Use cohort analysis to identify a behavior that predicts expansion revenue.
The company wants more expansion, but the average account hides a split: some customers add teams quickly, while others renew flat or shrink. Cohort analysis compares customers who share a behavior so you can trace which behaviors predict retention and expansion. The trap is analyzing expansion only by company size or contract tier. Demographics can describe customers, but behaviors often explain why they grow. Before Expansion strategy targeted all accounts above $30k ARR with the same customer-success motion. After Expansion strategy focused on accounts that invited finance in 30 days and built a play to create that behavior earlier. Define…
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