Data & Analytics Flashcards

Which metric best measures the percentage of users who complete a desired action after clicking an ad?

Answer: Conversion rate

Conversion rate measures the percentage of users who complete a desired action (e.g., purchase, sign-up) after clicking an ad.

In cohort analysis, what does a cohort typically represent?

Answer: A segment of users grouped by a shared characteristic at a specific time

A cohort is a group of users who share a common characteristic or experience within a defined time period, such as all users who signed up in January.

What does a high customer churn rate indicate for a subscription business?

Answer: Many customers are canceling their subscriptions

A high churn rate means a large percentage of subscribers are canceling, which negatively impacts revenue and lifetime value.

Which statistical concept describes the likelihood that an A/B test result occurred by chance?

Answer: P-value

The p-value indicates the probability that the observed difference between variants occurred by random chance; a low p-value (e.g., <0.05) suggests statistical significance.

A marketer notices their email open rate is high but click-to-open rate (CTOR) is low. What does this suggest?

Answer: The email content or CTA is not compelling enough

High open rate with low CTOR means subscribers open the email but the body content or call-to-action fails to drive clicks.

What is 'data normalization' in the context of marketing analytics?

Answer: Scaling data to a common range to enable fair comparison

Normalization scales different data sets to a common range (often 0–1), making it possible to fairly compare metrics that use different units or scales.

Which attribution model gives 100% credit to the last marketing touchpoint before a conversion?

Answer: Last-touch attribution

Last-touch attribution assigns all conversion credit to the final touchpoint a customer interacted with before converting.