In chatting with folks from engineers to analysts, I’ve realized not all business terms are widely known, and so I’ve made an Urban Dictionary for a few common concepts below.
An internet ad that has made first contact, but did not penetrate the attention bubble. For example, when I buy a television on Amazon, suddenly the internet gets the impression that that it’s the start of a collection of 55″ flat screen TVs.
Not to be confused with a kegger. During my MBA, I was very confused when I showed up for the Delta Sigma Pi party.
CAGR stands for compound annual growth rate, i.e. the smoothed, average rate of growth over several years (like a bikini line after waxing).
CAC (Sponsored by Blue Apron)
Customer acquisition cost. This is how much you’re willing to bribe someone to try your product. Think all those Blue Apron coupons you get in the mail, basically paying you to try it.
Did the bribes work? How much is each
sucker customer spending? That amount is your average revenue per user.
The VC Discount is the amount of venture capital money a consumer burns through by happily accepting all the CAC offers without becoming a loyal customer. This is calculated as follows:
For example, you may buy a $10 per month MoviePass to buy one $15 movie ticket per month. With no theater subsidy, that’s a 33% savings (1 – 10÷15)!
No, it’s not a pizza. A deliverable is a thing that your client or manager swears to you, in a contract signed in blood, is precisely what they want and is *very important*. You then work on the project for weeks or months, countering with your own blood, sweat, and tears. Maybe you even miss a couple of your kid’s baseball games. And as soon as you deliver it, they smile and nod, and when you leave, they put it in a drawer, never to be spoken of again.