CAC, LTV, and unit-level business metrics
Former Airbnb PM Jonathan Golden outlines a clear framework to evaluate marketplace viability. By mapping products by transaction size and frequency, he shows how to predict and improve unit economics through incentives and pricing. Excellent reference for marketplace builders.
William Morales examines the broken economics behind neobanks: high CAC, minimal revenue per user, and long payback periods. He uses napkin math to show why subscriptions or lending products are essential to survival. A hard-hitting read for fintech operators and analysts.
Rick Zullo and Chelsea Zhang analyze why early DTC brands struggled to scale profitably. They discuss issues like inflated CAC, ad tracking limits, and high return rates—and how these led to omnichannel pivots. A detailed breakdown for operators and investors focused on margin-driven growth.
Mina Mutafchieva explains how unit economics can serve as a diagnostic tool rather than just a reporting metric. She shows how to analyze customer cohorts, align spend with ROI, and avoid common pitfalls like cost-cutting without insight. Packed with real-world boardroom questions and frameworks.
From an analyst's perspective, Timo Dechau critiques the over-reliance on vanity growth metrics. He shows how dashboards rarely incorporate core cost insights or contribution margins, and how this disconnect skews decision-making. A wake-up call for teams building analytics around business KPIs.
Drawing on her experience in fast-growing startups, Prerna Goel warns against deferring questions about profitability. She stresses that understanding cost structure and margins early on is essential for scaling responsibly. A reflective guide for founders in high-growth environments.
This beginner-friendly article breaks down unit economics into intuitive concepts, using simple business examples from taco stands to SaaS. Bret Waters explains how cost per unit, contribution margin, and scale determine financial sustainability. Ideal for those new to business metrics.
Ha Nguyen shares a candid story from her time at a fast-growing fashion startup, where strong revenue masked poor unit economics. She reveals how excitement about top-line growth distracted from the reality that each customer lost money. The essay warns founders not to confuse growth with viability.