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1. Course Introduction
In this lesson, we’ll introduce the Software as a Service (SaaS) company Interslice. We’ll outline how the company works and discuss the areas we will be analyzing as part of this course.
- Demonstrate a range of visualizations in Power BI Desktop
- Illustrate how Power BI can be used to derive insights for a business
- Help individuals understand the business and make decisions
Company and Product Background
- Interslice is a Software as a Service (SaaS) company selling a product to companies and individuals
- The product is sold as a monthly subscription, charged per user
- Most customers are businesses, who buy a large number of licenses
- There are multiple plans available with different prices
Areas of Analysis
- Monthly Recurring Revenue (MRR): This is the monthly value generated by active subscriptions
- Customer Base: We will analyze the growth of the customer base, analyze its expansion and contraction, analyze the company’s pricing strategy and make future forecasts
In the previous courses, we've seen the full-range of features available in the various Power BI products.
In this course, we'll apply the skills we've learned to create several reports.
Our aim is to demonstrate the range of visualizations available in Power BI Desktop as well as to derive insights for a business that enable key individuals to make informed decisions about future strategy.
Throughout this course, we'll look at a software as a service company called InterSlice.
InterSlice was founded in 2013, and has seen very strong growth over the past several years.
Currently, their product is sold in three countries, Ireland, Great Britain, and the United States.
Most of InterSlice's clients are businesses with multiple licenses. However, their customer base does include some individual consumers.
The product is sold as a monthly subscription, which customers can cancel at any time.
Business customers are charged on a per/user basis, and have a choice between several different plans.
As you might expect, InterSlice sees higher profits from companies with many users or that purchase more expensive plans.
In the next couple of lessons, we'll introduce and explore the data set that we'll analyze in this course.
We'll follow this up by taking a deeper look into monthly recurring revenue, or MRR.
This is the monthly value of active subscriptions to the company. It increases when new customers join or when existing customers upgrade to more expensive plans.
It falls when customers downgrade their plan or unsubscribe.
When a customer ends their subscription to the service, it's referred to as churn.
Churn rates are key to the performance of any software as a service company.
Identifying trends in the churn rate, or differences between the churn rates in different locations or at different times can be a pivotal insight to managers of the company.
As a result, we'll take a detailed look at churn rates, expansion rates, and contraction rates as part of the analysis.
Toward the end of the course, we'll look at the customer base in greater detail.
InterSlice would like to understand how their customer base has grown over its lifespan.
As part of this investigation, we'll conduct a cohort analysis, which looks at when customers are more likely to churn.
This will let the company know when they may need to intervene in order to ensure customers are retained.
We'll then study the profile of the customer base, and analyze the company's pricing strategy.
We'll wrap up the course by using Power BI's forecasting abilities to make projections on customer numbers and churn rates into the future.
We'll start by introducing our data in the next lesson.