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Breaking into GTM

Our activation rate is 18 percent. Is that terrible, or is that just what it is?

It is below average but not alarming. Across 500 plus products the average activation rate sits around 34 percent and the median around 25, with SaaS a little higher, so 18 puts you in the bottom half with plenty of room. Before you panic, check that your milestone is set at a sensible point, because a lot of low numbers are measurement problems: if you defined activation as something that only happens in week three, you are measuring retention and calling it activation. The number that matters more than the benchmark is whether activated users retain roughly twice as well as non-activated ones. If they do not, your milestone is wrong and improving it will not help.

Go deeper

5 resources, 5 link-checked.

📄 Article
✓ Link checked Free Beginner

Benchmarks from 500 plus products: 34 percent average, 36 percent for SaaS. If you have ever wondered whether your number is bad or normal, this is the answer, and it is free.

What is a good activation rate

From Lenny's Newsletter by Lenny Rachitsky and Yuriy Timen 12 min read

  • Across 500+ products the average activation rate is 34 percent, the median 25 percent.
  • For SaaS specifically the average is 36 percent and the median 30 percent.
  • 60th percentile counts as a good activation rate, 80th percentile as great.
  • A real activation metric shows at least 2x better retention for users who hit it.
Open lennysnewsletter.com
📄 Article
✓ Link checked Free Advanced

Goes past the single aha metric to a three stage model (setup, aha, habit) with Apollo.io and Appcues case studies, plus the failure modes: no retention correlation, and changing the metric every quarter.

How to Measure Onboarding: Advanced Topics in Activation Metrics

From Product Growth by Aakash Gupta and Ramli John 25 min read

  • Break activation into three stages, Setup, Aha and Habit, instead of one 'X in Y days' metric.
  • Appcues lifted activation from under 2 percent to 25 percent by cutting onboarding into smaller steps.
  • At Appcues, users who talk to a human are 2 to 3 times more likely to activate sooner.
  • For one B2B company, Facebook and Instagram signups activated up to three times worse than organic.
Open news.aakashg.com
📄 Article
✓ Link checked Free Intermediate

A short, specific list of what to instrument on a self-serve funnel, including time to activation and time to convert, which are the two most people forget to track at all.

Top 10 Metrics to Measure Freemium and Free Trial Performance

From Amplitude by Carmen DeCouto 12 min read

  • Average day-seven activation is 6.8 percent, 5.1 percent in retail and 10 percent in manufacturing.
  • Amplitude's own freemium users tend to reach higher lifetime value than those who start paid.
  • For B2B products a weekly metrics check is a good starting cadence.
  • Track in-product calls to action to talk to sales as the bridge from PLG to sales.
Open amplitude.com

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The same ground, at another level

How activation and onboarding reads from a different seat.

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The same ground, over in Grow & market, our Starting Up track.

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