GMC Retention Strategies 3

Question 1

What does a 'cohort retention curve' reveal that aggregate retention metrics do not?

Accepted Answer

How retention evolves over time for users who started in the same period

Answer

Cohort curves show retention trajectories for specific groups over time, exposing whether product changes improved or harmed retention for different cohorts.

Question 2

In the context of retention, what is a 'habit loop'?

Accepted Answer

A cue-routine-reward cycle that makes product use automatic and recurring

Answer

Nir Eyal's Hook Model and Duhigg's habit loop both describe how cues trigger routines that deliver rewards, building automatic product usage behaviors.

Question 3

Which of the following is an example of a 'soft' churn prevention tactic?

Accepted Answer

Offering a personalized pause option instead of cancellation

Answer

A pause option reduces churn without forcing a commitment, addressing temporary user needs while keeping the relationship intact.

Question 4

What is the key difference between Net Revenue Retention (NRR) and Gross Revenue Retention (GRR)?

Accepted Answer

NRR includes expansion revenue from existing customers; GRR only measures retained revenue excluding expansions

Answer

NRR captures both retained and expanded revenue from existing customers, so it can exceed 100%, while GRR caps at 100% since it excludes expansions.

Question 5

A growth marketer wants to identify leading indicators of churn before it happens. Which approach is most effective?

Accepted Answer

Analyze behavioral patterns of previously churned users to find predictive signals

Answer

Mining historical churn data for behavioral patterns (e.g., login frequency drops, feature disuse) creates predictive models that flag at-risk users proactively.

(GMC) Growth Marketing Certification Practice Test

(GMC) Growth Marketing Certification Practice Test

GMC Retention Strategies 3