Activation Rate
Also called Activation
The share of new users who reach the point where they first experience the product's core value, the aha moment, rather than signing up and drifting away.
Why it matters
Activation is the bridge between acquisition and retention: users who never activate almost never stick. Improving it is often the highest-leverage fix for a leaky funnel, cheaper than buying more traffic.
For example
Of 1,000 people who sign up, 300 complete setup and send their first message, so the activation rate is 30 percent.
Go deeper
Related terms
Also in Starting Up
See how founders actually handle this on Money, pricing and metrics, part of the Starting Up hub.
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