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Probabilistic Revenue at Risk with Confidence
Tomasz Tunguz at RedPoint just posted about Revenue at Risk (RaR) which inspired us to share our approach to calculating this important statistic. Revenue at risk (RaR) is an important number for SaaS...
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Customer Satisfaction and Achievement of Service Goals
Since we launched Retention Radar, a lot of people at SaaS companies have asked us what type of data they should put into a machine learning model in order to analyze their subscriber churn. The answer...
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Calculating the Value of Churn Reduction, Part 1: The Correct Calculation Of...
Much has been said about the value of retention and acquisition, and there are many different theories – unfortunately, much of this can be confusing and misleading. We are going to explain how to...
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Calculating the Value of Churn Reduction, Part 2: Discounting Future Cash
In the last article we introduced the Customer Lifetime Value (CLV) formula of Gupta & Lehman, and we began to explain it, starting with the expected lifetime of a customer. So was that it? The...
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