What it means
It is not revenue. A good North Star is a leading indicator of customer value that, when it grows, pulls revenue with it: nights booked (Airbnb), messages sent (WhatsApp), weekly active teams. Pick the action that means a customer is genuinely getting value.
Why it matters
Without one, teams optimise their own local metrics — clicks, leads, installs — that can rise while the business stalls. A North Star forces marketing, product, and sales to row in the same direction. The test: if this number doubled, would the business clearly be healthier? If not, it is a vanity metric.