…and what about analytics?
- Combining metrics, finding patterns of behavior.
- What should we be working on?
- Should we pivot?
Google Analytics – be cautious
Storing all of your proprietary data with Google
Limitations on customizations
When shit hits the fan, getting customer support
You NEED to slice and dice and query your data
Why are metrics so important
- Be the Expert, be the Hero, the “go to” person
- Don’t rely so much on others
- Because we’re all Liars
Single Key Metrics
How much do we spend to get a customer?
Cost per Acquisition ($)
How much do our customers pay us?
Average Revenue per User ($)
At what rate are customers cancelling?
How much is a customer worth over time?
Lifetime Value per Customer ($)
Subscription v. Transactional
VPR (value per reg)
Churn / LTV / ARPU
Activation & Engagement
Shopping Cart Abandonment
Average Order Value (AOV)
Upsell & Product Page CTR
Quantitative v. Qualitative Metrics
- Example of qualitative (fire alarm in middle of night,
99.97% up time, yet pissed off customers)
- Why you need both. (user testing, surveys,
call your customers)
Price Test @ Dollarshaveclub.com
4.4% higher 24 hr Net
7% higher CLTV
Case Study: Netflix & House of Cards
- Goal to be “HBO” of online TV
- Cost of $100m on production
- Analytics told them
* Most customers watched David Fincher’s
social network all the way
* British version of “House of Cards” was highly
* Significant overlap of British House of Cards
watch Kevin Spacy films and Fincher films.
- Data so far
* Q1 2013, brought in 3m new custmers
* in Q1 alone, paid for cost of production
* Increasing CLTV