Product-Led Growth (PLG)

The annualised rate of return that smooths out growth over multiple years, calculated as (ending value / beginning value)^(1/years) minus one. CAGR is used to compare growth trajectories of companies or metrics across different time periods.

The percentage change in a metric from one year to the next, used to assess trends while neutralising seasonal effects. YoY growth rates in revenue, productivity, and intangible asset investment are fundamental to performance evaluation, valuation modelling, and growth accounting analysis.

A dividend discount model that values a perpetual stream of cash flows growing at a constant rate, calculated as the next period's cash flow divided by the difference between the discount rate and the growth rate. The Gordon growth model is widely used to estimate terminal value in discounted cash flow analyses and requires that the assumed growth rate remains below the discount rate.

The process of projecting a company's future growth trajectory based on historical data, market conditions, and investment patterns. Incorporating intangible asset data and productivity trends significantly improves forecast accuracy and reduces investor uncertainty.

The process of creating, refining, or transforming the fundamental way an organisation creates and captures value. Unlike product or process innovation, business model innovation changes the underlying logic of value creation — potentially disrupting entire industries.

A model describing the typical pattern of technology or innovation adoption over time, following an S-shaped curve with three distinct phases: slow initial uptake (early adopters), rapid acceleration (mainstream adoption), and eventual plateau (market saturation). The S-curve is fundamental to understanding how intangible asset values evolve over the lifecycle of a technology or business model.

A business model in which a basic version of a product or service is offered free of charge while premium features, enhanced functionality, or expanded capacity are available for a subscription fee. The freemium model is prevalent in SaaS, enabling rapid user acquisition and product-led growth, with conversion rates from free to paid users typically ranging from 2% to 5%.

A goal-setting framework that defines qualitative objectives and pairs them with measurable key results. OKRs help growth businesses align teams around priorities and track progress against ambitious targets, from product development to revenue growth.

The Productivity Measurement Gap: Why GDP Per Hour Worked No Longer Tells the Full Story

Traditional productivity metrics were designed for an economy dominated by physical capital and tangible output. In a world where the most valuable firms derive their competitive advantage from software, data, brand equity, and organizational know-how, those metrics are increasingly unreliable. Here is why the gap matters — and what we should do about it.

How does Opagio's Productivity Calculator work?

The calculator uses growth accounting methodology to decompose your revenue and GVA growth into contributions from labour, capital, and Total Factor Productivity (TFP).

What is Gross Value Added (GVA)?

GVA measures the value a company creates by subtracting intermediate consumption (purchases of goods and services) from total revenue — it's the firm-level equivalent of GDP contribution.

What is Total Factor Productivity (TFP)?

TFP measures the portion of output growth that cannot be explained by increases in labour or capital inputs — it captures the efficiency gains from innovation, technology, and better management.