churn

Enterprise, Media & Entertainment, Robotics & AI

“Unlocking Business Success: Enhancing Customer Loyalty through Retention Experiments and Explainable AI with Subsets”

Six months on from its launch, Subsets has already claimed some decent customers including the New York Times’-owned Athletic and Danish newspaper Børsen. The media businessWhile Subsets could be applied to any subscription business, it’s currently focused on the digital media vertical. Subsets allows non-technical teams to run retention “experiments” on subsets (hence the company name) of their subscriber base, to see what actions might lead a customer to staying on-board. These experiments might be a series of push notifications or email offering a subscription discount, or perhaps a free upgrade to unlock new features. Aside from lead backers Upfin and YC, Subsets’ pre-seed round included investments from a slew of institutional and angel investors including Cuesta Labs; Sandhill Markets; and Peakon founder Phillip Chambers.

Ava Patel
February 27, 2024
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“Growing Sustainably: Why Startups Need to Prioritize Scalable Strategies”

Until recently, many startups have prioritized growth at all costs, using abundant venture capital to acquire users and dominate markets without regard for profitability or sustainability. However, recent market conditions have shifted toward “efficient growth,” balancing growth with profitability to create a sustainable path to scale. The churn rate is not stable enough to accurately forecast customer lifetime. With a product improving over time by adding features that address customers’ needs, we would expect the churn rate to decline. Despite an improvement in a product, there are external factors beyond a company’s control, such as macro headwinds, that may encourage a higher churn rate.