Data Analyst and Technical Consultant

The SAAS world: Jargon

The ultimate guide to the jargon in the SAAS world from Google Analytics to Finance terminology

Finance

ACMR – Annualised committed monthly revenue.  Committed monthly revenue x 12

ARPU – Average Revenue per user.  The average amount paid across all products per customer

CAC – Cost of acquiring customers.  The number of months it takes to recover the cost of acquiring a new customer.

Churn – The number of customers who leave during a month as a percentage of the total number of customers at the start of that month

CMR – Committed gross monthly revenue

LTV – Lifetime value.  Net revenue of a customer over their lifetime

MAC – Marketing cost of acquiring customers.  The number of months it takes to recover the marketing costs of acquiring a new customer.

SAC – Sales cost of acquiring customers.  The number of months it takes to recover the sales costs of acquiring a new customer
 

Salesforce

Account – Company

Contact – Person at Company (Account)

Lead – Raw Prospect (company/person you’ve never pursued in the past)

Lead source – Website / upload / inbound call

Opportunity – Potential sale of product to Account and Contact

 

Google Analytics

CPA  – Cost Per Action.  How much you pay for each sale, click, form fill.

CPC – Cost Per Click. How much you pay every time a visitor clicks on your ad. It depends on your product and your market and the competition. To keep costs down only bid on relevant keywords.

CTR – Click Through Rate.  The rate at which people are clicking on ads.

First Click – allocates all credit to the first touchpoint the user had with the site.  This is an option for relatively unknown brands, where discovery is key.

Last-click – Allocates all credit to the last touchpoint before conversion.

Linear – Allocates credit evenly across all channels in the funnel.

Time Decay – Allocates credit where touch points closest to the time of the sale get a higher allocation.  This option might suit businesses with very short conversion funnels.

 

Development

Agile – A methodology that “allows for changing requirements over time by using cross-functional teams – incorporating planners, designers, developers and testers – which work on successive iterations of the product over fixed time periods. The work is organised into a backlog that is prioritised into exact priority order based on business value.”

Kanban – A methodology that encourages ‘just in time’ delivery

MVP – Minimum viable product. A product with just enough features to satisfy early customers, and to provide feedback for future development.

Scrum – A short daily meeting to discuss priorities and problems the team is working on

Sprint – A short period of intense work on a piece of work which is then ‘shipped’