What is Cohort Analysis?

Cohort analysis is an analytical technique that focuses on analyzing the behavior of a group of users/customers over time, thereby uncovering insights about the experiences of those customers, and what companies can do to better those experiences.

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Cohort Analysis in Practice

A common misconception is that people think Cohort analysis is a mere aggregation of data points for the beginning period (March 1ST — March 7th) there is no way to tell whether the session visit in March is from the same person who visited in April. To compute Cohort analysis, you need to identi...

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Cohort Analysis is dynamic

Instead of summing your session or page activities over a fixed time range, cohort analysis describes behaviours of various groups of users OVER TIME on your website — which makes the analysis somewhat harder to interpret and understand without deep understanding.

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Anchor 3: The End Point

With both the lagging period and cohort determined, we can define the final anchor, which is the termination time of our analysis.

This detail is easy to omit in Google Analytics since it treats an unfinished cohort as finished.

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Cohort Analysis In Business

Overall, it is hard to extract business value from one-time cohort analysis immediately compared to other popular analytics methods.

This is mostly because you cannot really react based on your cohort analysis data.

If you are running, let’s say a funnel analysis, and see some users d...

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Anchor 1: The Moment Of Tracking

The first “anchor” is the definition of the cohort, which is always a time period in the past.

Just as you would expect from its name, a “cohort” is always time-bonded, defining a group of people who entered your website/store at a certain time period. Therefore, you need to first decide ...

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