Essential Inquiry: Evaluating AI and Ad Campaign Claims with Critical Questions
In the rapidly evolving landscape of Artificial Intelligence and digital advertising, it’s common for companies to showcase impressive metrics and viral moments to attract attention. However, these claims often lack context or substantive backing, making it essential for stakeholders—whether investors, founders, or marketers—to ask the right questions. A thorough assessment begins with foundational data and scrutinizes the sustainability and authenticity of growth claims.
Here are crucial core discovery questions designed to peel back the hype and reveal the true performance and potential of an AI or advertising-focused product:
1. What Were Your Baseline Metrics Before the Viral Moment?
Understanding your starting point in terms of users, revenue, and impressions provides context for growth.
Questions to consider:
– What were your actual numbers before experiencing the viral surge?
– How have these figures changed over time?
2. Are Growth Metrics Based on Genuine Customer Engagement?
Metrics like “21x” or “3x” growth can be promotional unless contextualized.
Key point: Without concrete data, these figures risk being marketing statements rather than indicators of sustainable growth.
3. What Is Your Customer Retention Rate Post-Signup?
Active usage over time signifies product value.
Questions to ask:
– Of all the signups, how many remain active after 30, 60, and 90 days?
– Does user activity decline sharply after initial onboarding?
4. Are Paying Customers Retaining or Churning?
Revenue stability is critical:
Questions to verify:
– Do paying users continue to pay over time, or is there quick churn?
– If retention is high, it’s a positive indicator of product quality.
5. What Is Your Actual Monthly Recurring Revenue (MRR)?
Calculate MRR accurately by factoring in refunds, discounts, and free trials.
Precise insight: This provides a realistic view of predictable revenue streams.
6. What Percentage of Revenue is Repeatable?
Distinguish between one-time sales and recurring revenue.
Question:
– How much revenue is reliably recurring versus one-off transactions?
7. Was the Growth a One-Time Spike or Repeatable?
Assess whether growth was driven by luck or can be replicated.
Questions to consider:
– Is this growth sustainable?
– Can the same tactics be employed again without external factors?
