Paul GrahamVerified account

@bbalfour @andrewchen @onecaseman @JeffChang30 @paulg for an insurance business where a customer pay premium once a year - a) should we care about retention b) how to calculate retention c) can retention be a growth channel

Yes, you want them to keep buying every year. You measure annually, but want qualitative signals throughout the year to predict renewal. Increasing retention rate is itself a growth driver because you don't have to replace the churned revenue with new customers.

Yes, what @onecaseman said

Ok. I forgot to mention that we are into 2nd month after the product launch. So we are thinking not too much about retention today. Is that a mistake? Also what could be the top 3 growth drivers for us to see for considering we are into the 2nd month?

You won't be able to measure retention yet, so just talk to your users to make sure they are happy. You shouldn't care about growth yet, just finding product/market fit.