A north star metric is the single measure that best captures the core value your product delivers to customers, used to align the whole company around one priority. It is chosen because growing it reliably grows the business. A good north star reflects customer value, not just revenue.

A north star metric forces a decision most companies avoid: what is the one number that, if it grows, means we are genuinely winning? Its power is focus. Without one, teams optimize their own metrics and pull in different directions. The risk is choosing a vanity number, which then aligns everyone around the wrong goal. Choose one that reflects real customer value.

Example:

For a business where value comes from customers achieving outcomes, the north star might be the number of customers reaching a key result, not signups or revenue alone.

How do you choose a north star metric?

Pick the measure that best captures the core value customers get, such that growing it reliably grows the business. It should reflect value, not vanity.

Why have a north star metric?

It aligns the whole company around one priority, preventing teams from optimizing conflicting local metrics that pull in different directions.