KPI (Key Performance Indicator)

A measurable indicator used to track progress toward a specific product or business objective.

When to use it

  • Defining success for initiatives and experiments.
  • Monitoring performance in weekly or monthly reviews.
  • Linking roadmap bets to business impact.

PM decision impact

Well-chosen KPIs improve prioritization quality and make tradeoff decisions easier across functions.

How to do it in 2026

Pick indicators tied to outcomes, not activity. Document baseline, target, timeframe, and owner for each KPI.

Example

KPI: week-1 activation. Baseline 31%, target 40%, owner Growth PM, review cadence weekly.

Common mistakes

  • Tracking too many metrics without clear decisions.
  • Choosing lagging metrics only and reacting too late.
  • Not segmenting KPI trends by user cohort.

Related terms

Learn it in CraftUp

Last updated: March 6, 2026