to refer you to others by offering an incentive to do so. Customer referral programs are remarkably effective.


Pirate metrics are vital to your business’s success.

They are an essential framework that can help a start-up business grow to new heights, as well as helping you keep an eye on where your customers are coming from, what they are buying, how often they are buying it, and who they are referring to your company. 


If it moves, measure it!


Need to understand how to measure these in your own business?

Get in touch today and we will walk through your options.

Written by Ben Bennett

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