A Business Metric is a quantifiable measure that is used to track and

assess the status of a specific business process.

It's important to note that business metrics should be employed to

address key audiences surrounding a business, such as investors,
customers, and different types of employees, such as executives and
middle managers.

Every area of business has specific performance metrics that should be

monitored :
– marketers track marketing and social media metrics, such as campaign
and program statistics
- sales teams monitor sales performance metrics such as new opportunities
and leads
- executives look at big picture financial metrics.
To be effective, business metrics should be compared to established
benchmarks or business objectives.
This provides valuable context for the values used in the metric and allows
business users to better act on the information they are viewing. For
instance, $20M sales in Q4 sounds like an impressive figure; however, if
you're Boeing Aircraft, this figure would have you contemplating filing for
bankruptcy.

Context allows business metrics to make an impact. In fact, this is where

the line between key performance indicators and performance metrics are
different . The difference between the two ultimately comes down this:
1) Business metrics are used to track all areas of business
2) KPIs target critical areas of performance
For example, a metric may monitor website traffic compared to a goal,
whereas a KPI would monitor how website traffic contributed to
incremental sales.
Social Media Metrics
SaaS Metrics
In a data context, measures are the numbers or values that can
be summed and/or averaged, such as sales, leads, distances,
durations, temperatures, and weight.

The term is often used alongside dimensions, which are the

categorical buckets that can be used to segment, filter or
group—such as sales rep, city, product, colour and distribution
channel.

For example, let’s say you have 50 TVs sold and 30 radios sold.
The units sold is the measure and the dimension is the product
type. You can perform math on the measure and you could filter
or group on the dimension.
 DIFFERENCE BETWEEN MEASURE
AND METRICS
a measure is a fundamental or unit-specific term—a metric can
literally be derived from one or more measures. This is why the term
metric has a more goal or performance nuance attached to it.

A metric may be Customer Churn Rate, it’s made of measures such as

a) the overall number of customers and b) the number of customer
that discontinue their service each month.

Both metrics and KPIs rely on and are derived from measures.
Without measures, you can certainly name industry best practices
for metrics and KPIs, but you won’t have the capacity to actually
understand how they’re built.
 EXAMPLE

In the SaaS industry, Customer Acquisition Cost (CAC) is an

important metric. As it sounds, this is quite literally how much it
costs for a company to acquire a customer. If you know that your
CAC is 100, great. That means you know the number behind the
metric. But do you know the measures that gave life to that number?
In this case, there would be several measures. They would include,
at least, all of your marketing and sales costs for a given period of
time. You would then divide this by another measure: the number of
customers acquired over that same period of time. The resulting
metric, then, would be your CAC for that time period.