Definition
Activation rate is the share of new users who reach the moment where the product first proves its value, often called the "aha moment", within a set time after signing up. For an invoicing tool that might be sending the first invoice; for a team chat, sending messages with a colleague.
Formula
Activation rate = users who did the activation action within N days of signing up ÷ users who signed up × 100, for one sign-up cohort.
Example
Of 400 people who signed up in a week, 140 created their first report within 7 days. Activation rate: 140 ÷ 400 = 35%.
Choosing the activation action
Compare the first week of users who retained with those who didn't. The action the retained group took much more often is a good candidate. Keep the definition stable so the rate can be compared over time.
How to measure it
Track a User signed up event and an event for the activation action, both with a user ID, and build a funnel between them with an N-day conversion window. In LogZuno, open the step to see who didn't activate.