Ask HN: Board Reporting – Matching Funnels with Financials

1 points by ian0 ↗ HN
So we run a payments platform that functions a lot like an e-commerce app. After an initial registration the user can purchase a variety of goods.

We have used the concept of a "magic moment"* to guide our product & growth strategy, to great effect. Our on-boarding funnel is wholly geared towards this and it is our prime reporting metric for the business as a whole. We call these users "Acquired" and we calculate CAC based on the aggregated cost to guide a user to this point. Its the most apt metric for defining success in our product, that we can see.

However, we run into difficulties when matching this metric to traditional financials. We have users who are transacting who are not "Acquired", according to the above definition. They have lower rates of retention, though are still revenue contributing.

As we scale this issues have become more of a problem, with more traditional investors focussed on basic unit economics and struggling to account for this categorisation of users. We could disassociate the two approaches, but I worry it would have negative trickle down effect if a more traditional metric like a "basic" CAC was the tracked metric at a board/investor level.

So my question - admittedly a long shot - has anyone else encountered this particular issue? If so, how did you manage it?

* https://alexiskold.net/2016/06/01/what-is-the-magic-moment-for-your-startup/

0 comments

[ 3.2 ms ] story [ 8.3 ms ] thread

No comments yet.