KPI
Definition
A KPI (Key Performance Indicator) is a quantitative measure used to evaluate how well an individual, team, or product is achieving a defined objective.
Not every number is a KPI. A KPI is specifically tied to a goal. Revenue is a metric. Revenue growth rate vs. plan, for a team whose goal is growth, is a KPI.
Good KPIs are specific (a number you can actually track), aligned (connected to a goal or strategy), actionable (the team can influence it), and leading or lagging. A lagging KPI measures what already happened — revenue last month. A leading KPI predicts what will happen — trial sign-ups this week. The best dashboards include both.
KPIs differ from OKRs in a subtle but important way. OKRs describe ambition and measure whether you reached it. KPIs describe ongoing health monitoring — things you watch permanently, not just for one quarter. Churn rate is a KPI you always track. "Reduce churn from 8% to 5%" is an OKR Key Result.
Product teams commonly track a mix of acquisition KPIs (sign-ups, installs), activation KPIs (first core action taken), retention KPIs (day-7, day-30 return rates), and revenue KPIs (MRR, conversion). The hard work is deciding which few KPIs deserve consistent focus — and which numbers belong on a report no one reads.
KPI review sessions, sprint reviews, and planning meetings often happen at a whiteboard. BoardSnap reads those boards and produces a clean summary with the numbers and decisions captured as action items.
Examples
- Day-7 retention rate tracked weekly as a product health KPI
- Free-to-paid conversion rate monitored monthly
- Average time to first value action after signup
- Monthly active users as a leading indicator of revenue health
Related terms
Snap a kpi. Ship its actions.
BoardSnap turns any whiteboard — including this one — into a summary and action plan.