In this article:
- When to Use a Computed Metric?
- Create a Computed Metric
- Units of Computed Metric
- Using a Computed Metric
When to Use a Computed Metric?
Sometimes when a specific metric you’d like to track is not readily available, but can be calculated using other existing metrics, you can create a “Computed Metric” to achieve that and enable more in-depth analysis. For example, you might want to look at the ratio of two metrics or compute for a more complicated metric using multiple metrics.
This is often useful when different organizations employ different mechanisms for computing the same metric. For example, the calculation of CLTV in one company can be drastically different from that in another company given their own unique business context and objectives. Therefore, computed metric allows for more flexible computation of a certain metric in a way that makes the most sense to your organization.
In Natero, a computed metric can be calculated for each individual account (Per account) or across all the accounts (Across account). Once saved, it will become available in the Chart Explorer for charting and analytics as well as in account health score.
Create a Computed Metric
To create a computed metric, go to "Explorer" -> "Manage Lists & Charts" -> "Manage Computed Metrics". Click "New" on the top right.
- Name the metric.
- Define the formula for this metric.
- Specify if this metric should be calculated for each individual account or across all the accounts.
- Save the metric.
For example, you can create a per account computed metric called “Acceptance Rate” that is calculated as “# of Jobs Accepted” divided by “# of Jobs Offered”.
Units of Computed Metric
There are certain metrics, when used in computed metrics, will be set to its default units other than the more readable units. These metrics include financial metrics (e.g. MRR) that are shown in dollars and time related metrics (e.g. Session Time) that are shown in minutes all throughout the product. When these metrics are used in computed metrics, Natero will:
1. Convert dollar to cents (times 100)
2. Convert minutes to milliseconds to minutes (times 60,000)
Therefore, if you'd like the computed metric to take the more readable units, you should do the division to whatever units you want as part of the computed metric.
Using a Computed Metric
To use a computed metric, go to "Chart Explorer". You can find all the saved computed metrics in the "Show Metrics" list. Select the metric you are interested and plot a chart to view historical trend of this metric, and/or broken down by any account dimension you care.