Analysis Methods #
Cohort Analysis #
- Group customers by when they are acquired and analyze their purchase behaviors, lifetime value, churn, etc.
- This is a super powerful analysis method and is becoming more and more widespread
2x2 matrix #
- There is a 2x2 matrix when analyzing companies
- You can be right or wrong, and it can be consensus or non-consensus
- You build successful businesses and make money when you are right and non-consensus
Marketplace #
- One axis number of suppliers/producers (x), one axis value the marketplace creates (y)
- If this line is not up and to the right it is not a good marketplace business
- In other words, if the incremental supplier does not incrementally improve the marketplace’s value, it is a bad marketplace
- This framework came from the Acquired/Invest like the Best Crossover and is from Bill Gurley, absolutely love this way of thinking about it