the analytics vault
Resources: 136 (72 new this week)
a Hipster Data Club product Hipster Data Club

Six team types and how they mess with your ROI calculations

Original: TBM 340: Path to $

John Cutler
June 2, 2025
7 min read
Framework
Intermediate
TBM 340: Path to $

Summary

This article discusses key unit economics and efficiency metrics for SaaS businesses, including CAC payback, LTV:CAC ratio, contribution margin, and the rule-of-40. It explains how to calculate and analyze these metrics to understand the underlying profitability drivers and unit-level economics of the business.

Who This Is For

Product Managers
Founders

Key Takeaways

  • Identify which of six team archetypes your teams fall into based on proximity to customer impact, independence, and stability
  • Understand why some teams (like checkout teams) are finance-friendly while others (like platform teams) require more complex ROI justification
  • Learn how team structure directly impacts your ability to measure and communicate business value
  • Recognize when to worry about detailed ROI tracking versus when to focus on broader strategic outcomes

Topics Covered

unit-economics saas-metrics customer-acquisition-cost lifetime-value

More from John Cutler

Related Resources in Business Understanding

Topics

unit-economics saas-metrics customer-acquisition-cost lifetime-value