
Meaningful metrics in enterprise cloud products share three essential characteristics: business context, dimensionality, and actionability.
When a major financial services company migrated its data analytics platform to the cloud, initial excitement quickly gave way to concern over rapidly escalating costs. The raw billing data showed growing expenditure but offered little insight into value generation or optimization opportunities.
Implementation Playbook for Product Managers
The Problem with Traditional Metrics in the Cloud
As cloud technologies become more sophisticated and integral to business operations, metrics must evolve accordingly. Several trends will shape the future of cloud product metrics:
- A cloud data warehouse shows growing query volumes, but stakeholders can’t determine if these queries are generating actionable insights or merely consuming costly compute resources
- A SaaS platform boasts increasing user counts but can’t demonstrate how these users translate to operational efficiencies or revenue impact
- A machine learning service tracks model deployments without measuring their business accuracy or cost-effectiveness in production
By Shilpa Shastri
Roll-out Strategy:
The Evolution of Enterprise Cloud Metrics
Picture this: You’re a product manager at a fast-growing SaaS company. In the quarterly review, the CFO turns to you and asks, “What’s the ROI of our cloud products?” You have dashboards full of monthly active users, API call counts, and latency graphs-but none of them directly answer the question. This is the modern metrics dilemma. As cloud adoption accelerates, product teams are under pressure to move beyond vanity metrics and demonstrate real business value.
Case Study: Transforming Cloud Cost Data into Business Intelligence
Transformation: The product team reimagined cost reporting by:
- The FinOps movement has spotlighted the importance of cloud cost management and value attribution
- Growing cloud investments demand clearer ROI justification
- The integration of cloud services into core business operations requires stronger alignment with business outcomes
Moreover, traditional metrics often lack business context. When a CIO asks, “What’s the ROI of our cloud migration?” responding with technical metrics like CPU utilization or storage efficiency misses the point entirely. Business leaders need metrics that connect directly to outcomes they care about: cost reduction, operational efficiency, revenue growth, or risk mitigation.
What Makes a Metric Meaningful in B2B Cloud Products
Even the most sophisticated metrics fail if users don’t trust them or understand how to act on them. Building effective data products requires careful attention to visibility and trust.
- Business Context: Effective metrics connect technical performance to business outcomes. Rather than reporting raw storage costs, a meaningful metric might express “cost per insight generated” or “data processing expense per dollar of revenue.” This context transforms abstract technical data into business-relevant information.
- Dimensionality: Valuable metrics can be sliced across relevant business dimensions. For example, cloud costs become more meaningful when viewed by department, product line, customer segment, or business capability. This dimensionality enables precise attribution and targeted optimization.
- Actionability: The most valuable metrics suggest clear next steps. They answer not just “what happened?” but “what should we do about it?” A metric showing high latency for a specific API endpoint during peak business hours immediately suggests both the problem and potential solutions.
After: The new approach transformed cloud billing from a finance headache into a business intelligence asset. Business leaders could now see:
- Traditional: “1.2 million queries processed last month” (What does this mean for the business?)
- Meaningful: “Average time-to-insight reduced from 28 hours to 4 hours, enabling 3 additional pricing optimization cycles per month” (Clear business impact)
Before: The cloud cost dashboard displayed total spend by service (compute, storage, data transfer), with month-over-month trending. While technically accurate, these metrics failed to connect costs to business activities or outcomes, leading to frustrated stakeholders and calls to revert to on-premises infrastructure.
Designing for Visibility and Trust
The shift from vanity metrics to value metrics represents a fundamental maturation of the cloud industry. By designing data products that clearly demonstrate business impact, product managers can bridge the persistent gap between technical capabilities and business value—ensuring cloud investments deliver on their transformative potential.
- Data Transparency: Users need to understand the lineage of their metrics and where they come from and how they’re calculated. Clear documentation of data sources, transformation logic, and calculation methodologies builds confidence. Consider including simplified data lineage visualizations that show how raw data becomes business metrics.
- Freshness Indicators: Nothing undermines trust faster than stale data. Prominently display when metrics were last updated and the time period they represent. Contextual freshness indicators (e.g., “Updated 5 minutes ago, reflecting data through yesterday”) help users gauge reliability.
- Confidence Levels: Not all metrics are created equal. Some are based on complete data, while others rely on sampling or estimation. Indicating confidence levels—through visual cues, confidence intervals, or explicit labeling—helps users appropriately weight different metrics in their decision-making.
- Context-Aware Dashboards: Move beyond generic dashboards to create role-specific views that answer “what does this mean for me?” A CIO needs broad cost allocation metrics across the business, while a line-of-business owner needs deeper insight into their specific domain. Tailoring views to specific user personas ensures metrics drive appropriate action.
- Progressive Disclosure: Layer information to avoid overwhelming users. Start with high-level business metrics, then allow drill-down into supporting details. This approach makes dashboards accessible to business users while providing technical depth for those who need it.
This evolution reflects a fundamental truth: as cloud technology becomes more embedded in business operations, the metrics we use must evolve to reflect its business impact.
Consider the difference between these two metrics for a cloud-based analytics platform:
In this article we will explore how B2B product managers can move beyond vanity metrics to design cloud-native data experiences that deliver genuine insights to enterprise customers—metrics tied to cost efficiency and value, data freshness, system reliability, and most importantly, business impact.
Cloud metrics have evolved significantly over the past decade, reflecting the maturing relationship between technology and business value.
- Mapping technical resources to business domains through consistent tagging 2. Developing “cost per business transaction” metrics (e.g., cost per loan processed, cost per risk assessment)
- Creating benchmarking capabilities to compare efficiency across business units 4. Implementing anomaly detection to flag unusual cost patterns
For too long, we’ve relied on vanity metrics to demonstrate the success of our cloud products. While metrics such as monthly active users, raw API call counts, and basic performance metrics may look impressive on quarterly reports, they often fail to answer the most critical question: “So what?” This disconnect between technical indicators and business value has created a metrics dilemma that undermines the perceived ROI of enterprise cloud investments.
- How infrastructure costs directly related to business volume
- Which business processes were most efficient in their cloud utilization
- Where optimization opportunities existed
- How costs scaled with business growth
In the early cloud era, metrics focused primarily on infrastructure: uptime, latency, and storage utilization. Success meant simply keeping services running. As cloud adoption grew, the focus shifted to adoption metrics: user counts, feature usage, and engagement rates. These metrics answered “are people using it?” but not “is it creating value?”
Today, we’re witnessing the rise of value-oriented metrics driven by several factors:
Results: Within six months, the company achieved a 28% reduction in cloud costs through targeted optimization while supporting 35% higher transaction volumes. More importantly, the new metrics changed the conversation from “cloud is expensive” to “how can we optimize our business processes to get more value from our cloud investment?”
To stay ahead, product managers should:
- Map key stakeholders and their primary business objectives
- Conduct value-metric workshops to identify the most important business outcomes
- Create a shared “metrics that matter” framework that bridges technical and business perspectives
- Secure executive sponsorship for the metrics transformation initiative Technical Implementation:
- Audit existing data sources and identify gaps
- Design a consistent tagging taxonomy that enables business attribution 3. Build data pipelines that connect technical telemetry to business context 4. Implement data quality checks to ensure metric reliability
- Create API endpoints that make business-relevant metrics accessible to multiple consumption platforms
The latter connects technical performance to business outcomes, making the value immediately apparent.
- Start with a focused pilot in one business domain
- Develop success stories based on early value generation
- Create self-service enablement materials (documentation, videos, sample dashboards)
- Establish a metrics review cadence to continuously refine and improve 5. Measure adoption and impact of the new metrics framework itself
Building meaningful metrics into cloud products requires systematic planning and cross-functional collaboration. Here’s a playbook for product managers:
- Anticipate resistance from teams comfortable with traditional metrics
- Provide side-by-side views of old and new metrics during transition
- Train stakeholders on interpreting and acting on the new metrics
- Celebrate and publicize wins enabled by the improved visibility
The Future of Cloud Product Metrics
Traditional cloud metrics suffer from a fundamental flaw: they measure activity, not outcomes. Consider these common scenarios:
- AI-Augmented Analytics: Artificial intelligence will increasingly help interpret metrics, identify patterns, and suggest optimizations. Rather than simply displaying data, products will offer intelligent recommendations based on detected trends and anomalies.
- Predictive Value Metrics: Forward-looking metrics will supplement historical reporting, helping organizations anticipate value opportunities and challenges before they materialize.
- Ecosystem-Wide Visibility: As organizations leverage complex multi-cloud and SaaS ecosystems, metrics will need to span technological boundaries to provide end-to-end visibility into business processes.
- Outcome-Based Pricing: As metrics better capture business value, we’ll see more vendors tying pricing directly to value delivery rather than technical consumption—a win-win that aligns vendor and customer incentives.
Change Management:
- Maintain constant dialogue with business stakeholders about evolving value definitions
- Invest in data infrastructure that can adapt to changing business contexts 3. Experiment with new visualization and interaction models that make complex metrics accessible
- Build metrics platforms, not just static reports, enabling customization for diverse needs
Stakeholder Alignment:
These activity-based metrics create a false sense of success. They might indicate adoption, but they say nothing about value generation—the true measure of a successful enterprise product.