Finance
Discover essential terms and theories for product makers.
Ad Fraud
Ad Fraud is the practice of generating false or deceptive interactions with online advertisements to exploit advertising budgets.
Ad Spend
Ad Spend refers to the total amount of money a company invests in advertising campaigns across various platforms.
Algorithmic Attribution
Algorithmic attribution is a method of assigning credit to different marketing touchpoints using complex algorithms to determine their contribution to...
Algorithmic Pricing
Algorithmic pricing is the use of computer algorithms to determine the price of products or services based on various factors such as demand, competit...
Annual Recurring Revenue (ARR)
Annual Recurring Revenue (ARR) is the total revenue a company expects to receive from its subscription-based customers over a year.
Attrition Rate
Attrition rate is a measure of the number of individuals or items that move out of a larger, collective group over a specified time period.
Audit Trails
Audit trails are records that chronologically detail the sequence of activities or changes made to data or systems.
Automated Bidding
Automated bidding is a digital advertising strategy where algorithms adjust bids in real-time to achieve specific campaign goals.
Average Order Value (AOV)
Average Order Value (AOV) is the average amount of money spent each time a customer places an order on a website or in a store.
Average Revenue Per User (ARPU)
Average Revenue Per User (ARPU) measures the revenue generated per user or customer, typically within a specific time frame such as a month or year.
Balanced Scorecard
A Balanced Scorecard is a strategic management tool that provides a framework to monitor and manage an organization's performance using financial and ...
Barriers to Entry
Barriers to entry are obstacles that make it difficult for new competitors to enter an industry or market.
Bid Strategy
A bid strategy is a plan or method used in online advertising to determine how much to pay for advertising slots to achieve specific goals like clicks...
Blockchain
Blockchain is a decentralized digital ledger that records transactions across many computers in a way that the registered transactions cannot be alter...
Board of Directors
A Board of Directors is a group of individuals elected to represent shareholders and oversee the management and major decisions of a company.
Break-Even Analysis
Break-Even Analysis is a financial calculation to determine the point at which revenue received equals the costs associated with receiving the revenue...
Business Intelligence
Business Intelligence (BI) refers to the technologies, applications, and practices for the collection, integration, analysis, and presentation of busi...
Cash Flow Forecasting
Cash flow forecasting is the process of estimating the future financial position of a business by predicting its cash inflows and outflows over a spec...
Churn Rate
Churn rate is the percentage of customers who stop using a service or product within a given time period.
Click Fraud
Click fraud refers to the deceptive practice of repeatedly clicking on online ads to increase revenue or exhaust the advertiser's budget.
Cluster Analysis
Cluster analysis is a statistical method used to group similar objects into clusters based on their characteristics.
Consumer Confidence
Consumer confidence measures how optimistic or pessimistic consumers are about the economy's current and future performance.
Content ROI
Content ROI is the measurement of the return on investment from content marketing efforts, evaluating the profitability and effectiveness of content i...
Conversion Fraud
Conversion fraud is the deceptive practice of generating fake actions or conversions to manipulate marketing or advertising metrics.
Cost-Benefit Analysis
Cost-Benefit Analysis is a systematic approach to evaluating the economic pros and cons of different choices to determine the best option.
Cost Per Acquisition (CPA)
Cost Per Acquisition (CPA) is a marketing metric that measures the total cost to acquire a single paying customer or conversion.
Cost Structure
Cost structure refers to the various types and proportions of costs a business incurs, including fixed and variable costs, to produce goods or service...
Customer Acquisition Cost (CAC)
Customer Acquisition Cost (CAC) is the total expense incurred to acquire a new customer, including marketing, sales, and promotional costs.
Customer Lifetime Value (CLV)
Customer Lifetime Value (CLV) is the total revenue a business can expect from a single customer account throughout their entire relationship.
Data Aggregation
Data aggregation is the process of collecting, combining, and summarizing data from multiple sources to provide a unified view.
Data Breach
A data breach is an incident where unauthorized individuals gain access to sensitive or confidential information.
Data Governance
Data governance refers to the overall management of data availability, usability, integrity, and security in an organization.
Data Mart
A Data Mart is a subset of a data warehouse focused on a specific business line or team, providing them with relevant data.
Data Masking
Data masking is a technique used to protect sensitive information by replacing it with fictional but realistic data.
Demand Forecasting
Demand forecasting is the process of predicting future customer demand for a product or service based on historical data and other information.
Descriptive Analytics
Descriptive analytics is the analysis of historical data to understand trends and evaluate past performance.
Dynamic Pricing
Dynamic pricing is a strategy where prices are adjusted in real-time based on market demand, competition, and other factors.
Economic Indicators
Economic indicators are statistics that provide information about the overall health and direction of an economy.
Expense Management
Expense Management is the process of tracking, controlling, and optimizing an organization's spending to ensure financial efficiency and budget compli...
Gap Analysis
Gap Analysis is a method used to compare actual performance with potential or desired performance.
Hypothesis Testing
Hypothesis testing is a statistical method used to determine whether there is enough evidence to reject a null hypothesis.
Impression Fraud
Impression fraud is a type of online advertising fraud where false impressions of ads are generated to inflate revenue or drain advertisers' budgets.
Incident Reports
Incident reports document the details of unexpected events or disruptions in the workplace, outlining what happened, when, where, and the individuals ...
Industry Analysis
Industry analysis is a market assessment tool used by businesses to understand the competitive landscape, market trends, and economic factors influenc...
Intellectual Property (IP)
Intellectual Property (IP) refers to legal rights that protect creations of the mind, such as inventions, literary and artistic works, designs, and sy...
Joint Ventures
A Joint Venture is a business arrangement where two or more parties agree to combine resources for a specific goal, sharing profits, losses, and contr...
Key Performance Indicators (KPIs)
Key Performance Indicators (KPIs) are measurable values that demonstrate how effectively an organization is achieving its key business objectives.
Lagging Indicators
Lagging indicators are metrics that reflect the outcomes or results of past actions and events, often used to measure performance after the fact.
Lean Management
Lean Management is a systematic method for waste minimization within a manufacturing system without sacrificing productivity.
Licensing Agreement
A licensing agreement is a legal contract where the licensor grants the licensee the right to use, produce, or sell intellectual property (IP) in exch...
Logistics Management
Logistics Management involves the planning, implementation, and control of efficient movement and storage of goods, services, and information from ori...
Market Analysis
Market analysis is the process of evaluating the attractiveness and dynamics of a market within a specific industry.
Market Growth
Market growth refers to the increase in a company's sales or revenue over a specific period, indicating the company's expansion and success in the mar...
Market Power
Market power refers to the ability of a firm or group of firms to influence or control the price and output levels in a particular market.
Maximum Bid
Maximum Bid is the highest amount an advertiser is willing to pay for a single click on their ad in a pay-per-click (PPC) campaign.
Operational Efficiency
Operational Efficiency refers to the ability of an organization to deliver products or services in the most cost-effective manner without compromising...
Performance Metrics
Performance metrics are measurable values that assess how effectively an individual, team, or organization is achieving key objectives.
Porter's Five Forces
Porter's Five Forces is a framework for analyzing a company's competitive environment and identifying potential threats and opportunities.
Post-Attribution Fraud
Post-Attribution Fraud is a type of ad fraud where fraudulent activities occur after the attribution of an ad event, falsely inflating metrics like en...
Predictive Analytics
Predictive analytics uses statistical algorithms and machine learning techniques to identify the likelihood of future outcomes based on historical dat...
Pricing Strategy
Pricing strategy is the method businesses use to set the prices for their products or services, considering factors like costs, competition, and custo...
Quantitative Research
Quantitative research is a method of inquiry that focuses on quantifying data and phenomena to understand patterns, relationships, and trends.
Return on Ad Spend (ROAS)
Return on Ad Spend (ROAS) is a marketing metric that measures the revenue generated for every dollar spent on advertising.
Return on Investment (ROI)
Return on Investment (ROI) measures the profitability of an investment by comparing the return to its cost.
Revenue Churn
Revenue churn is the loss of revenue over a specified period due to customer cancellations or downgrades.
Revenue Per Mille (RPM)
Revenue Per Mille (RPM) is a metric that represents the estimated earnings a publisher generates for every 1,000 impressions served.
Revenue Projection
Revenue projection is an estimate of future revenue generated by a business over a specific period, based on various factors like market conditions, h...
ROI Analysis
ROI Analysis is the process of evaluating the return on investment of a project or decision to determine its financial viability and effectiveness.
Supply Chain Management
Supply Chain Management (SCM) involves the oversight and management of the flow of goods, information, and finances from the origin point to the end c...
Switching Costs
Switching costs are the expenses or obstacles that customers face when changing from one product or service to another.