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Analytics Definition

Cohort Analysis

A technique that groups users by a shared characteristic (usually acquisition date) to track their behaviour over time.

Full definition

Cohort analysis segments users into groups — cohorts — based on when they first interacted with your product or a specific event. By comparing cohorts over time, you can identify patterns in retention, lifetime value, and churn. For example, grouping users who signed up in January versus March lets you see whether product changes improved retention. This is especially powerful in SaaS, e-commerce, and mobile apps where understanding user behaviour over weeks or months is more valuable than aggregate metrics. GA4 and most analytics platforms offer built-in cohort reports.

Real-world example

An app discovers that users acquired via SEO in Q4 have 40% higher 90-day retention than users from paid social — informing a shift in acquisition budget.

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