Cohort Analysis

Tracking and comparing the behaviour of groups (cohorts) of customers who started at the same time, to understand how retention, revenue, and engagement change over time.

Cohort analysis reveals whether your product is improving. If March customers retain better than January customers, something changed for the better. It removes the noise of overall averages.

January cohort (100 customers): 60% still active at month 3. June cohort (100 customers): 80% still active at month 3. Your June onboarding improvements are clearly working.