The activation rate in SaaS measures the percentage of users who complete key tasks that demonstrate the product's value. It is crucial for user engagement and retention, as it helps users understand and internalize the product's benefits. To measure your activation success, track the number of users completing pre-defined milestones within a given period. A good activation rate varies depending on factors such as niche, product type, and business model but typically falls between 20-40%. The main difference between activation rate and time-to-value is that the former focuses on milestone-based actions while the latter measures timeline-based behavior. To increase your activation rate, follow these tactics: set clear activation milestones for different user segments, optimize onboarding flows for higher activation, create customized milestone messaging, validate your assumptions with product analytics, and learn from insights to apply changes.