The Market Has Spoken: Go Horizontal, Not Vertical

When I entered the venture world in 2012 and started learning the ropes, one of the lessons that was repeated heavily was the importance of vertical specificity. Namely that consumers were becoming more demanding, expected lower friction and better workflows, and vertical focus was the only way to service these behavioral shifts. From Andresseen-Horowitz partner […]

OfferUp – By Jeff Jordan

Newspapers used to earn much of their revenue from classified advertising. This abruptly came to an end in the early 2000’s, largely as a result of Craigslist: They captured users on the web before the newspapers had a chance to …

The ‘Oh, Shit!’ Moment When Growth Stops

Investors tend to value growth over everything else because a business can’t get big enough to break out if it isn’t growing. Of course, there are a number of key performance indicators for managing a business well and toward profitability — which we’ve written about here — but there are still stomach-churning moments where growth trajectory was interrupted. Sometimes it happens gradually, but in a surprising number of cases it happens suddenly: The business is growing one day, then it’s not growing the next. I’ve taken to calling these growth hiccups “Oh, shit!” moments for CEOs. So what do you do when the growth rocket judders? MORE
 

The ‘Oh, Shit!’ Moment When Growth Stops – by Jeff Jordan

Investors tend to value growth over everything else because a business can’t get big enough to break out if it isn’t growing. Of course, there are a number of key performance indicators for managing a business well and toward profitability -- which we’ve written about here -- but there are still stomach-churning moments where growth trajectory was interrupted. Sometimes it happens gradually, but in a surprising number of cases it happens suddenly: The business is growing one day, then it’s not growing the next. I’ve taken to calling these growth hiccups “Oh, shit!” moments for CEOs. So what do you do when the growth rocket judders? MORE

16 More Startup Metrics

A few weeks ago, we shared some key startup metrics (16 of them, to be exact) that help investors gauge the health of a business when investing in it. As one reader shared: “Drive with them, don’t just ‘report’ them”. So here are 16 more metrics — from TAM, ARPU, and sell-through rates to network effects, scale, NPS, cohort analysis, and more — that we think are important to add to the list. MORE
 

16 More Startup Metrics – by Jeff Jordan, Anu Hariharan, Frank Chen

A few weeks ago, we shared some key startup metrics (16 of them, to be exact) that help investors gauge the health of a business when investing in it. As one reader shared: “Drive with them, don’t just ‘report’ them”. So here are 16 more metrics -- from TAM, ARPU, and sell-through rates to network effects, scale, NPS, cohort analysis, and more -- that we think are important to add to the list. MORE

16 Startup Metrics

We have the privilege of meeting with thousands of entrepreneurs every year, and in the course of those discussions are presented with all kinds of numbers, measures, and metrics that illustrate the promise and health of a particular company. Sometimes, however, the metrics may not be the best gauge of what’s actually happening in the business, or people may use different definitions of the same metric in a way that makes it hard to understand the health of the business. So, while some of this may be obvious to many of you who live and breathe these metrics all day long, we compiled a list of the most common or confusing metrics. Where appropriate, we tried to add some notes on why investors focus on those metrics. Ultimately, though, good metrics aren’t about raising money from VCs — they’re about running the business in a way where you know how
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