Yes, the product manager (PM) serves as a bridge between the tech/developer teams, the business teams, and the designers. Then, as someone who bridges those fields, you should at the very least understand each team's challenges and objectives. When communicating with other teams and stakeholders, you are the team's representative. The North Star Metric, however, is similar in this regard. In addition, North Star Metric serves as the intermediary (again, I don't want to sound patriarchal). It need to be able to represent both the client or customer and the organisation.
- The amount of profit the business will realise from the products should be quantified using the North Star Metric.
- How much the users profit from our creation should be quantified by the North Star Metric.
- It must also be quantifiable, therefore it typically includes timely measurements (daily, monthly, or annual)
Therefore, before establishing the company's North Star, we should be aware of the issues that our users are facing and what our organisation can do to address those issues. Then, both parties would profit from it.
The quantity of reservations, for instance, would be the North Star Metric for AirBnB. Why? Since longer and more frequent reservations indicate that customers are happy with the products, this will boost business revenue. Take another example from Netflix. Their North Star Metric would be something like the platform's streaming times because greater streaming rates and longer streaming durations indicate that customers are satisfied with the company's product offerings. This increases the likelihood that a client would renew their Netflix subscription, which increases the amount of money Netflix will make.
Determining what would result in "happy customers" and would cause them to willingly choose our products are some guidelines for developing North Star Metric. Since going backwards is equivalent to working from the customer's problem to what the product delivers, we could definitely start there.
The amount of reservations is not AirBnB's North Star Metric; rather, it focuses on the customer experience. Due to the fact that their services also support tourism, they place a strong emphasis on client happiness in order to stay in business. However, if they're focusing on the customer experience, how do they assess their North Star Metric if happy customers mean sustainable business? In any case, I concur that emphasising the client experience would allow AirBnB more room to enhance their service. That has also given me more understanding of North Star Metric, which should be our guidance for making unrestricted changes to the products we create for our clients, provided such enhancements answer their problems and meet their needs as well as those of the business.