Customer Cohort

Definition of Customer Cohort

A group of customers who share similar characteristics or behaviors, often used in cohort analysis.

Explanation of Customer Cohort

A customer cohort is a group of customers who share common characteristics or behaviors within a specific time frame. Cohort analysis is a technique used to study these groups to understand patterns and trends in customer behavior. For example, a cohort might consist of customers who made their first purchase in a particular month. By analyzing the behavior of this cohort over time, businesses can gain insights into customer retention, lifetime value, and the effectiveness of marketing strategies. This information helps in making data-driven decisions to improve customer engagement and loyalty. Customer cohorts are valuable for identifying growth opportunities and optimizing marketing efforts.

This dictionary entry was written by

Per-Gulbrand Peter Braathen

With a foundation in doctoral-level research, Per-Gulbrand Peter Braathen is a seasoned expert in the areas of marketing, branding and communication. His proficiency extends to marketing management, branding and communication strategy. Braathen's experience is underscored by his rich background from various industries, including entertainment. A distinguished alumnus of the USC Marshall School of Business, Braathen boasts a Master of Science in Marketing, complemented by a Graduate Certificate in the Business of Entertainment from the USC School of Cinematic Arts as well as two undergraduate Bachelor degrees from the esteemed University of Southern California.