Business Intelligence and KPIs Flashcards
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Read the first 6 Business Intelligence and KPIs flashcards as text
What does MoM stand for in business analytics?
Answer: Month-over-Month
MoM (Month-over-Month) is a growth metric comparing a value in one month to the value in the previous month.
What is a cohort analysis?
Answer: Tracking behavior of groups sharing a common characteristic over time
Cohort analysis groups users by a shared attribute (e.g., sign-up month) and tracks their behavior over time to reveal retention and engagement patterns.
What is the difference between revenue and profit?
Answer: Revenue is total income; profit is revenue minus costs
Revenue is total income generated from sales, while profit is what remains after all costs and expenses are deducted.
What does ARPU stand for?
Answer: Average Revenue Per User
ARPU (Average Revenue Per User) measures how much revenue a business earns on average from each user over a given period.
In BI, what is a 'drill-down'?
Answer: Navigating from a summary level to more detailed underlying data
Drill-down allows users to move from a high-level summary (e.g., annual sales) to more granular data (e.g., monthly or daily breakdown).
What is customer acquisition cost (CAC)?
Answer: The total cost to acquire one new customer
CAC is calculated by dividing total marketing and sales spend by the number of new customers acquired in that period.