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Subscription business planning isn't fractional CFO work, FP&A platform implementation, or generic strategic finance. It's a cohort-driven planning system that closes the loop...
Defining Annual Recurring Revenue (ARR) is essential for SaaS companies, but those with usage-based pricing face challenges in determining whether to include variable revenue....
How to calculate Gross Revenue Retention (GRR) and Net Revenue Retention (NRR) and understand the difference between the two metrics.
Whether you are preparing a cohort analysis or interpreting data presented to you, here are some good questions to ask.
The cohort table is a critical visualization of customer retention. Whether you are a board member or operating executive, it's worth understanding the structure of these...
The top 20% of a company's customers can generate 50% to 80% of a company's revenue. How can we identify these customers? What sets them apart from lower-value customers? And,...
When it comes to customer revenue, does the 80/20 Rule hold? Do 20% of customers really generate 80% of revenue? This article addresses the question by examining the Pareto...
Early in my career, I was working in a finance role at an e-commerce company. I had the following discussion with the head of customer acquisition. Me: What's up with all the...
Creating a revenue forecast using historical customer cohort data involves analyzing the behaviors and revenue patterns of different groups of customers acquired during...
I see the following situation all too often with clients. Things go great for a while. The company grows rapidly, principally through new customer acquisition. However, new...
The role of the VP of Analytics typically involves a blend of leadership, business acumen, and technical expertise. Whether the role is performed by a VP of Analytics (or as a...
Customer cohort analysis is a method used in marketing, finance, and analytics to group customers into "cohorts" based on shared characteristics or experiences within a defined...
The article evaluates the financial worth of improving prediction models, using a subscription churn scenario. It discusses methods like confusion and cost-benefit matrices to...
Whether you're grappling with budget constraints or seeking the most effective way to boost your business growth, this post breaks down the essentials of customer acquisition...
Churn, the rate at which customers leave your service, can make or break a subscription model. Often, there's a tendency for businesses to become overly concerned with...
Feeling the pain of spreadsheets for financial planning and looking for a software solution? The following is my list of must-have (and nice-to-have) features and capabilities.
In this video, I'll explain the difference between Bookings ACV and ARR and how to use them to answer critical SaaS investor questions.
When I need to present sales data with actual vs. target with data at the product and country level, I usually want to answer these questions (often in this order): how did...
When measuring target versus actual sales, typically what people want to know is how does the actual compare to target in absolute and percentage terms?. Often a variance table...
Check out my new video series on unit economics. It is based on a talk that received one of the highest feedback ratings at the Spero Ventures Founder Summit.
Clearing up confusion about Customer Lifetime Value (CLV).
I recently enjoyed reading the 1983 classic Adventures in the Screen Trade by William Goldman (1931-2018), who wrote many screenplays including Butch Cassidy and the Sundance...
