What is a cohort analysis?

Cohort analysis is fundamentally concerned with tracking and analyzing the behavior of a specific group of users, or a "cohort," over time. This method allows businesses and researchers to gain insights into how different cohorts interact with products or services based on shared characteristics or experiences within a defined time frame. By comparing these behaviors, organizations can identify trends, measure retention rates, and evaluate the effectiveness of various marketing efforts or product features.

This method provides a clear view of how user behaviors may change as they progress through different stages of their interactions with a business, which is critical for making informed, data-driven decisions that enhance customer engagement and optimize strategies over time.

While the other options each describe important aspects of business and marketing practices, they don't specifically focus on the longitudinal examination of user behavior as cohort analysis does. Thus, the emphasis on examining user behavior over time is what makes this choice the accurate description of cohort analysis.