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Let’s say you’re trying to calculate churn for a subscription product.

You noticed that of all customers that bought subscriptions in January 2020, about 10% of them canceled their membership before their next cycle on February 1st.  

If you assume that your new customer acquisition is uniform throughout each month and that customer churn goes down by 20% month over month, what’s the expected churn rate in March for all customers that bought the product since January 1st?

Expected Churn

Let’s say that your company is running a standard control and variant AB test on a feature to increase conversion rates on the landing page. The PM checks the results and finds a .04 p-value.

How would you assess the validity of the result?

Experiment Validity

Suppose there exists a new airline named Jetco that flies domestically across North America. Jetco recently had a study commissioned that tested the boarding time of every airline, and it came out that Jetco had the fastest average boarding times of any airline.

What factors could have biased this result, and what would you look into?

What could potentially bias the average boarding time in favor of an airline that only flies domestically?

What could potentially bias the average boarding time in favor of an airline that only flies domestically?

Boarding Times Bias

A new airline came out as the fastest average boarding times compared to other airlines.  What factors could have biased this result and what would you look into?

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